The employees’ union of the scam-hit Karnataka Soaps & Detergents Ltd (KS&DL) on Tuesday formally submitted a memorandum to Chief Minister Basavaraj Bommai, claiming that the state-run company paid Rs 139 crore in excess, for purchases.
The union also flagged that tenders were floated by violating norms.
The KS&DL Employees’ Union, led by its president G R Shivashankar, gave the memorandum to chief secretary Vandita Sharma, as well.
Shivashankar told DH that he had submitted the same memorandum to the Lokayukta.
The memorandum stated that KS&DL flouted norms by not forming a Purchase Committee, Technical Committee, Finance Committee and Price Negotiation Committee (PNC), besides several others, prior to finalising the tender to procure raw materials.
“The tender norms generally allow manipulation by 2-3 per cent, but in reality the board has procured raw materials despite bidders increasing the cost of raw materials by 70-140 per cent,” the memorandum stated.
To substantiate, the union provided a list of 15 raw materials the KS&DL purchased. Sandranol, for example, was procured at Rs 2,625 per kg, which was 69.35 per cent higher than that of Fragrances & Flavours Association of India (FAFAI) price of Rs 1,550. Similarly, Sandal Mysore Core is listed for Rs 1,660 per kg, but procured at Rs 2,830 - 76.88 per cent more.