Saturday, November 27, 2010

CVC raises questions on high cost of CWG stadia

Sun, Nov 28 10 11:06 AM

Ashwini Shrivastava New Delhi, Nov 28 (PTI) The Central Vigilance Commission has found serious procedural lapses and vast differences between the estimated and tendered costs in the development of almost all the Commonwealth Games venues here. It has sought clarification from the authorities concerned on this as the difference in cost ranged from 30 per cent to nearly 100 per cent. According to an internal investigation report made after inspecting the Games stadia, the Commission has noted wrong justification of rates while procuring items, poor quality of construction, grant of work to ineligible firms, rigged tender process, payment of crores of rupees for non-existent items and use of inferior products. The Games construction works related to stadia as well as other aspects which are under the scanner of the anti-corruption watchdog, were carried out by agencies like Central Public Works Department, Public Works Department, New Delhi Municipal Council, Municipal Corporation of Delhi, Delhi Development Authority and RITES, a government of India enterprise and are worth over Rs 760 crore. The Commission has found alleged financial irregularities in about 16 Games projects costing Rs 2,477.22 crore. According to the report, the authorities were far from completing construction and renovation due to various administrative lacunae and improper planning. The Commission has asked all the authorities, that undertook the construction works, to reply to its queries or observations raised by it. The report, received in response to an RTI application filed by PTI, said the construction of indoor stadium for badminton and squash for Commonwealth Games at Sirifort sports complex was given to S B E Billimoria and Company Ltd at 30.75 per cent above the estimated cost of about Rs 118.08 crore. "Most of the items (approximate 95 per cent) were non-scheduled items and their rates in estimate were based on current market rates provided by consultant having experience in such type of work. But the analysis of items prepared for justification was not shown during inspection," the examiner said in the report. "When the consultant prepared the estimate on market rates, justification of 21.91 per cent above the estimated cost within a span of approximate three months does not appear reasonable," the report said. The Commission also questioned poor quality of work and cost escalation in upgrading Shivaji stadium by an "ineligible" firm and at nearly double the estimated cost at Rs 160.27 crore. .


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