Tag Archives: Commercial Tax Department

CORRUPTION IN CONSTRUCTION & INSTALLATION OF “NATURALLY VENTILATED GREEN HOUSE WITH MULTILAYERED POLY CARBONATE SHEET” AT DRL, TEZPUR BY DR. RKR SINGH, TECHNICAL OFFICER ‘C’ AND DR. VIJAY VEER, DIRECTOR, DEFENCE RESEARCH LABORATORY(DRL), TEZPUR UNDER DRDO, MINISTRY OF DEFENCE

 To,                                                                                  Date  29th May 2015                                    Chief Vigilance Commissioner,                                                                                                        Central Vigilance Commission,                                                                                                       Satarkta Bhavan,A-Block, GPO Complex,INA,                                                                           New Delhi-110011

 SUBJECT : CORRUPTION IN CONSTRUCTION & INSTALLATION OF “NATURALLY VENTILATED GREEN HOUSE WITH MULTILAYERED POLY CARBONATE SHEET” AT DRL, TEZPUR BY DR. RKR SINGH, TECHNICAL OFFICER ‘C’ AND DR. VIJAY VEER, DIRECTOR, DEFENCE RESEARCH LABORATORY(DRL), TEZPUR UNDER DRDO, MINISTRY OF DEFENCE

Sir,

Following facts regarding corruption and irregularities in construction of “Naturally Ventilated Green House With Multilayered Poly Carbonate Sheet” at DRL, Tezpur by Dr. RKR Singh, Technical Officer ‘C’ AND Dr. Vijay Veer, Director, Defence Research Laboratory, Tezpur is submitting for your investigation and appropriate action.

  1. Defence Research Laboratory (DRL), Tezpur (Assam) is an establishment under Defence Research & Development Organisation (DRDO), Ministry of Defence.
  2. Vijay Veer, Scientist ‘G’ is Director, DRL, Tezpur with effect from 01 March 2012 to till date and he is superannuating on 31 December 2015.
  3. RKR Singh, Technical Officer ‘C’ is posted at DRL, Tezpur since more than 20 years in DRL, Tezpur. He is Head of High Altitude Agriculture Division at DRL, Tezpur.
  4. A project with details submitted below was sanctioned by competent authority at DRDO HQ to DRL, Tezpur.DRL GH cvc table 1
  5. Some other projects related to installation of Green Houses were also completed by DRL, Tezpur with following details.DRL GH cvc table 2DRL GH cvc table 3

Installation of two Green Houses at DRL, Dett. At Tawang

DRL, Tezpur has two detachments in Arunachal Pradesh. One is at Salari, 190 km from Tezpur and another at Tawang, 380 km away from DRL, Tezpur. DRL Dett., Tawang is situated at 10,000 Ft high from sea level. This area is very less of vegetation due to extreme cold climatic condition. Hence cultivation of vegetables in open environments is not possible.

DRL, Tezpur has installed one Green House at DRL, Dett., Tawang and another Green House in same location is under construction. In this Green House, varieties of vegetable nursery is being raised and are being supplied to those Green Houses installed in different army unit for making vegetables nursery is being raised and are being supplied to those green houses installed in different army unit for making vegetables seeding.

Gross irregularities and violation of Purchase Management 2006 took place in issuing of supply orders for construction and installation of Green Houses at DRL, Tezpur.

One case as case study is submitted herewith in which gross violation of purchase rules took place.DRL GH cvc table 4

(A)   Demand was initiated by Dr. RKR Singh, Technical Officer ‘C’ with following details:DRL GH cvc table 5

(B) Open Tender No. DRL/OT/13-14 was published in Newspapers and DRDO website with following details. DRL GH cvc table 7

(C) Based on the said open tender, supply order was issued with following details.DRL GH cvc table 8

 

(D)  Under Supply Order dated 26.12.2013, Job Completion Certificate was issued from DRL, Tezpur vide letter No. DRL/OT/HAR/11/13-14/S-73 dated with following details:DRL GH cvc table 9

(E)  Unique Power Systems is registered at Andhra Pradesh Commercial Tax Department with TIN – 37720549449 and date of registration 02-06-2014 under VAT and CST commodity MACHINERY, Works Contracts; ELECTRICAL TRANSFORMERS, SWITCH GEARS; MACHINERY SPARES, ALL KINDS OF CABLES; COPPER WIRE.

This vendor has its own website uniquepowersystems.in and Mr. Subbarao Ramisetty is proprietor of this firm. According to the information available on the website “Unique Power Systems” are a leading organization engaged in trading and supplying a variety of Electrical and Electronics Items. We have in store a technically superior range of Transmission Line, Substation, Insulator, Vacuum Circuit Breaker, Generator, Transformer, Speed Breakers, Flexible Cable and MCCB.

