ANNEXURE – II

(PARA 3.6)

SOME EXAMPLES OF PRIMA FACIE LAPSES/IRREGULARITIES

DETECTED IN THE EXECUTION OF WORKS

A. GOVERNMENT DEPARTMENTS

A.1 CENTRAL PUBLIC WORKS DEPARTMENT

A.1.1 Construction of multistoreyed Intelligence Bureau Complex building at Sardar Patel Marg, New Delhi (SH: Main office bldg. Part- I :

Specification of chempest & acrylic based water proofing treatment were not appended in agreement. Normal R.C.C. Beam & Slab item executed against coffers specified in agreement. Pre-cast coffers work and welded joints were not having proper workman ship.

A.1.2 Construction of Indira Gandhi Mint township at Sector –23, Noida, Ghaziabad, SH:-Construction of 96 staff quarters :

Work was awarded before getting approval from local bodies, corrections in tender were not attested, rates were not given in words, sample unit was not adequate, some overpayments/temporary overpayments were made. Plastering was done without hacking, floor traps were not conforming to I.S. requirements.

A.1.3 Construction of 66 Nos. Type II, 30 Nos. Type IV and 20 Nos Type V Qtrs. at Indira Gandhi National Open University, Maidan Garhi, New Delhi.

Work has been awarded to lowest tenderer by allowing him to increase tendered cost by Rs.5,83,286.00. Manufactures specifications have not been made part of agreement. Development work was lagging. Extra payment of Rs. 1,97,492.00 has been made for using PPS bricks instead of modular bricks.

A.1.4 Construction of Hostel Building for Videsh Sanchar Nigam Limited at Dighi Distt. Pune.

The detailed estimate has been inflated which is clear from the tendered cost being 10% below. Site records have not been identified and account not maintained.

A.1.5 Construction of 262 Nos. family quarters for CRPF at Telegaon, Pune.

The deviation in quantities were beyond permissible limit. Excess cement has been used and certain site records have not been maintained and certain deficiencies in execution of work were noticed.

A.1.6 Construction of various buildings at T.T.T.I. Bhopal including water supply, sanitary installation and development works.

Tender document without filling in requisite information were issued to the contractor by Executive Engineer, salt peter action on plaster apart from rough surface of plaster was observed.

A.1.7 Construction of Jawahar Navodya Vidhalaya at Palus Distt. Sangli. SH: Construction of 3 nos. Dormitories with each 2 nos. Warden’s residence including water supply, sanitary installation and drainage.

Work has been splitted in smaller components but rates of accepted tenders varied in a considerable range. Economy was anticipated if composite tender would have been invited.

A.1.8 Construction of laboratory-cum-office Building for All India Soil Land Use Survey (AIS & LUS) at Baishnabghata Patuli at Calcutta. SH: Superstructure.

Preliminary estimate was not prepared properly. Services of consultant were availed without justification.

A.1.9 In the work of construction of Residential accommodation for C.R.P.F. at Salt Lake Sector IV/V Calcutta Phase – I SH: Construction of 72 type –II Quarters.

Exterior grade MDF board shutters in exposed surface were provided in violation of departmental instructions.

A.1.10 Costly ceiling with coffers has been provided without much of advantage. Huge deviations in quantities indicate poor estimation.

A.1.11 Construction of office cum laboratory building for Geological Survey of India at Mangalore. SH: Superstructure including internal water supply & Sanitary installation.

Execution of work has been delayed due to delay in issue of structural drawings. The supervision of work was not effective since many defects have been observed.

A.1.12 Construction of General Pool Residential Accommodation at Hosur-Sarjapur Road(505 Quarters) Bangalore.

The tender documents were not issued as per approved notice inviting tender (NIT). The workmanship was poor indicating laxity in supervision.

                                                                                                                                    

 

 

 

A.2 DEPARTMENT OF ATOMIC ENERGY

A.2.1 Electrical works for NFATCC Labs and Ancillary Building at Pune.

Specific criteria for selection of tenderers i.e. works completed, turnover, have not been indicated. The Low Tension Panels accepted were not fulfilling specified conditions. Earth was not laid as per I.S. Specifications.

A.3 DEPARTMENT OF SCIENCE & TECHNOLOCY

A.3.1 Construction of Housing complex consisting of 81 Nos. Qtrs. including services for National Centre for Medium Range Weather Forecast(NCMRWF) at Institutional Area NOIDA.

NIDC were appointed as consultants on turnkey basis by the Department. The work was awarded without preparing proper market rate justification. Agreement provisions in respect of insurance were not complied with. Large scale deviations/substitution in quantities of various agreement items indicate poor estimation.

