Housekeeping contract of NMMC hospitals a scam: RTI activist

Times of India: Navi Mumbai: Friday, January 12, 2018.

NMMC's tendering process for appointing an agency for mechanised housekeeping of its four hospitals has come under scrutiny. RTI activist Sanjay Surve has alleged of major corruption in awarding the contract to M/s BVG India pvt ltd in connivance of top most civic officials from across departments.

Around 16 crore annual contract was awarded to the company for period of 5 years in 2015. Allegations levelled includes of health department inflating the profit margin for the contractor's benefit, accounts department clearing payments for chemicals not supplied and audit department failing to look into the discrepancies. The activist through RTI has collected documents pertaining to Vashi Municipal hospital running to almost 222 pages.

"Right from the tendering process to its implementation and even payments made reveals rampant corruption. The company was not even fulfilling the tender conditions. The profit margin of the contractor levied against administrative charges was increased during the negotiation meeting from company's quote of 15% to 20% . Likewise the consultant had estimated depreciation charges of machinery as Rs 6.62 lakhs annually but the department continued to make excess payments of Rs 13.92 cr instead," informed the activist.

Another issue identified has to do with payments made by the accounts department against chemicals. "Audit department had taken objection to this regard as well but surprisingly the matter was closed by merely laying the responsibility on the medical department," said Surve. The commissioner who is also accused of continuing with the contract terminated for poor performance by earlier commissioner Tukaram Mundhe rebutted the allegation.

"The contract is not continuing because of my order instead this is the condition laid in the termination until new contractor is hired. Meanwhile there is a court case is going on and HC has ordered for appointing an arbitrator. With regard to technical allegations a probe has been ordered and if there is any discrepancies it will be dealt accordingly," said Ramaswami.