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news details
ACB registers case against then Chief Engineer
Financial irregularities in Mughal Road project
11/12/2024 10:12:21 PM
Early Times Report

Jammu, Nov 12: The Jammu and Kashmir Anti-Corruption Bureau (ACB) has registered a case under the Prevention of Corruption Act after investigating allegations of financial misconduct related to the Mughal Road construction project, which spans from Bufliaz to Shopian-Pulwama.
The probe revealed that the Chief Engineer had purportedly approved claims submitted by Hindustan Construction Company Ltd., despite the department challenging these claims. This matter involved significant financial stakes, resulting in substantial losses to the public exchequer.
According to the ACB, the tender for this high-profile project was issued by the Joint Commissioner Works/Chief Engineer of the Mughal Road Project under the Public Works Department (PWD) on March 15, 2005. After following standard procedures, the contract was awarded to M/s Hindustan Construction Company Ltd. at a cost of Rs 214.4 crore, approved by the State Contract Committee. An agreement was formalized under Agreement No. 61 PW(R&B) on February 6, 2006, with a scheduled start date of March 1, 2006, and an expected completion by February 28, 2009.
A supplementary agreement of Rs 126.64 crore was later entered on January 25, 2010, extending the completion deadline to March 31, 2011, which was further extended to February 15, 2012. Due to further delays, th
The probe revealed that the then Chief Engineer had purportedly approved claims submitted by Hindustan Construction Company Ltd., despite the department challenging these claims.
The ACB's verification uncovered that the Chief Engineer had allegedly engaged with representatives of the company outside official settings, bypassing standard protocols and ostensibly seeking undue advantage.
The matter involved significant financial stakes, resulting in substantial losses to the public exchequer.
The Chief Engineer’s actions, conducted in alleged conspiracy with the company resulted in an extension of the project timeline without formal approval.
case was referred to arbitration.
The ACB's verification process further uncovered that Chief Engineer Raman Puri had allegedly engaged with representatives of Hindustan Construction Company Ltd. outside official settings, bypassing standard protocols and ostensibly seeking undue advantage.
The Chief Engineer, in alleged connivance with the construction company, utilized a prior escalation clause and signed an agreement on the company’s letterhead to accept prior escalations from February 15, 2012, to December 31, 2012. This led to an arbitration award favoring the company with an additional Rs 21.52 crore plus Rs 11.27 crore, further impacting government finances.
According to the ACB, the Chief Engineer’s actions, conducted in alleged conspiracy with Hindustan Construction Company Ltd., resulted in an extension of the project timeline without formal approval, avoiding the imposition of a Rs 54 crore liquidation penalty on the company for not completing the project within the specified timeframe.
Based on these findings, the ACB registered an FIR (No. 23/2024) under sections 5(1)(d) read with Section 5(2) of the J&K Prevention of Corruption Act, 2006, and Section 120-B of the Ranbir Penal Code (RPC) against former Chief Engineer Raman Puri, Hindustan Construction Company Ltd., and others. Further investigations are underway.
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