Thursday, November 19, 2015

Letter, RTI data blow lid off corrupt practices at NITIE

The Hindu: Mumbai: Thursday, 19 November 2015.
A range of irregularities, including siphoning off public funds and instances of corruption and nepotism, have come to light at the National Institute of Industrial Engineering (NITIE), recognised as a centre of excellence by the government of India, on par with the IITs and the IIMs.
A letter by Shiv Sena MP and Public Accounts Committee member Gajanan Kirtikar to Union HRD Minister Smriti Irani, dated June 16, 2015, said, “It may be stated that a large number of irregularities have been noticed in recruitment, overpayment of bills, favouritism, monopoly of some persons in certain sections/departments, and rackets for financially cheating the NITIE for fake cases.”
Mr. Kirtikar’s letter to Ms. Irani follows an earlier letter to NITIE director Karuna Jain dated June 4, listing nine corrupt practices.
According to this communication, NITIE has been paying its legal advisor advocate A.M. Nathani in excess of the stipulated rates by the Ministry of Law and Department of Personnel and Training (DoPT).
“It is reliably known that since 2011, he has been paid more than Rs. 1.5 crore. It is further said that some of the NITIE authorities and officers are hand in glove and are benefited by the commissions regularly paid by Mr. Nathani.
The huge amount of money paid to Mr. Nathani during the tenure of the present director without following the government rates and norms speaks volumes of the corrupt practices at NITIE,” the letter said.
Information obtained under the RTI by a source gives a detailed account of how the institute used its legal team to siphon off public funds.
In one case of ‘disciplinary matter’, the institute paid Rs. 8.54 lakh to Mr. Nathani acting as presenting officer (PO) and Rs. 1.18 lakh to inquiry officer (IO) A. A. Lad (retired judge), as per an RTI reply of March 3, 2013. The honorarium payable to IO/PO per case is Rs. 10,000 and Rs. 75,000 if he/she is retired, as listed in a government circular of December 31, 2012.
NITIE even used public money to defend its former professor Amitabh De in a criminal case of Dalit atrocity. Another RTI reply shows that a hefty sum of Rs. 21.54 lakh was paid to Mr. Nathani and other lawyers in 2012-2013.
Mr. Kirtikar’s letter of June 4 also points to an ‘inquiry racket’ of sorts. “A new methodology of making safe money has been invented at NITIE presumably with the help of the management. The method is simple: issue show cause notice to officers and employees over non issues and announce a domestic inquiry with the appointment of Mr. Nathani as PO and his advocate friend as IO without any provision of rules. Pay them huge sums of money beyond the government norms and give them perks and free transport facility at the cost of NITIE even though the same is not permitted.”
Furthermore, a recruitment scam where two assistant professors were appointed even when they did not have a PhD at the time of short-listing, ‘illegal’ and unsanctioned U.S. tour by NITIE director for which a ‘huge advance’ was drawn from NITIE, ‘illegal MoUs with foreign universities’, and ‘undue favouritism to account officers’, indicate a shocking state of affairs at the centre. The Hindu has copies of Mr. Kirtikar’s letters as well as replies obtained under the RTI Act.
When contacted, Mr. Kirtikar said he had visited NITIE, located in Powai, Mumbai, and the issues raised by him were ‘serious’. “I will follow it up with the Ministry. I had also discussed these problems with the director.”
A petition highlighting the alleged malpractices at NITIE has been filed at the High Court. Repeated attempts to reach Ms. Jain on the phone and email yielded no response. Her office told The Hindu to send queries on email, but 48 hours later, there was no reply.
NITIE was established in 1963 by the HRD Ministry with the assistance of the United Nations Development Programme (UNDP) through the Inter national Labour Organisation (ILO) with a mission to nourish a learning environment conducive to foster innovations in productivity and business development.
A large number of irregularities have been noticed in recruitment, overpayment of bills and monopoly of some persons