Tanushree Roy Chowdhury, TNN, Nov 15, 2010,
GURGAON: Aman Kachroos father blamed the University Grants Commission (UGC) for making incorrect choices during the bidding process for an anti-ragging project that stopped it from taking off. Rajendra Kachroo has alleged that the UGC outsourced the project to EdCIL Ltd, a public sector undertaking, through direct nomination without inviting open tenders.
Through RTI replies, it has also come to light that despite experienced competitors like Religare, iEnergizer Inc and First Source Ltd that offered to carry out the exercise at approximately 1/8th the price quoted by EdCIL, there were no bids called for the project. By doing so, EdCILs technical competence, price competitiveness or ability to deliver were not put to test.
Also, despite being appointed a project consultant which entitles the agency to about 10-15 per cent share of the total project cost EdCIL has raised the invoice for the full project amount, making it a contractor as well as consultant at the same time.
This is evident from one of the RTI replies where EdCIL has raised an invoice to the UGC of Rs 1.12 crore for the anti-ragging helpline project other than its fee of Rs 13.44 lakh. Both the amounts were transferred to the agencys account.
The problem which arises from such transfers is that since EdCIL is a PSU, it escapes the CAG audit under the civil audit procedures because the transfer is shown as EdCIL revenue. Under these conditions, the company is primarily audited only by a chartered accountant using commercial audit procedures.
As per data available on the EdCIL official website, the company is estimated to have an annual turnover of Rs 80 crore. All this by raising direct invoices for full project costs instead of consultancy fees.
In yet another project titled Construction of IInd Boys hostel for IIT, Allahabad, the total cost of the project of Rs 17 crore has been paid to EdCIL Ltd as per an RTI reply which further mentions that while EdCIL was the project manager, the contractor was one M/s Prasad Construction Co. These are just a few of the issues highlighted as part of a complaint prepared by Kachroo which has now been submitted to the CVC and CAG. I am yet to receive a reply from them, said Kachroo, adding, The MHRD has cleverly eliminated both the compliance as well as performance audit of the CAG for all those funds that they have transferred to EdCIL. This amount runs into crores of rupees annually, the complaint states.
As per a court order last year, the HRD ministry was directed to follow the methodology as per the plan submitted by Kachroo. But the HRD Ministry, through the UGC on May 22, 2009, gave the anti-ragging project to EdCIL, which, as per records, has only worked on projects received through the ministry on nomination.
The SC directives on anti-ragging measures included setting up of a central crisis hotline, an anti-ragging database created out of affidavits submitted by students/parents and information of all colleges across the country. An RTI filed by Kachroo earlier revealed that the call centre set up after a Supreme Court ruling based on suggestions given by Kachroo himself has proved to be a non-starter.
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