CIDCO violated norms to allot contracts during Fadnavis regime: Maharashtra govt

Maharashtra Chief Minister Uddhav Thackeray. (File)

Norms were violated during allotment of contracts worth Rs 1,916 crore by the state-run City and Industrial Development Corporation of Maharashtra (CIDCO) Ltd during the previous BJP-led regime in Maharashtra, an official report discussed by the Uddhav Thackeray-led cabinet Thursday has found.

CIDCO comes under the state’s Urban Development department, which was headed by then chief minister and now Leader of Opposition in the Legislative Assembly Devendra Fadnavis. With the report also indicating that there were serious deficiencies in the allotment of contracts for the Navi Mumbai International Airport (NMIA) and the Navi Mumbai Metro Rail (NMMR) projects, senior government sources confirmed that the ruling coalition has plans to use the report to corner the Opposition in the ongoing Budget Session .

In fact politics over the report has ensued even before the report is placed before the Legislative Assembly. On Thursday, senior Shiv Sena MLA and former Mumbai Mayor Sunil Prabhu demanded a probe by a retired High Court judge in the matter. Countering Sena’s offensive, former minister Sudhir Mungantiwar said the BJP was open to any inquiry, and that the ruling coalition should stop issuing veiled threats.

According to the report, six contractors, who did not have the requisite work experience, were awarded contracts totalling Rs 890 crore. Besides, 10 other contracts worth Rs 69 crore were awarded without floating tenders in violation of norms.

In violation of government’s norms, the report has further found that additional mobilisation advance, worth Rs 25.33 crore, was offered to contractors implementing work worth Rs 1,328 crore as part of the NMMR project. In three NMIA projects, worth Rs 2,034 crore, the report has found that royalty for excavation of brass, worth Rs 23 crore, was not recovered.

The report has also observed that global bids issued for NMIA and NMMR projects were not published in any international publications. In dilution of set guidelines, 16 tenders, each worth over Rs 50 crore or more, were awarded without issuing any advertisements in major newspapers. In seven other projects, each worth Rs 15 crore or more, the report has found that bidders were shortlisted without proper technical evaluation. The report has also faulted CIDCO for not recovering additional lease premium worth Rs 19 crore in some cases were land were acquired.

BJP MLA from Panvel, Prashant Thakur, who was the chairman of CIDCO, and a top bureaucrat could also be targetted over the issue, said sources.