SUBJECT: Corruption in procurement of Fume Hoods in DMSRDE Kanpur Officers involved in Procurement
- Sh. A.S. Parihar, Scientist ‘D’ – Indenter
- Sh. Shielendra Kumar, Scientist ‘E’ Head Estate & Work Division and also MMG division both.
- Dr. AK Saxena, Director & CFA
- Defence Materials & Stores Research & Development Establishment (DMSRDE), Kanpur is an establishment under Defence Research & Development Organisation (DRDO), Min. of Defence, DRDO Bhawan, New Delhi.
- DRDO’s Director Material Management distributed to all Labs & Establishments a manual named “DRDO Purchase Management -2006” which was duly approved by President of India and with the concurrence of Ministry of Defence (Fin/R&D) vide their ID No 752/IF (R&D) dated 20 March 2006.
- “DRDO Purchase Management -2006” page no 12, para 4.5.2 stated Directors of Labs/Estts will observe adequate caution while working out detailed specifications of an intended procurement that these are not tailor made to suit a particular brand of product. Broad coverage of the functional performance and environmental parameters will be spelled out in the specifications to allow competition. For this purpose a computer-based data bank of similar products, along with broad specifications will be maintained and updated frequently so as to facilitate fair competition in purchases.
- The following case of procurement of Fume Hoods is totally violated procurement rules laid down by DRDO.
- Tailor made specification was made and brand name as well as model number mentioned in tender inquiry.
- Make cannot be mentioned in demand only item can be purchased whichever is having lowest prise. So he can purchase a branded item of particular firm unless it is propitiatory item. Bio base is Chinese Company so how they decided to purchase that brand when several manufactures and brands of Fume Hood were available in the Market
- Item was purchased by Estate & Works Division, This division cannot indent & purchase Fume hood as this division is only for maintenance of Buildings & Govt accommodation.
- Purchased qty 14 because the total price comes under fifty lakh which was within the limit of Director’s purchase power. Purchase Rules was violated as case was so designed that cost remain below 50 Lakhs (the Financial Power of Director)
- Purchased exorbitant price because the same item is available in open market @ 1350 $ and dollar rate of date of supply order (19 November 2013) was Rs 62.26.
- Open Market cost of Fume Hood Chamber (Make- Biobase, Shandong Model- FH-1200 C) $1350 X 62.26 ( Dollar Rate on 19 Nov 2013 ) = Rs 84051.00
- Fume Hood Chamber (Make- Biobase, Shandong Model- FH-1200 C) was purchased @ 290540.00 and Quantity 14 was purchased total amount Rs. 45,76,005.00. (With Tax)
- Actual cost of 14 no of Fume Hood Chamber (Make- Biobase, Shandong Model- FH-1200 C) Rs 84051.00 X 14 = Rs. 1176714.00
- Purchased exorbitant price by DMSRDE – Rs 290540.00 x 14 = Rs 4067560.00
- Total loss of poor tax payers Rs 4067560.00 – Rs. 1176714 = Rs 2890846.00
FUME HOOD PROCUREMENT CASE
DMSRDE Fume Hood Demands Details Demand Under works DMSRDE, Kanpur Tender Details DMSRDE, Kanpur placed Supply Order to KAN-THT (INDIA) Pvt. Ltd., Delhi to procure the item details of which given below. 5. The facts stated above, it is amply crystal clear that prima facie material regarding Abuse of Authority by arrogant and corrupt administrator Dr. A. K. Saxena, Director DMSRDE exists.
6. In view of the above mentioned facts and evidences it is earnestly requested that an order for through investigation of all procurement done by Dr. Arvind Kumar Saxena after assuming charge as Director, DMSRDE, DRDO, Kanpur to stop further corruption and wastage of poor tax payers money.Prabhu Dandriyal 22 January 2014 21-Sunderwal, Raipur, Dehradun -248008 0135-2787750 – 91-9411114879 Emailfirstname.lastname@example.org, www.corruptionindrdo.com
Annexure – 1. Quotation of Fume Hood Chamber (Make- Biobase, Shandong Model- FH-1200 C)