6. One Open Tender No. DRL/OT/14-15 was published in 2014 for 05 Green Houses with EMD Rs. 100,000. The demands were made in said open tender and case is under process.

IRREGULATIES AND VIOLATION OF PM 2006 IN CONSTRUCTION & INSTALLATION OF GREEN HOUSES AT DRL, TEZPUR

  • Very junior officer of rank Technical Officer ‘C’ was appointed as Project leader with only one member (STA) in the project which is major project activity of DRL, Tezpur. In past project of Green House more than Five Officer/staff were involved with senior most scientists as Project Head. Keeping only officials in such a big project smacks something wrong at end of Director/CFA.
  • RKR Singh, TO ‘C’ was not authorized to indent case of Rs. 50 L while other several senior scientists were available at DRL, Tezpur. This violates section 4.6.2 and 4.6.3 of PM 2006. Demands costing Rs 50 lakh and above: Initiation by Scientist E and above countersigned by project or group head.
  • The demand was initiated as well as countersigned by Dr. RKR Singh, TO ‘C’ and approved by Dr. Vijay Veer, Director. This violated the various sections of PM 2006.
  • Item cost was inclusive of taxes while as per PM 2006 all taxes should be separately calculated and added in basic cost of the item. Material cost, construction and installation cost should be mentioned separately.
  • In demand unit price was mentioned as Rs. 9,92,331.00 but how the indenter arrived at his cost. How he done cost estimation or he submitted any quotation in record for this cost. The figure of unit cost as mentioned by indenter is unrealistic and fabricated.
  • Board of Officers was not constituted for inspection of constructed Green Houses and handing over to users Amy Units. Issue Voucher should be issued to each Green House separately. Job completion report should be endorsed by Board of Officers.
  • Splitting of cases to keep demand cost with in financial powers of Director as in project of Rs. 4.18 crore small-small cases costing just below Rs. 50 L are initiated. Two open tenders no. DRL/OT/13-14 and DRL/OT/14-15 each costing Rs. 50 L was published within same project by splitting of the cases. One tender should be published to avoid splitting of cases and get better prices and consolidated demand should be raised for whole project as PDC was only 36 months. Hence PM 2006 was grossly violated by Dr. Vijay veer, Director/CFA.
  • As per PM 2006 the Supply Order should be signed for and on behalf of ‘President of India’ in DRDO.MM.16 but this section of PM 2006 was grossly violated by Dr. Vijay Veer, Director/CFA. The supply orders issued by DRL, Tezpur are not in format DRDO.MM.16 and these SO are not signed for and on behalf of India, which is very serious matter as per PM 2006.
  • Cost Estimation not made properly figure of unit price is unrealistic.
  • TEC Report was ignored and parameters effecting installation of Green House like soil testing, wind speed, altitude etc not considered by Director and TPC done without clearance of TEC Report.
  • Gross violation of Purchase Rules, Supply Order not in proper format signed on behalf of Director, DRL, Tezpur, TO ‘C’ is not authorized to indent case up to Rs. 50 L. No sales tax, service tax or VAT charged and prices were inclusive of all taxes. Service tax Registration Number.

7.    The departmental action under CCS(CCA) Rules 1965 and PC Act 1988 may kindly be initiated against Vijay Veer, Director, DRL, Tezpur for said misconduct and misuse of power.

In light of above  facts and evidences it is  requested to CVC to setup a high level inquiry to inspect the procurement process and violation of PM 2006 at DRL, Tezpur by Dr. RKR Singh, TO’C’ and Dr. Vijay Veer , Director in construction and installation of all these Green Houses.

Regards

Prabhu  Dandriyal,                                                                                                                             21-Sunderwala, Raipur, Dehradun -248008                                                                               Phone 0135- 2787750, Mobile- 9411114879,e-mail id prabhudoon@gmail.com  website www.corruptionindrdo.com

  • Enclosed – Photo of DRL, Green House, Twang
    Rs 9 Lakh Green House-Tawang-DRL
    Rs 9 Lakh Green House-Tawang-DRL

    DRL GH cvc anx 1DRL GH cvc anx 2DRL GH cvc anx 3

     

Complaint against Dr A K Saxena, Director, DMSRDE, DRDO, Kanpur – Purchasing of Laboratory Microprocessor Based Programmable High Temperature Furnace

To                                                          6th February 2014
Central Vigilance Commissioner,
Central Vigilance Commission,
Satarkta Bhawan, A- Block, GPO Complex, INA,
New Delhi-110023
 

SUBJECT : Purchasing of Laboratory Microprocessor Based Programmable High Temperature Furnace at Exorbitant Price

