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Babu secretly releases Rs 32 Cr to 'erring firm' owing Rs 42 Cr penalty Multi-crore scam surfaces in PDD 5/6/2018 12:05:00 AM Early Times Report Jammu, May 5: In a multi-crore scam that may set the heads rolling in Power Development Department, a senior official of the PDD's Kashmir wing, in violation of norms has released Rs 32 crores in favor of an "erring" firm, which already owes penalty of Rs 42 crores towards the state government. Official sources said a top official in the PDD's office of Chief Engineer Project Wing Kashmir has "showered undue fortunes" on the non local company which was allotted contract for execution of project worth around Rs 500 crores to install Ariel Bunch Cables (ABC) in the summer capital of Srinagar and other towns of Kashmir province. Officials said the project sponsored under the Restructured Accelerated Power Development and Reforms Programme (R-APDRP) was allotted to the firm in 2014. The project was scheduled to be completed in two years. "But following sluggish work on the project, the work couldn't be completed in time and the government subsequently imposed a penalty of Rs 42 crores on the firm as per the terms and conditions of the contract," said a senior official in the Civil Secretariat on the condition of anonymity. But despite the imposition of penalty and extension of deadline, the firm didn't gear up work. Officials said till now not more than five percent of the total work has been completed on the ground and that apart from others Chief Secretary BB Vyas is aware of the "grossly poor performance". Despite the poor performance on the project as observed by the state government, an official of the rank of Chief Engineer in July last year released Rs 15 Crores for the firm, in brazen violation of norms. As if this undue favor was not enough, the official in November 2017 released another Rs 17 Crores in favor of the firm. Sources said the funds have been released in winter as "mobilization advance", when such payment was already made at the commencement of the project. "Mobilization advance was just not due. We don't know how this payment has been made," the officials said. A senior official in the Civil Secretariat said the payment has been released without requisite consent from the competent authority adding that the government is shocked. "An official of his position cannot release such payments without prior approval from the state government, including Commissioner Secretary. He has done it out of his own and this is a criminal offence," the officials said. They said the decision to favor the influential firm has been taken in violation of the norms. "What we're given to understand is that three persons including one Chief Engineer, the concerned Accounts Officer and the firm struck a secret deal to get the payments released illegally putting the government to undue loss," the official said. (To be concluded)   Share This News with Your Friends on Social Network     Comment on this Story

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