Congress party general secretary Digvijaya Singh has petitioned the Central Vigilance Commission (CVC), accusing Road Transport minister Nitin Gadkari of “crony capitalism” and “nepotism” in awarding the Rs 10,050-crore contract for the Zoji La Pass Tunnel in Jammu & Kashmir.
IRB Infrastructure Developers got the contract and Singh alleges it is a company with which Gadkari earlier had business dealings. The ministers links with the Mhaiskar clan, promoters of IRB Infra, was the “worst kept secret”, contends Singh. Also, that Nikhil Nitin Gadkari, the minister's son, is a shareholder and promoter director in Ideal Energy Projects, part of the IRB Group. He also wants Gadkari's removal as a minister.
Responding, Gadkari stated, “Nothing is done in my department without following the due process of e-tender." And, told reporters, “My son is not a director in that company. I have no stake in that company. I have absolutely nothing to do with this.”
In his letter to the CVC commissioner, Singh states, “IRB will receive semi-annual annuity of Rs 981 crore, commencing after completion of construction.” He has urged CVC to take immediate action “to ensure that the first instalment of Rs 981 crore is withheld till proper enquiry is made”.
Singh says IRB was the sole bidder in the final round and despite other prominent companies in the reckoning in the initial rounds, “they were given specific signals to withdraw or face consequences in other projects. The award was designed, structured and implemented in such a way that CVC guidelines were given a proper by-pass.”
Addressing the media, Singh alleged IRB Infra had invested in the Purti Group of companies, founded by Gadkari. He alleged IRB had no prior experience of such work and despite that it was given the contract of the Zojila Pass Tunnel in Jammu and Kashmir as a BOT project.
Singh has urged PM Narendra Modi to sack Gadkari as it is a "clear case of corruption at the highest level".