Pranav KulkarniTags : JCDA, HEMRL, DRDO lab, Haridwar Singh Posted: Sun Jul 24 2011, 02:44 hrs PuneThe Local Audit Objection report, a JCDA questions contract to Viswaat Chemicals without seeking explosives handling licence. An audit report by the Joint Controller of Defence Accounts (JCDA) has raised questions about the security and tender awarding processes at High Energy Material Research Laboratory (HEMRL), a DRDO lab.
copy of which is with The Indian Express, has questioned HEMRL’s logic of awarding explosive handling contract to Viswaat Chemicals Pvt Ltd under Government Owned Company Operated (GOCO) contract, without asking the company to submit the requisite explosive handling licences. The report also pulls up the contractor for not maintaining entry and exit records of 173 contract manpower during the contract period.
Viswaat Chemicals has been producing a sensitive explosive (HEMRL claims India is only the third country in the world to possess it) at the HEMRL facility. According to the Explosives Act, 1884, producing an explosive handling licence is an important part of the tendering process mandatory for manufacturing and handling explosives.
The Local Audit Objection Report submitted by the Joint Controller of Defence Accounts (JCDA) six months ago refers to a letter numbered HEMRL/MMD/3044/SRP 09-10/34 and dated February 2, 2010 under which the contractor was asked to submit the licence for handling explosives and for the operation of propellent facility.
Former director of HEMRL Haridwar Singh is the director of Viswaat Chemicals.
Scientist G, HEMRL, Dr Bikas Bhattacharya said, “The requirement of the licence was mentioned in the tender specifications. They were to handle explosives for various facilities of the same organisation, HEMRL, because of which licence was not asked. There has been a communication gap and they have the necessary documents. Subsequent reply has been sent to JCDA.”
Manager, R& D, Viswaat Chemicals, S A Borkar said, “We have the licence, however, at the time of the audit, it was submitted for renewal because of which it might not have been seen by the auditors.”
The report also pulls up HEMRL for lapses in security saying, “As per clause 12 of MOU, the contractor has to provide 173 workmen. On scrutiny of the documents, it is revealed that no uniform system exists for maintaining the attendance by the lab for the deployed manpower.”
HEMRL security in-charge Colonel Alok Mathur said, “The system to ensure security checks is in place irrespective of whether the person entering is a scientist or a contract worker.” Bhattacharya said, “Besides normal working hours, there are overtimes during processing campaigns. We have replied to the auditors and they are satisfied with our reply.”
As per the contract, the laboratory agreed to purchase the explosive produced by Viswaat Chemicals at Rs 11,000 per kg. Between November 2007 and December 31, 2010, the laboratory purchased 1,500 kg of explosive from Viswaat Chemicals for Rs 1.7631 crore, including VAT and excise duty. The objection report points out why the laboratory paid additional Rs 11.31 lakh to Viswaat as VAT and excise duty when the production activity of TATB has been undertaken inside the HEMRL campus. “In view of this, the amount paid to the tune of Rs 11, 31,328 may be recovered and remitted into the treasury under intimation audit,” the report said. “We have sent the replies and the case will be settle in a month or two,” said Bhattacharya.
To 17th July 2011
The Defence Minister
Room No -104, South Block
New Delhi – 110011
Honorable Sir,
The recent serial bomb blast in Mumbai made a big question about the easy availability of such rare explosive RDX & TNT to terrorist outfit.
Please find enclosed document which shows the casual approach of HEMRL, DRDO, Pune the premier and one of the best explosive production facility of India.
While going through the document evidence and audit objection of auditor of JCDA, I found the loose end of HEMRL, DRDO, which may be one easy source for Naxalite–Maoist and Terrorist outfit to learn how to make explosive and also chance to pilferage the explosive may add to pilferage.
After receiving the document I have personally visited the place in the last June and observe the possibility and find out that the working method of HEMRL to make the explosive.
HERML having practice to hire outside manpower to produce explosive and the companies involved in this business is related to ex- DRDO senior officials. Dr Hardwar Singh, Ex- Director HEMRL & present director M/s Viswaat Chemicals Pvt Ltd since 2006), the sources said that earlier he was sleeping partner (his son Bunty was inducted in the firm as an employee) when he was active Director, HEMRL.
The same company is involved in all the branches of HEMRL like ACEM, Nasik, where recently you visited on 29th June 2011 and as per press release of DRDO Dr Hardwar Singh was also present there. The company is working since 2000 under Government Owned Company Operated (GOCO) projects with Advance Systems Laboratory (ASL), SF Complex, Jagdalpur.
Mr S A Borkar, Manager, M/s Viswaat Chemicals Pvt Ltd, is only person responsible to hire the manpower and he is doing purely in unprofessional manner by asking HEMRL employees to bring any person of their contact. No police verification is needed. He used to submit a list to police station and after depositing Rs 100/- get a receipt and that receipt is deposited in HEMRL security and they do not wait for police verification, that applied receipt note solve the formality. On the basis of this the casual labour gets the biometric entry card from HEMRL security. No proper entry mechanism is available in HEMRL or any other places.
