MAJOR FINANCIAL IRREGULARITIES & BLUNDERS IN PROCUREMENT OF BOOKS BY MR. JITEDNRA YADAV, SCIENTIST ‘E’ & DR. A.K. SAXENA, DIRECTOR
1) DRDO Manual of Procedures for Management of Libraries and TIC 1999 as amended and Purchase Management 2006 as amended are being used in DMSRDE, Kanpur for procurement of books & periodicals. Rule 4.2 of Chapter 4 (ACQUISITION) of Manual is applicable for procurement of Books & Monographs. Copy of relevant rules of chapter 4 are enclosed as Annexure-50.
2) As per Rule 4.2.2 of this Manual selection of vendors should be made on the basis of their past services provided to the library, distributorship of publishers and infrastructure available with them. In the years 2009-2010, 2010-2011 & 2011-2012 there was almost no supply of books and only three vendors get supply orders in 2009-2010 and supplied books. Also these vendors offered 30% discount on books (Foreign & Indian).
3) In the FY 2009-2010 mode of tendering was limited tender of PM 2006 to get better discount and competition to save public money and this results 30% discount on books.
4) In FY 2012-2013 violations of rules and procedures of procurement of books were grossly violated to achieve fatty commission that results financial loss to exchequer. Supply Orders were issued to vendors without keeping in view the past services of the vendors. This results cancellation of all supply orders that took place on 27 April 2012. Hence these vendors should be blacklisted for further procurement of books in Library. But even after non-supply and automatic cancellation of supply orders after expiry of delivery period of 90 days, the supply orders were issued to same vendors on 17 August 2012.
5) Supply Orders were placed on single tender and 10% discount to pet vendors of Dr. A.K. Saxena, Director and all vendors were from New Delhi only. Adopting the process of single tender with 10% discount without following previously adopted procedure of limited tender where vendors were offering discount of 35% – 40% on purchase of foreign books, resulted huge loss of public money and commission making by Mr. Jitendra Yadav and Dr. A.K. Saxena.
6) Even after cancellation of Supply Orders on 23 August 2012 the invoices dated 02 May 2012 were accepted while Supply Orders were placed on 27 April 2012. Thereby mischievously & fraudulently the supply of books were accepted in back date to get fatty commission from these vendors. This gross violation of rules & blunder took place even after cancellations of Supply Orders establish conspiracy against Government by Mr. Jitendra Yadav and Dr. A.K. Saxena.
7) There was no procedure followed for selection of books. In fact there was no requirement of books from Scientists as no demands were made. There was no procurement of books in past two years and only Rs. 94833.00 was expenditure in purchase of books in FY 2009-2010.
8) It is crystal clear that Corruption took place in FY 2012-2013 where all of sudden books of Rs. 1467810.00 has been procured while in previous years it was “NIL” or very less Rs. 94833.00 only in 2009-10. Demand of books which was NIL (Zero) in 2010-11 and 2011-12 has increased all of sudden near about to the Rupees 15 Lakh. As compared to purchase of books in FY 2009-10 the hike in 2012-13 is about 15.5 times. This indicates that books were purchased without any need and requirement just to earn fatty commission.
9) DRDO is having very old manual issued on 11 January 1999 regarding Management of Library/TIC of DRDO. This manual is called as “DRDO Manual of Procedures for Management of Libraries & Technical Information Centres“. After issuance of Purchase Manual -2006 of DRDO this old Manual became ineffective & obsolete. Most of the DRDO Labs/Estt. are using Purchase Manual for procurement of books, Print Journal and Online E-Journals. DMSRDE is also using PM-2006 from last six years for procurement of books, Print Journal and Online E-Journals as can be verified from records of Technical Library of DMSRDE, Kanpur. All of sudden making purchase of books on the basis of old manual smacks malafide intentions and leads corruption in purchase of books in FY 2012-2013. In fact in year 2012-2013 provisions of DRDO Manual of Procedures for Management of Libraries & Technical Information Centres has not been fully followed. Purchase procedures of DRDO Manual are for small & urgent procurement not for big procurements in tune of lakh or crores.
10) Fatty Commission in Procurement of books in FY 2012-2013: Books of Rs. 1467810.60 were purchased at discount of 10% only while in year 2009-2010 the discount on books was 30%. Even in FY 2011-2012 the offered discount by vendors were 35% and now days vendors are offering 40% discount on foreign books. Therefore books were purchased at very high prices on very low discount of 10% only with gross violation & spirit of Purchase Procedures to get maximum discount in open competition under limited tender to save public money. Therefore Rs. 440343.00 (30% of 1467810.00) had taken as fatty commission by Mr. Jitendra Yadav and Dr. A.K. Saxena, Director, DMSRDE.
11) Fraudulent supply of books with fake invoices: In FY 2012-2013 four vendors submitted invoices dated 02 May 2012 against the supply orders dated 27 April 2012 while these Supply orders were cancelled on 23 August 2012 by Mr. Jitednra Yadav, Scientist ‘E’ , Head, Technical Library. The supply on 02 May 2012 was impossible as it takes at least 5 days to reach speed post from DMSRDE dispatch section to the respective vendor. The details /entries of invoices shows that these invoices were not diarised at Director Office central registry and directly entertained by Head, Technical Library. Besides the verification records like receiving of invoices & books at Technical Library, envelops of invoices, CRV, payments by ACDA & records at Finance Division will disclose the whole conspiracy made in procurement of books in back date even after cancellation of supply orders.
12) Splitting of consolidated demand of books in four parts: Dr. Arvind Kumar Saxena split the consolidated demand of books in four parts and misused his official position & powers so that he can get fatty commission from his pet vendors. The books should be procured in one consolidated demands with proper negotiations with vendors to get maximum discount offered in open market. Four supply orders were issued on 27 April 2012 to four vendors that were not made any supply in past four financial years in DMSRDE. This splitting of books demand leads loss to public fund and Corruption of Rs. 440343.00 by Mr. Jitendra Yadav and Dr. A.K. Saxena, Director, DMSRDE. Sprit of Purchase Rules and CVC Guidelines is that “The proposals shall not be split merely to bring them within the delegated powers”.
CHARGES ON DR. ARVIND KUMAR SAXENA, DIRECTOR, DMSRDE
- Misuse of power & position for personal gain
- Splitting of demands of books in four parts to get fatty commission
- Planned conspiracy to accept supply even after cancellation of Supply Orders
CHARGES ON MR. JITENDRA, SCIENTIST ‘E’, HEAD, TECHNICAL LIBRARY
i. Planned conspiracy for Corruption in procurement of books in FY 2012-2013 to earn fatty commission from vendors by issuing supply orders on only 10% discount
ii. Gross violation of rules in selection of vendors, splitting of demands
iii. Acceptance of supply even after cancellation of supply orders with tampering of records in back date
iv. Misconduct under Rule 3.(1) (iii) of CCS(Conducts) Rules 1964
Therefore, in light of the above mentioned facts and evidences, I may kindly request you to issue order for inquiry and disciplinary action against Mr. Jitendra Yadav, Scientist‘E’ and Dr. Arvind Kumar Saxena, Director, DMSRDE by CVO, Ministry of Defence.
Regards
Prabhu Dandriyal,
21-Sunderwala, Raipur,
Phone 0135- 2787750, Mobile- 9411114879,
e-mail id prabhudoon@gmail.com website www.corruptionindrdo.com
