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MASSIVE CORRUPTION IN AIRFORCE UNDERGROUND STRUCTURE, IMPLEMENTATION AGENCY DEFENCE PSU BHARAT ELECTRONICS SUSPENDS ITS OWN INVESTIGATING OFFICERS FOR UNEARTHING ROLE OF CMD & TOP OFFICERS

To.                                                                                           3rd June 2019

Shri Rajnath Singh Ji

104.  South Block

New Delhi – 110011

Dear Sir,

Congratulations for great victory and taking charge of big responsibility of Defence Ministry.

MASSIVE CORRUPTION IN AIRFORCE UNDERGROUND STRUCTURE, IMPLEMENTATION AGENCY DEFENCE PSU BHARAT ELECTRONICS SUSPENDS ITS OWN INVESTIGATING OFFICERS FOR UNEARTHING ROLE OF CMD & TOP OFFICERS

In an unprecedented move the defence public sector undertaking Bharat Electronics Limited (BEL) has suspended three senior officials, who unearthed massive irregularities in the Indian Air Force’s confidential IACCS project- underground bunkers- at 10 strategic locations. The three officials were part of Inquiry committee set up by the BEL’s Chief Vigilance officer (CVO) in July 2018 . The team exposing the role of high ranking officers and manipulation of awards of contracts in Rs.8000 Crore project had submitted the report in October 2018. Instead of taking action against the corrupt officers, BEL management led by its Chairman MV Gowtama, who himself is under the scanner in IACCS project, acted with vengeance and suspended the investigation team members.

It is pertinent to mention that after three-member probe committee submitted the report, BEL CVO , a senior IAS officer MR S.SHIVA KUMAR  1987 BATCH in his note dated 29 March 2019 exposed the deep-rooted corruption recommending strong action against erring officers and firms. Yet, the CMD , who is likely to be arrested if a probe is ordered, cracked the whip against inquiry committee members for doing honest job. This crackdown is in spite of  the fact that the CVO of the company as appointed by CVC of India had established and validated each point of the investigation report  and strongly recommended to management of BEL for immediate police and civil criminal action against concerned BEL officers and chief consultant of the project M/s RD KONSULTANT.  The role of senior DRDO officers is also under the scanner since it was DRDO which recommended and fully supported the name of RD Konsultant to BEL although it was done informally and BEL surreptitiously avoided DRDO role in the files. The role of DRDO officers was brought out and exposed by the BEL vigilance probe team which was suspended on 17 May 2019.  To distract the government’s IB report, CMD, BEL created suspension drama of three personal of BEL, 2 GM Vigilance and one manager to fooling the country. This shows the clear mockery of BEL management.

M/S RD KONSULTANT – DELHI  , which came out to be a shell company in investigation report , incorporated just 3-4 months before the award of PPR consultancy project with all false  and fabricated documents, and was wrongly  awarded DPR consultancy project also violating BEL own manual procedures as well CVC guidelines with a criminal intent of having control over all future activities of civil contract as well infrastructure/ Plant and machinery  items procurement worth more than Rs 3500 crores, as recorded in noting files  and  many senior management personals of M/S BHARAT ELECTRONICS , which is continuously being done since UPA CONGRESS REGIME 2011.

One very interesting fact of the whole case is that the two BHARAT ELECTRONICS senior management personals named Mr N.K. SHARMA DIRECTOR( MARKETTING) and MR CHANDERPRAKASH EXECUTIVE DIRECTOR (D&E) GAD, who were the chief &key persons for co ordinating the IACCS project getting approved from Indian air force, joined  a company named “OIS ADVANCE TECH” – 90% OWNDED BY MR SANJAY BHANDARI – famous arms dealer & power broker  and close associate of ROBERT WADRA immediately after their retirement from BEL in 2010 and 2011, and immediately after this this project got formally started by BEL . 

The detailed and very exhaustive investigation done by fact verification team in early 2018 and further investigation team in end 2018 and subsequently report by CVO of M/s Bharat Electronics has established the details of  massive corruption and mal practices done by M/S RD Konsultant, its associate/related firms and senior management persons of BEL  ( since 2011 onwards till now), by abusing their powers and violating all BEL manuals as well as documented CVC guidelines for tendering for award of civil project works and procurement of items worth more than 3500 crores.

