The state government, however, said the probe will be transferred to the investigative agency "only if required".
Senior Congress member Narayan Rane, while raising the issue through a calling attention motion, alleged that the scale of corruption (in BMC) has gone beyond Rs 9,000 crore in the last three years.
"This year alone corruption worth Rs 352 crore has taken place," he said.
"The difference between the scheduled rate and market rate is as much as 60 per cent that led to irregularities in awarding contracts (in road department). The government should reveal the names of the politicians, who are in partnership with companies that receive contracts," Rane added.
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Leader of Opposition Dhananjay Munde challenged the government to hand over the audit of the BMC road department to Comptroller and Auditor General (CAG), if it had "guts".
Backing Rane, Congress group leader Sharad Ranpise said the government should intervene in BMC's affairs and considering the quantum of irregularities, should "dissolve the BMC".
Responding to the Opposition's demands, Minister of State for Urban Development Ranjit Patil said, "An inquiry is already on. If required, the probe will be transferred to the CBI and the CAG will be asked to conduct an audit as per the procedure."
The minister also clarified that blacklisted contractors have not been awarded any contract, however, they will have to complete the work already awarded to them before being denied new works.
Replying to Ranpise, Patil said, "The contracts have been awarded by the standing committee as per proper procedure.