WB state firms favoured private contractors,says CAG

State government-owned companies and corporations had been unduly generous to private contractors, the report of the Comptroller and Audit General of India (CAG) has indicated.

For example, against a quoted rate of Rs 270 per sqmt and Rs 155 per sqmt for execution of 150 mm and 75 mm thick water bound macadam (WBM), the chief engineer of the public works-roads department gifted a private contractor with a rate of Rs 414.15 per sqmt and Rs 215.40 per sqmt resulting in excess billing of Rs 1.53 crore.

On verbal orders of the chairman, Darjeeling Gorkha Autonomas Hill Council (DGAHC) arbitrarily enhanced the rates of scheduled and non-scheduled items for bridge construction led to an excess payment of Rs 56 lakh to the private contractor.

Despite failure of Amsons Corporation , the financial consultant of Indo Canadian Papers Limited ( ICPL) a joint venture of Development Consultants Limited, West Bengal Industrial Development Corporation , Canadian Industrial Consortium and IPP limited failed the raise foreign fund for a project, the company paid Rs 54.90 lakh to it without linking the payments to the receipt of fund.

Even without inviting any tender , West Bengal Fisheries Corporation Limited engaged Braithwaite Burn & Jessop Construction Company Limited (BBJCCL) for constructing a minor fishing harbour "" CAG report revealed that the contractor have been paid beyond the terms of the agreement Rs 26.21 lakh .

Failure of the management of the Calcutta Tramways Company (1978) Limited to enforce provisions of a tender and notification of award on a defaulting firm, Milestone Advertising resulted in a loss of revenue of Rs 79 lakh "" an outcome of undue favour extended to an private firm.

Inaction on the part of Dept. of Sports and Youth services with a view to extend undue favour to a private company M/s Celebrity Management Group (CMG) Pvt Ltd and casually drafted MOU between West Bengal State Council of Sports (WBSCS) and CMG paved the way to the non-payment of Rs 20.98 lakh by CMG to the government for holding ' Hrithik Roshan Show'.