These civil contract worth more than 1000 crores have been given of paper to reputed firms like M/S L&T but at almost 30 % higher and inflated rates (as also mentioned by then Director (Finance) Mr PRABHAT ACHARYA in file noting about more than 100 crore loss as well as violation of BEL Contract manual conditions as well as CVC guidelines) and after some period he resigned from company. After this project given to m/s L&T are being done by M/S RD consultant sister concern named M/S CS CONSTRUCTIONS at sites ( even MD- Mr Rahul Baucher  of M/S CS Construction used to come to BEL-Ghaziabad unit  for regular review meeting on behalf of L&T) – A serious violation of CVC  guidelines as well contract conditions of BEL & M/S RD KONSUL) , which seriously compromise the quality , as it is a very small petty company which in no way  has a technical capability and skill to deal such highly technical and secured project. This fact as validated by the fact that some sites were shown as collapsed during construction and crores of rupees were further approved by BEL management in name of deviation with fixing the responsibility on contractor.

The detailed design which was submitted by M/s R.D. Konsultants specified vendors for all the sub-systems which are used in the blast proof underground buildings. It is seen that these vendors are the same which they had brought out to be their partners during presented made by then during the Pre-qualification bid. The Order which was placed on BEL by Air Force was also based on the detail design report submitted by M/s R.D. Konsultants and hence all these vendors called in the order from Air Force were the same which were defined by M/s R.D. Konsultants.BEL has in turn placed many orders for the sub-systems based on the vendors defined by M/s R.D. Konsultants. A visit was made to the works of many of these European vendors by a team of engineers from BEL along with Air Force personnel. But is it said that the team was accompanied by a rep from M/s R.D. Konsultant and the visit was coordinated by M/s R. D. Konsultant. These foreign companies were allowed to supply materials on a single tender basis by the BEL chairman MV Gowtama. He in fact overruled his own officials and approved qualification of several firms despite they had failed to submit bid details during prescribed time. Such gross violation was similar to the ones seen during 2G scam. BEL Chairman violated the laid down norms by allowing these foreign firms despite objections duly recorded by the finance division.

All above shows a case of massive corruption, fraud and abuse of power with criminal intent and a huge loss to Government public money by BEL senior management persons in connivance with chief consultant, EX DRDO and some IAF officials. The whole investigation report findings are finally found true of the fact that as it is learnt from top BEL & DRDO sources last week M/s RD Konsultant has written to BEL MANAGEMENT that as his chief designer has left the company and now on this bogus consultancy company’s  design, specifications and whole scheme of the project BEL management has already  spend thousands of crores of public money  and suppose its design does not work then who will own the responsibility of whole scam. Now the news that the firm M/S RD KONSULTANT is running out of project the reason could only be because his fraud has come out in media and BEL current management instead of taking legal action against the corrupt, trying to harass and victimize the honest and brave investigation team members ( in name of media leak- which even our prime minister call  as a strong pillar of democracy) .

The team which is suspended and currently facing all type of harassment, victimization and humiliation of suspension, but in spite of all pressures and threats, have unearthed this scam just to keep the spirit of national security and defence importance   and demand only for justice but calling for a detailed CVC/CBI/ED enquiry outside BEL management preview immediately and immediate intervention of MINISTRY OF DEFENCE for action on some BEL senior management for their misdeeds

A honest and sincere appeal to all  concerned officials of PMO/MOD /CVC/PRESS/JUDITARY that please take immediate action in this regard to keep “CHOKIDAR “ alive in our souls  by safeguarding the honour of investigation team officials.

ABOVE ALL MATTER IS COVERED IN DETAILS BY  A REPUTED NEWPAPER

“FIRSTPOST”  IN ITS ARTICLE DATED 02 APRIL, 09 APRIL & 26 April 2019

Before publishing in media the matter was available with AF Intelligence, CVO, CBI, North Block, Chairman, DRDO, IB in March itself but god knows why any agency not take-up this matter seriously.

Hope you will take up matter seriously as you are responsible Chairperson, Audit Committee of BEL and may be aware of all developments from side of BEL management who are posing that matter is mare deviation of 50/60 lakhs as a bonafide fighter against defence corruption since more than 20 years I am fully aware of nexus. This nexus was designed by Retired Scientist of DRDO with ex DRDO chief because the U/G work of services was sole right of DRDO via SPIC, but when retirement stage these corrupt DRDO official gang create the scene and diverted this activity to BEL which doesn’t have any type construction division like DRDO have, U/G plant machinery experience either trading nor manufacturing in this tender only 500 cr electronics involvement can BEL claimed. As per investigation and observation it is clearly visualize that few greedy BEL official trapped in vicious DRDO official and for sake of few bucks they compromised with national security as well as their organization’s dignity. Please ask the vigilance report prepared by these three suspended BEL employees, Report is not an eye opener but will help govern to expose UPA era nexus who are responsible to siphon the defence budget under shadow of secrecy. 