The records are only maintained with Mr SA Borakar’s office which was situated in old building of HEMRL. Why it is not maintained in HEMRL security because the number of persons in daily required or as per order is need never comes in and the payment bill was always placed as per order. This practice is also observed by local auditor and mentioned his audit objection.
5. HEMRL having 1200 work force but as per local audit objection for HYE 09/2009 & 03/2010 para (e) “ As per clause 10 of tender specification HEMRL had provided expertise to train the contractors personal up to production stage and raw material formulate the production of TATB (Triaminotrinitrobenzene explosive) to the contractor. In view of the above please intimate that why the production activity was not undertaken by in house HEMRL”
As per para (D) of audit objection “Attendance: As per clause of MOU the contractor has to provide total 173 workmen. On scrutiny of documents it is revealed that no uniform system exists for maintaining the attendance by the Lab in respect of deployed Manpower. As per clause 1.5 of General Terms & Conditions the vendor shall ensure that In and Out records of all personals/workers are maintained at the security gate during the contract period. However the same is not being done.”
As per para B of audit objection” Kindly refer to your letter No HEMRL/MMD/ 3044/SRP 09-10/34 Dt 01-02-10 under which the contractor was asked to submit the License for carrying out explosive and for operation of propellant facility. Please intimate the reasons for asking the requisite license after the commencement of the contract and how the contract was awarded in absence of the requisite license. Unfortunately, till date the contractor has failed to produce the requisite license as promised in their letter date 01-02-10. The action taken by your Lab may be intimated to audit.”
As per para (d) of audit objection” The documentary proof of raw material being brought inside the HEMRL through security gate by the contractor for the production of TATB (Triaminotrinitrobenzene explosive) and the nominal roll of the employees deployed entire operation schedule of production activity may be made available to audit for verification” There is no such records available in HEMRL.
As per para (d) of audit objection” Please intimate the costing formula adopted for fixing the price of TATB (Triaminotrinitrobenzene explosive) @ Rs 11,000/- per KG and whether any concurrence have been obtained from Audit authorities.” The contract rates the working methodology is designed and formulated by Dr Hardwar Singh and Dr A Subhanand Rao, DS & CC R&D – DRDO for siphoned the poor tax payer’s money.
Sir, if you just inquire the file you will find n numbers of mechanism to made money like the product is made in house and the firm only providing the manpower but in their bill they are charging 8.24% excise duty and 4 % VAT, a big question because they are working in DRDO. Who can dare to check? The HEMRL not detecting 10% TDS from the firm in the name of providing specialize service.
The entire nation is aggrieved and as loyal citizen it is our responsibility to protect our country and the national interest. In the name of defence establishment even through employees have noticed the modus operandi they are not coming out because of CCS rules.
The Scientific Adviser’s office is become a black hole. Information/ feedbacks are regularly sent by all Labs and establishments but papers are tear off and put in the dustbin.
Board of Directors – B.Vivek Shetty,Vipin Kumar Jain,Arvind Malhotra, Vishes A Shetty,Shashikant R Shetty, Bhasker M Shetty, Hari Prasanna Shetty, Dr Hardwar Singh(Ex Director HEMRL)
Copy for Information and needful action please
P.CHIDAMBARAM,HOME MINISTER, R.No -104, North Block, New Delhi-110011
R.K.Singh, HOME SECRETARY R.No -113, North Block, New Delhi -110011
Enclosed: The Supply Order Copy HEMRL/08AT/0135/D10/LP dated 03/10/2007 The Supply Order Copy HEMRL/10AT/0136/D10/LP dated 28/12/2009 Copy of Audit Objection HYE 09/2009 & 03/2010 GOCO Audit Objection page 1
GOCO Audit Objection page 2GOCO Audit Objection page 3supply order to Viswaat Chemicals owned by Dr Hardwar Singh Ex -Director HEMRLsupply order to Viswaat Chemicals owned by Dr Hardwar Singh Ex -Director HEMRLsupply order to Viswaat Chemicals owned by Dr Hardwar Singh Ex -Director HEMRLsupply order to Viswaat Chemicals owned by Dr Hardwar Singh Ex -Director HEMRLsupply order to Viswaat Chemicals owned by Dr Hardwar Singh Ex -Director HEMRLsupply order to Viswaat Chemicals owned by Dr Hardwar Singh Ex -Director HEMRL
Appeal to clean DRDO of corrupt and anti-national officials
The Local Audit Objection report, a JCDA questions contract to Viswaat Chemicals without seeking explosives handling licence. An audit report by the Joint Controller of Defence Accounts (JCDA) has raised questions about the security and tender awarding processes at High Energy Material Research Laboratory (HEMRL), a DRDO lab.
