BJP tables BMC’s Rs 12,000 crore audited report findings to corner Uddhav Thackeray

Devendra Fadnavis who is also finance minister said that the CAG report is just tailer, the findings of the reports revealed that there is unimaginable and rampant corruption in BMC.

MUMBAI: Ahead of the BMC elections, to corner Uddhav Thackeray, the Maharashtra deputy chief minister Devendra Fadnavis tabled the CAG report in Maharashtra state legislative assembly on Saturday and highlighted a series of irregularities and lack of transparency in the Rs 12,023 crore worth of work tenders issued by the nine departments of the BMC.

Maharashtra deputy chief minister Devendra Fadnavis who is also finance minister said that the CAG report is just tailer, the findings of the reports revealed that there is unimaginable and rampant corruption in BMC and malafide intentions cannot be ruled out as well.

He said that the CAG carried out the audit of only non-pandemic work orders and projects from November 2019 to June 2022.

“If we carry out the audit of all the work carried out by the BMC, then many surprising and shocking things will come out in the public domain. However, as per tradition, we can table the CAG report in the House directly but surely read out some surprising findings of the audit report as per the demand of the House. Then, I will refer this report to the scrutiny committee and it will be tabled in the House,” Devendra Fadnavis added.

Devendra Fadnavis reading out striking features of the audit report said BMC surprisingly awarded the 20 works of two BMC departments worth t Rs 214.48 crore without inviting tenders which is against the provisions of the manual of procurement of BMC and established vigilance guidelines.

He said the contract agreements were not executed between the contractors and BMC in 64 works costing Rs 4,755.94 crore across the five civic departments.

“The CAG stated there is lack of transparency in BMC tendering and project work, there is a systematic problem in all departments, casualness in work and mismanagement of fund allocations by the BMC,” stated in the report.

“In the absence of formal agreements, BMC would not be able to take any legal recourse against the contractors, in the event of default on the part of the contractors. Moreover, in 13 works costing Rs 3,355.57 crore across three departments, third-party auditors were not appointed to ascertain the quality/quantity of works executed by the contractors,” he reads out.

The finance minister further said, they will talk with chief minister Eknath Shinde and will decide whether these irregularities in BMC-awarded project works have to be investigated or not and if yes, then by which agency?

Political observers said that the BMC elections may be declared anytime therefore the BJP is preparing a strategy to target and corner Uddhav Thackeray by using the CAG report and its irregularities and threatening that these projects can be probed by the central agencies like ED as well. “But the BJP forgot that the people who carried out the work and who ruled the BMC as standing committee chairman and key corporators, they all are with Maharashtra CM Eknath Shinde led Shiv Sena, so it will be interesting to see how the BMC dealt with this tricky issue,” he added.

BOX

Department-wise findings of the CAG report

Health Department

• Construction of Under Graduate/ Post Graduate Hostel Tower in KEM Hospital without permission of respective district Collector. Hence a fine of Rs 2.70 crores was imposed.

Mithi River Pollution Control 

• In July 2019, BMC decided to award four different works to four different contractors within a period of 24 months but in reality, all four works were allotted to only one contractor.

Malad Influent pumping station 

• Work worth Rs 464.72 crores to ineligible tenderers

• Ineligibility for three years notwithstanding the fact

• Malafide intentions cannot be ruled out. CAG observed

Solid Waste Management 

• Global Tender – Waste to Energy 3000 Tons / Per Day Capacity.

• This condition was increased to 600 tonnes/day.

• May. Chennai MSW Pvt. Ltd. was given the job.

• Work worth Rs.648 crores

• Payment of 49.12 crores so far

• Poor monitoring by BMC for abnormal delays in obtaining the mandatory clearances is likely to have a significant impact on the project delivery schedule.

Land

32,394.90 square meters of land in Dahisar (reserved for garden/ playground/ maternity home as per D.P. 1993).

• BMC's resolution of acquisition in December 2011.

• Final Land Acquisition Assessment: Rs 349.14 Crore.

• 716 % more than year 2011  assessment

• Encroachment on this site.

• Now the financial burden on rehabilitation is  Rs 77.80 crore.

• It is likely to increase further.

• This fund has no benefit to BMC.

Department of Information Technology

• SAP implementation: A contract worth Rs159.95 crore was awarded to the previous contractor without inviting tenders.

• May SAP India Ltd. He was paid Rs 37.68 crore per annum for maintenance. But there are no services in return, this is a palpable loss.

• Handling contract, and tender process with the same SAP.

• 2019 forensic audit reports serious scope for manipulation – but no action on it.

Bridge Division- BMC

• Dr. E Moses Road and Keshavrao Khade Marg (Mahalakshmi Railway Station)

• Additional works without approval

• Additional favor from BMC to contractor

• Profits of  Rs 27.14 crores in violation of tender conditions.

• Only 10 % of the work is expected to be completed by 16th March, 2022 while 50 % of the work is expected to be completed.

Sanjay Gandhi National Park 

4.3 km. Twin Tunnel work

• Due to a lack of final approval of the Forest Department

• Price from Rs 4500 crores to Rs 6322 crores from January 19 to August 2022.

Parel TT Fly Over 

• Rs 1.65 crore additional work without calling for tenders.

*Gopalkrishna Gokhale Bridge, Andheri*

• Rs 9.19 crore work without tender

• Rs 15.50 crore was to be paid for bridge demolition but actually paid 17.49 crore.

Roads and Transport 

• CAG studied the total 56 works of the road department

• 51 out of 52 works selected without any survey for Cement concreting work

• Works worth Rs 54.53 crores were added to old works without calling for tenders.

• Micro Silica is used as an ingredient for M-40. It is shown in the bill. But micro silica worth Rs 2.40 crores was not used.

• Handwritten entries were made in the computerized report.

• Rs 1.26 crores were given to the contractors.

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