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LATEST NEWS UPDATES | Games gravy: Rs 8000 crore

Games gravy: Rs 8000 crore

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published Published on Oct 20, 2010   modified Modified on Oct 20, 2010

TheCentral Vigilance Commission has received complaints that put the cumulative value of alleged corruption in projects related to the Commonwealth Games between Rs 5,000 crore and Rs 8,000 crore.

Sources said the complaints included payment to non-existent parties, wilful delay in execution of contracts, inflated prices and bungling in purchase of equipment through tendering.

“The total misappropriation amount may touch a figure of Rs 5,000-8,000 crore. The commission is still awaiting reports from various departments and cannotgive the exact amount involved in the bunglings,” PTI quoted a senior CVC official as saying.

In reply to an RTI application from PTI, the anti-corruption watchdog has given details of projects executed by different government agencies where discrepancies have been detected.

Complaints regarding alleged embezzlement of Rs 1.5 crore in purchase of Hova courts for the badminton stadium, malpractices in the tender for kitchen equipment installation and misappropriation in video board tenders for remodellingand upgradation of Major Dhyan Chand National Stadium were received by the CVC. In all cases, reports are awaited from the sports ministry, it said.

The CVC is probing atleast 22 more Games-related construction and procurement projects executed by different government agencies.

Several investigative arms of the government are now involved in the Games probe.

The Enforcement Directorate has registered a case under the Foreign Exchange Management Act (Fema) to investigate allegations that the Suresh Kalmadi-headed Games organising committee had indulged in irregularities while awardingcontracts for the Queen’s baton relay.

A CBI team visited the organising committee headquarters to collect documents.

The income tax department is investigating the award of broadcast rights by Prasar Bharati to a UK-based company and its Indian arm following charges of tax evasion.

Glare on Emaar

The Delhi DevelopmentAuthority has submitted to urban development minister S. Jaipal Reddy areport on problems in the construction of the Games Village. Emaar-MGF Construction had built the Village.

In the report, the DDA has cited various “irregularities” and “deficiencies” in the construction of 38 towers of the Village. It also accused the builder ofexceeding the permissible limits of construction, sources said. If the allegations are proved, the company could face action.

On October 7, Reddy had written to the DDA that “it has been widely reported that Emaar-MGF Construction has not executed the project of the development of the Games Village diligently and efficiently. There are serious complaints against the project developer, including complaints of construction against the provisions of the sanctioned plan, as well as not adhering to the obligations as per the project development agreement. There have also been reports of delay as well as deficiency in the execution of theproject, which have not only adversely affected the image of DDA but also the Commonwealth Games as a whole.”

In a statement, Emaarsaid it had complied with all laws and regulations, describing the Games Village as a world-class structure developed in record time.


The Telegraph, 20 October, 2010, http://www.telegraphindia.com/1101020/jsp/nation/story_13077757.jsp


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