Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 150
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 151
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Warning (512): Unable to emit headers. Headers sent in file=/home/brlfuser/public_html/vendor/cakephp/cakephp/src/Error/Debugger.php line=853 [CORE/src/Http/ResponseEmitter.php, line 48]
Warning (2): Cannot modify header information - headers already sent by (output started at /home/brlfuser/public_html/vendor/cakephp/cakephp/src/Error/Debugger.php:853) [CORE/src/Http/ResponseEmitter.php, line 148]
Warning (2): Cannot modify header information - headers already sent by (output started at /home/brlfuser/public_html/vendor/cakephp/cakephp/src/Error/Debugger.php:853) [CORE/src/Http/ResponseEmitter.php, line 181]
LATEST NEWS UPDATES | World Bank gives evidence of corruption in highway projects-Dipak K Dash

World Bank gives evidence of corruption in highway projects-Dipak K Dash

Share this article Share this article
published Published on May 15, 2012   modified Modified on May 15, 2012

The World Bank's allegations of fraud and corrupt practices in highway projects funded by the multilateral agency could just be the tip of the iceberg. The Bank's report has an annexure of "collateral" evidence showing how contractors produced fake invoices and certificates to get advance from National Highways Authority of India (NHAI).

The investigation team of World Bank's Institutional Integrity Unit tracked down three companies supplying aggregates (construction material) in Nepal to establish this. "The bank has provided details of how the aggregate suppliers proved that they had not even supplied 50% of the material claimed by the private contractors. Prima facie, there is enough collateral evidence to suggest that corrupt practices were adopted by the contractors and NHAI officials failed to detect it," a government official said.

Sources said the Nepalese companies had pointed out how the bills didn't have appropriate company stamps and in some cases these did not have the mandatory serial numbers.

The Bank, in its report and annexure, also mentioned that the data and entries downloaded from the contractors' computers showed that cash went to local officials in the district administration and consultants. "There are names of local officials in the districts, junior level officials and employees of the independent consultants. Payments were made to same people very frequently," said an official.

The report claimed that PCL, the contractor, and a joint venture of PCL-MVR, which were engaged in four stretches on the Lucknow-Muzaffarpur national highway funded by the Bank, had submitted "false details" and "fake invoices" showing utilization of funds that they had initially received as advance. These advances were to the tune of Rs 17.5 crore. The Bank has found the money trail, an official said.

The contractors allegedly submitted fake documents to get the second installment of advance known as "second stage mobilization advance". PCL allegedly diverted a portion of this to real estate projects in India and abroad.

"Since the advance cash was diverted to other projects, the actual road work was hampered. A proper investigation by an independent agency will expose how this may be the practice in several other NH projects built on cash contract," a World Bank official in India, who did not wish to be named, named.

All efforts to contact PCL proved futile. Responding to a call, the company's front office executive in Hyderabad said, "The relevant person is not there in the office. We don't have his mobile number."

Highways minister C P Joshi said, "We have constituted an investigating team. I have not yet got their report. I can say something only after receiving the report." He has already said that the ministry was not against an investigation by the CBI into allegations of fraud by PCL if World Bank established wrongdoing.

Highways secretary A K Upadhyaya, who also holds charge of NHAI chairman, said the matter was under examination.

However, a team of NHAI engineers who submitted a report on the allegations claimed that due procedures were followed while sanctioning and releasing second stage mobilization amount (5% of the project cost). The utilization of initial advance amount was forwarded by the supervision consultant and the records were certified by the chartered accountants concerned, they said.

The Times of India, 15 May, 2012, http://timesofindia.indiatimes.com/india/World-Bank-gives-evidence-of-corruption-in-highway-projects/articleshow/13141761.cms


Related Articles

 

Write Comments

Your email address will not be published. Required fields are marked *

*

Video Archives

Archives

share on Facebook
Twitter
RSS
Feedback
Read Later

Contact Form

Please enter security code
      Close