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Handicrafts Corp makes Rs 1 cr purchases, sans tenders
SVO initiates probe against MD
10/23/2016 12:27:08 AM

Early Times Report
SRINAGAR, Oct 22: The State Vigilance Organisation (SVO) has initiated an "open investigation" against the Managing Director (MD) of J&K Handicrafts S&E Corporation (JKHC) who allegedly purchased goods worth Rs 1 crore through the State Industries Corporation (SICOP).
As per details available, the MD, Ishtiyaq Hussain Drabu, paid Rs 1 crore under cheque No: 459160, dated 4.5.2016, to a contractor through SICOP for work done and supply of goods to JKHC which is running on losses from last more than a decade now.
A complaint filed against MD before the SVO alleges that he had an understanding with the contractor and SICOP during this deal.
The Financial Advisor of JKHC & MD have allegedly got a huge cut during this deal reads the complaint.
The contractor is said to have received Rs 30 lakh, while as goods supplied hardly cost Rs 20 lakhs. On the other hand employees of the corporation are without salaries for months together as the corporation is running on losses due to official mismanagement and malpractices.
Pertinent to mention that Government had cancelled the grade promotion of the said MD after several cases of corruption and other issues related to blatant misuse of official position was brought into the notice of the government. The MD had illegally promoted 210 employees of the corporation and it is alleged that at an average Rs 1.20 lakhs was taken as bribe by him from each official.
The MD had shown utmost disrespect to state legislature by providing misleading and incorrect information to the assembly about the appointments made by the corporation from last three years.
A member of state legislature had asked government about the appointments made in SIDCO, SICOP, JK Cements, and Handicrafts Corporation. To this question the MD said that his corporation has not made any such appointments from last three years. But as per reliable sources, he has made as many as four appointments in the corporation. The backdoor appointees are as on date posted in various branches of the corporation.
The details of backdoor appointees are: Syed Anzar posted at Residency Road branch Jammu. Gousia posted as head office of Handicrafts Corporation Srinagar. Richa posted at Residency road branch Jammu. The fourth one is posted at Baba Kharag Singh Marg branch of Handicrafts Corporation. Sources say that these influential people have been appointed in JKHC in violation of rules and the MD deliberately mislead the state legislature by providing misleading information about these appointments. Providing incorrect and misleading information to state legislature is considered to be a heinous crime, and the officer who provides such misleading information to legislature can even loose his job.
The said tainted MD had managed to get grade promotion for himself from the corporation he heads. The MD got himself promoted in the grade of 34400 -67000 with grade pay of 8700 vide order no 119 JKHC Of 2014 dated 24-10-2014 which is totally illegal and against the rules as the said promotion was not authenticated by the General Administration Department. The Industries department which is the administrative department for Handicrafts Corporation vide its order No: 149- IND-of 2016 dated 3.8.2016 has finally cancelled the said order as the same has been issued by the corporation itself in violation of norms. In addition to cancellation of the grade promotion order , Industries department has cancelled all the 210 promotions made by the MD in the corporation.
It is worthwhile to mention here that Drabu was previously working in SICOP and was promoted as MD JKHC through backdoor means bySajadKitchloo who was MoS Industries (Independent Charge) during Omar Abdullah led government.
Vigilance has endorsed the complaint against said tainted MD on 23/6/2016 and open investigation has been initiated. It is known from sources that FIR against the MD may be registered very soon.
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