Regards

Prabhu Dandriyal,

21-Sunderwala, Raipur,

Dehradun-248008

Phone – 0135-2787750 | Mobile – 9411114879

Email – prabhudoon@gmail.com | website – www.corruptionindrdo.com

Defence ministry report slams DRDO chief

Defence ministry report slams DRDO chief

14 Aug 2012Hindustan Times (Bhopal)

NEW DELHI: Defence Research and Development Organisation chief VK Saraswat sanctioned R2.8 crore to a mathematical society headed by him, an audit report has revealed. The report prepared by the defence ministry’s finance wing has also dealt with issues of transparency and shortcomings in projects developed by the organisation.

Defence ministry audit questions DRDO functioning

New Delhi: An internal audit report ordered by the defence ministry raised questions over the functioning of the DRDO and the grant of Rs 2.8 crore by its chief VK Saraswat to a society under him.

The report prepared by the finance wing of the defence ministry raised several issues in its review and the transparency of the research agency with a budget of over Rs 5,000 crore, defence sources said in New Delhi.

The report has questioned the grant of Rs 2.8 crore by Saraswat to a mathematical society.

The report has also pointed out that to avoid seeking approvals from the competent financial authorities, the DRDO was splitting the sanctions for its projects, they said.

It has also cited shortcomings in the products developed by the DRDO such as the Arjun tank, which has been found to be overweight by the Army for operations in certain areas along the border.

However, the DRDO said the issues raised in the report “are essentially in the nature of preliminary observations” and it was “vitiated by a faulty audit process”.

“Such preliminary observations are required to be formally issued and replies to the same should be sought prior to compilation of any report. Only if the replies are not satisfactory is the next step of making a preliminary report taken.

“In the extant case, the laid down procedure was not followed and to that extent, the process of audit stands vitiated. Thus, even before seeking replies of DRDO, presumption and baseless conclusions appear to have been arrived at,” DRDO spokesperson Ravi Gupta said.

PTI

DRDO ‘develops’ blatant financial irregularities

Published: Friday, Aug 17, 2012, 9:00 IST

By Pradip R Sagar | Place: New Delhi | Agency: DNA

The ministry of defence’s special audit has found blatant irregularities in the Defence Research Development Organisation’s handling of finances.

The special audit report, accessed by the DNA, reveals that financial sanctions are being split so that they do not require approval of higher authorities.

The audit carried out by Comptroller General of Defence Audit on the direction of defence minister AK Antony has found that key projects costing over Rs300 crore were tweaked by the DRDO to get them sanctioned without approaching the concerned financial authorities.

“DRDO authorities have sometimes used delegated powers to sanction supposedly new projects to complete the work taken up under ongoing projects, instead of going to the concerned financial authority for revision of cost of the old projects,” the audit report claims.

For instance, programme for development of main battle tank Arjun was sanctioned at Rs69.99 crore in November 2010. But the DRDO authorities changed the entire programme and split it into smaller sub-heads and several procurements were sanctioned under ‘build-up’ so that higher authorities within the system could be avoided. This shows that a coordinated attempt to avoid going to higher financial authorities, which is contrary to financial regulations,” the auditors observed.

Similarly, despite having a comprehensive five-year programme sanctioned for human performance enhancement in May 2009 at a cost of Rs34.56 crore, the director of Defence Institute of Physiology & Allied Sciences (DIPAS-DRDO), has managed to get approval for additional projects over the already sanctioned project. Such practice defeats the very purpose of making projects/programmes,” the report added.

Another project called ‘Product support and product improvement of NAG weapon system’ was sanctioned at a cost of Rs28.35 crore by VK Saraswat, director general of DRDO, despite the fact that the Cabinet Committee on Security approved similar programme was still in the pipeline.

Audit report also pointed out an unjustified cost reduction by DG, DRDO for a project for design and development of electro-optical sensors for air-borne platforms (UAV and Aerostat) at a cost of Rs49.82 crore.

“Director General, DRDO has reduced the cost from Rs70 crore as proposed to Rs49.82 crore so as to bring it just under Rs50 crore, which is his sanctioning power,” the special audit report claims.

Under scrutiny of accounts, the audit also found anomalies in facility for elctro-optical system testing (FACET). “FACET was sanctioned at a cost of Rs35 crore by DG, DRDO to create a facility, which is essentially required to meet the objectives of an already sanctioned project,” the report added.

The audit report also observed several split sanctions were issued for renovation of DRDO Bhawan in New Delhi while an unauthorised sanction of Rs49.15 crore to develop vehicle testing facility in Pune from public accounts mainly for civilian use was granted by the DRDO authorities