JnNURM raises a stink in State

Irregularities in 4 key projects suspected

An independent agency, commissioned by the Union Urban Development Ministry to review and monitor the implementation of the various projects in the city under JnNURM, has found serious discrepancies in the four key projects on remodelling of storm water drains (SWD).

A total of 53 projects worth Rs 3,475 crore are under various stages of implementation in the city and the Centre bears 35 per cent of the total cost of these projects. Because the projects are part funded by the Centre, the Urban Development Ministry carries out project revaluation through independent agencies. 

The Hyderabad-based National Consultancy for Planning and Engineering (NCPE), the independent agency, has in its latest report last May, found many discrepancies in the tender documents of the four projects on which already the BBMP had spent Rs 415 crore as against the original approved cost of Rs 643 crore. The BBMP has since revised the total cost of the four projects to Rs 951 crore.

The four projects are: Hebbal Valley project, Vrushabhavathi Valley project, Koramangala Valley project and Challaghatta Valley project. The agency has found that the agreement entered into by the BBMP with the project contractors (15 packages) for the projects were “erroneous” and “incomplete.”

Genuine or fake?

Besides, the official agreement copies contained irrelev­ant details, raising doubts wh­ether the copies were genuine or not. The agency has also not been able to understand the use of words like “quoted rate: and “negotiated quoted rate” in the contract documents. 

The NCPE report dated May 9, 2011, a copy of which was obtained by Deccan Herald under the Right to Information Act from the Karnataka Urban Infrastructure Development and Finance Corporation (KUIDFC), states that the SWD agreement copies furnished by the BBMP merely comprised “proceedings of a meeting held on March 12, 2010 which is totally irrelevant, since contract was entered into in 2006.”

Even the page numbering of the copies was improper and documents attached were incomplete.

The KUIDFC is the State-level nodal agency for implementing JnNURM projects.
In 2006, after floating tenders, the BBMP had awarded contracts worth Rs 496 crore in 15 packages to remodel SWDs in the four valleys in 2006.

The contractors have, on record, carried out works project worth Rs 415 crore till January this year, before the civic body came up with a revised detail project reports (DPR) for the projects, citing various reasons, including delay in removal of encroachments and insufficient land for remodelling drains.

Some of the crucial official records concerning the projects, informed sources said, have gone “missing” in the BBMP. The local body, the sources said, had tendered the projects, disregarding all relevant rules. A majority of the contractors have already got their bills cleared though they are yet to implement the contracted works.

Despite NCPE’s repeated requests and reminders, the Bruhat Bangalore Mahanagara Palike is yet to furnish it with the tender documents.

The failure prompted the KUIDFC to lodged a complaint against the BBMP in this regard with the State government.  At a high level meeting chaired by Chief Secretary S V Ranganath on April 30, the KUIDFC informed about the discrepancies and violation of rules by the BBMP while implementing the projects.

Ranganath, as a result, asked NCPE to submit a detailed report on the issue, besides directing the BBMP Commissioner to take strict action against the erring officials.
But so far, no action has been taken.

The BBMP could be in for more trouble as the four projects have been taken up for performance review and inclusion in the Comptroller and Auditor General’s report.