Sir,

  1. Sh.Rakesh Kumar Gupta, Scientist ‘C’ raised a demand of Laboratory Microprocessor Based Programmable High Temperature Furnace vide Demand No. DMSRDE/13552009 dated 30 August 2012.
  2. SPC date 13th September 2012
  3. DRDO Hqrs approval 1st October 2012
  4.  Tender Date 1st October 2012 (see the efficiency)
  5.  Limited tender enquiries will be issued to vendors registered with R&D Labs/Estts, DGS&D, NSIC, other Government departments and to the firms of national repute who will be registered before their bid is considered as per Para 3.2.2.  Such tenders may also be invited from the Government designated agencies. While inviting limited tender enquiries, due care will be observed in selecting vendors, especially in the case of traders who are not the actual manufacturers/authorized agent, to ensure better after sale service. (Rule 7.6.1 PM 2006)
  6.  Seven firms were mentioned in demand to which tender enquiries were sent. Out of these Modern Scientific Centre, Kanpur, Dhankar Enterprises, Kanpur,  Manglam Traders, Kanpur, Scientific Aid and Omega Furnace Industries, Banglore were registered in July 2013 at DMSRDE.
  7.  In this case two firms Dev Industrial Enterprises, Mumbai and Inschem, Lucknow are non-registered firms.
  8. As per PM 2006 Rule 7.6.1 “Limited tender enquiries will be issued to vendors registered with R&D Labs/Estts, DGS&D, NSIC, other Government departments and to the firms of national repute who will be registered before their bid is considered as per Para 3.2.2.  Such tenders may also be invited from the Government designated agencies. While inviting limited tender enquiries, due care will be observed in selecting vendors, especially in the case of traders who are not the actual manufacturers/authorized agent, to ensure better after sale service”.
  9. Dhankar Enterprises is not registered for Scientific Equipment/Instruments at Commercial Tax Department, Uttar Pradesh then how tender inquiry was sent to Dhankar Enterprises. Copy of registration enclosed.
  10. TEC was done on 6th December 2012
  11. TPC was done on 16th Jan 2013
  12. Supply was made on 27 Sept 2013 while in demand the delivery period was 3 months from date of supply order but SO was placed on 26 Feb 2013 that is delivery was made after 7 months (27 Sept 2013 – 26 Feb 2013 = 7 Months)
  13. No VAT /Tax was claimed in SO as basic cost of item was 1681500.00 only.
  14. Actual cost of item is Rs. 560000 + VAT 5.5% (560000*5.5% = 30800) . Thus total cost is 590800. But SO was placed for  Rs. 1681500.00. Hence item was purchased at very high price and commission of Rs. 1681500 – 590800 = 1090700.00 was made by Dr. AK Saxena, Director, DMSRDE, Kanpur. (Omega Furnace Industries, Banglore’s quotation for same specification furnace is enclosed for ready reference)
  15. Stores Received on 27th September 2013 vide RIN No 14LP0149
  16. M/s Manglam Traders come in front and a review TPC was done,  under Chairmanship of  Dr. Sarfaraz Alam, Sc’G’
  17. Para two of review TPC                                                                                                 “Now, the firm M/s  Omega Furnace Industries, Bangalore has intimated that billing and supply of stores will be done by their local dealer M/s Manglam Traders, Kanpur, vide letter of even no dated September 24, 2013”
  18. Para three of review TPC                                                                                              “The finance rep told that the stores have been supplied by M/s Manglam Traders, Kanpur. Hence, the payment may be made to M/s Manglam Traders, Kanpur”      Para four of review TPC                                                                                                       
  19. “ In view of aforesaid TPC recommends the following
  20. Supply Order was placed to Omega Furnace Industries but by review TPC payment was made to Manglam Traders. This totally against Purchase Management 2006 rule of DRDO
  21. In view of above details, it is clear Violation of Purchase Management 2006 Rule 7.15(a) Constitution of TPC/NC,  it is requested that registered the complaint against Dr A K Saxena, Director, DMSRDE and his blind followers who are mishandling the government funds for their own vested interest. A thorough investigation is needed to explore the relation between Dr A K Saxena, Director, DMSRDE and M/s Manglam Traders, Kanpur. It may be reveal crores of crores rupees scam in DMSRDE and RCI, DRDO.
 
Prabhu Dandriyal                                                                                                                           
21-Sunderwal, Raipur, Dehradun -248008                                                                             
0135-2787750 – 91-9411114879
prabhudoon@gmail.com,  www.corruptionindrdo.com  
 Encloser :
1.    Copy of registration of  Dhankar Enterprises, Kanpur
2.   Brief facts of procurement of Laboratory Microprocessor Based Programmable High   Temperature .Furnace
3.    Omega Furnace Industries, Banglore’s quotation for same specification furnace
 
Copy of registration of  Dhankar Enterprises, Kanpur
Dhankar kanpur
 Brief facts of procurement of Laboratory Microprocessor Based Programmable High   Temperature .Furnacebrief facts omega case