The APIIC has also acquired land for 40 more industrial parks and SEZs for which infrastructure is being provided to establish pharma and biotech clusters, Reddy said.
When it was pointed out that the APIIC was embroiled in several scams earlier during the late YS Rajasekhar Reddy government, he admitted controversial decisions were made but hastened to add the APIIC now operates in a transparent manner and is monitored by the commissioner of industries.
A special court had on September 7 directed the ACB to probe the alleged role of IAS officer and then APIIC MD B.
Acharya is now the principal secretary, industries, and was recently stripped of his APIIC designation.
The Hyderabad project involves allotment of 535 acres of prime land by the APIIC at Nanakramguda on Hyderabad's outskirts to Emaar for developing a golf course, residential complex, star hotel and convention centre.
The original agreement gave the APIIC a 49 per cent stake in the leased land.
The entire deal was handled allegedly by BP Acharya, former MD of APIIC and one Parthasarathy Rao, who is said to be a close relative of Rajya Sabha member KVP Ramachandra Rao, a friend, philosopher and guide of late YSR and his family.
The chairman of APIIC at that time was Ambati Rambabu, who is a close confidant and campaign manager of Jaganmohan Reddy and was recently suspended from the Congress party for his utterances against Chief Minister Rosaiah.
The scandal came to light recently when the present management of the APIIC headed by S Sivarama Subrahmanyam, a close aide of Rosaiah, served a notice on Emaar for not paying anything towards its share and causing a loss of nearly ` 2,500 crore to the state exchequer.
The APIIC is the nodal agency for developing infrastructure projects on behalf of the state government and it had signed the deal with Emaar Properties, a Dubai- based company.
It is one of the biggest scandals in the state's history and needs to be thoroughly probed along with all the land allotments made by the APIIC during the YSR regime between 2004- 09," Ravindra Reddy said on Wednesday.
The APIIC board had an emergency meeting on Tuesday to discuss the alleged scandal and decided to order a detailed inquiry into it.