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Contractor gets undue benefits in violation of norms
Gangyal Industrial Estate upgradation
8/4/2015 11:29:56 PM
Peerzada Ummer

Early Times Report

Srinagar, Aug 4: Undue benefits accorded to a particular contractor during upgradation of Industrial Estate Gangyal are coming to fore with total contravention of the financial rules found and no action so far initiated by the new government in JK.
Documents in possession of Early Times reveal that the sanction for the upgradation of Industrial Estate Gangyal, at an estimated cost of Rs 9.84 crore was accorded in the year 2012 by the State Government and Government of India jointly. "Tenders were invited in March 2012 for the execution of phase-1 road network at a cost of Rs 61.50 lakh excluding the cost of bitumen which was to be provided by the department itself and the work was allotted to the contractor for Rs 66.33 lakh at that time.
Subsequently, the work for other roads on phase-II and III were allotted to the same contractor on repeat order basis for Rs 70 lakh in the month of July 2012 and Rs 98.67 lakh in December 2012 respectively, without inviting fresh tenders resulting in undue benefit to the contractor," reads the finds of the report compiled earlier.
It further stated that against the sanction of 3.30 crores, an amount of Rs 4.54 crore were spent over the upgradation of roads resulting in excess expenditure of Rs 1.24 "crore rupees. Such an action surprisingly goes against the terms of the sanction of the work. Reports said that later, the excess expenditure was met after the diversion of one crore from the plan funds meant for the upgradation of roads of village and small scale industries sector. Besides that Rs 24 lakh were spent out of interest earned on parking of project funds by the department. Ironically, the same contractor was accorded undue benefits by according the sanction for the construction of RCC drains for the cost of the whooping amount of Rs 1.59 crores.
Reports reveal that the state authorities later even without preparing detailed estimates, the cost of the work was revised to the tune of Rs 2.52 crore and also the additional work amounting to Rs 93 lakh was repeated with same contractor without inviting tenders and without issuing formal allotment letter, on the same rates, in contravention of the codal formalities, resulting in the extension of undue benefit to the contractor to that extent.
Meanwhile, sources said that though the state government is privy to the issue but seems so far reluctant in taking any cognizance or order any probe so that truth could come to fore. "There are already ample details available with the state government over the issue but so fat there has been no measure breakthrough in any investigation that why undue benefits were accorded to a particular contractor," sources added.
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