Civic body agrees to face CID probe

The ruling Shiv Sena-BJP alliance in the BMC has agreed to face a CID inquiry after the latest Comptroller and Auditor General (CAG) reported that highlighted cost variations and discrepancies in the contracts that were awarded ion the past few years.

Besides, the civic body has decided not to go for variation proposal. Variation here means spending more by altering the basic proposal or proposing additional work withoutu00a0inviting separate tender.

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Aseem Gupta, additional municipal commissioner (Roads), said that they'd stop proposing variation work. "The concerned department should ensure that it doesn't accept variation proposals," he added.

The CAG report, which came during Winter Session of the state assembly, revealed that the roadwork contracts, which were originally worth Rs 1,160 crore, were increased to Rs 1,863 crore without inviting fresh tenders.

According to the BMC circular, variation is permissible only up to 15 per cent of the total cost of the project. However, out of the 88 contracts that were awarded between 2009 and 2011, 59 road contracts violated the rule. Following the blatant violations, the cost increased by a whopping Rs 703 crore.

Congress leader and leader of the Opposition in the BMC Dnyanraj Nikam had raised the issue during the standing committee meeting and demanded a CID inquiry into it. The NCP, MNS and SP had seconded Congress's demand.

NCP leader Dhananjay Pisal, said, "The Sena-BJP alliance is to be blamed for all the losses that the BMC has incurred." While SP group leader Rais Shaik said, "I want a thorough explanation, and have state government to initiate a CID inquiry in this matter."

Meanwhile, Rahul Shewale, chairman of the standing committee and Dilip Patel, BJP leader said that they are ready for inquiry. "The committee either accepts or rejects whatever is proposed by the civic administration. The standing committee has no right to propose new work," said Shewale.u00a0