A.4 DEPARTMENT OF SPACE

A.4.1 Supply, installation, Testing and Commissioning of Equipment for making low temperature rooms in NFATCC labs and Animal House at University Campus, Ganeshkhind, PUNE.

Work was awarded to third lowest who was Rs.4 lakhs higher. Temporary overpayment of Rs.0.99 lakhs was made to the contractor by wrong sanction of the substituted item statement.

A.4.2 Construction of additional staff quarters for "C" type 64 nos. Scooter parking sheds and amenity building for Space Application Centre (Civil and Internal Public Health Works) at Vejalpur, Bopal Road, Ahmedabad.

Second lowest tenderer was recommended instead of first lowest without any effort to bring down rates to the level of first lowest, causing extra expenditure of Rs. 4.26 lakhs. The mix of concrete was left vague since both volumetric mix and controlled concrete was specified. No specifications have been indicated for sand for brick work, plastering etc.

A.4.3 High Tension Power Supply System and substation for Laboratory for Electro-Optic System (LEOS) main building Phase-I works at Peenya, Bangalore.

The eligibility criteria of contractors was not fixed before issue of tenders. Detailed measurements have not been recorded and no test check carried out by senior officers.

                                                                                                                                        

 

 

A.5 DEPARTMENT OF TELECOMMUNICATIONS

A.5.1 Supply, installation, testing and commissioning of 2x100 KVA Diesel Engine Alternator sets for MEM Exchange at Killegal (Mysore District).

Original equipment manufacturers of Diesel Engine Alternator Set locally based at Bangalore were not informed and publicity through press was inadequate. Log book of engines were not maintained resulting in unbalanced running of engines.

A.5.2 In case of MAX-I building ATTUR extra-work of Rs.41.27 lakhs has been awarded without proper competition. The agreement was having deficiencies and material account at site was not maintained properly.

A.6 GOVERNMENT OF NCT OF DELHI- IRRIGATION & FLOOD CONTROL

A.6.1 Rining of trunk-drain No.1 between RD5260M to RD5675M including construction of bed cuenette and excavation of drain up to its design section

Extension of time was communicated by the Executive Engineer without getting approved of competent authority, theoretical consumption statement not attached with bills.

A.7 MINISTRY OF ENVIRONMENT & FORESTS

A.7.1 Construction of Laboratory and workshop for Forest Research Laboratory (FRL), Bangalore. SH: Sub-station Equipment and Workshop wiring

Costly minimum oil circuit breakers were provided without justification and High Tension Panel with aluminium bus bars was accepted instead of copper bus bars.

A.8 SOUTH CENTRAL RAILWAY

A.8.1 Proposed construction of new building for passenger reservation system.

There has been large scale changes in the scope of work. Cost of work increased from Rs.47.9 lakhs to Rs.93.6 lakhs. Justification based on prevailing market rates have not been prepared. Work has been delayed considerably.

                                                                                                                                    

 

 

B. BANKS AND FINANCIAL INSTITUTIONS

B.1 BANK OF INDIA

B.1.1 Automation/renovation of Parliament Street Branch.

The bank had appointed an architect arbitrarily i.e. without proper publicity, competition etc. The civil works were awarded without preparing proper market rate justification. Undue benefit was extended to contractor by paying secured advance for a particular material which was not to be used for this work. Agreement provisions towards insurance were not complied with.

B.2 NATIONAL BANK FOR AGRICULTURE AND RURAL DEVELOPMENT (NABARD)

B.2.1 The construction management consultant has been appointed without any such provision in R.B.I. guidelines. The second lowest bidder has been appointed as consultant at a higher cost of Rs.16 lakhs without adequate justification.

B.3 PUNJAB NATIONAL BANK

B.3.1 Electrical works of PNB Building for Printing and Stationary Department at C-13, Sector-1, Noida.

Excessive lighting load was taken into consideration in the design of the estimate. Overpayments had been released/made. Earthing has not been provided as per specifications. Low Tension Panels has been accepted with a number of deficiencies and without fulfilling the design criteria.

B.4 RESERVE BANK OF INDIA

B.4.1 Construction of proposed office building at plot no.3 Sector-10, CBD Belapur, Navi Mumbai.

The selection of consultants were made in arbitrary manner. Deviations in quantities of many agreement items indicate poor estimation by the consultants appointed by R.B.I. Number of deficiencies were observed in the work mainly in items of Dholpur stone cladding, pre-cast RCC Mridul tiles etc.

B.5 STATE BANK OF INDIA

B.5.1 Construction of 175 Nos. Officers flats in Sector 42-C at Chandigarh- Electrical installation.

The contractor has been paid Rs.19.04 lakhs and contract closed without proper justification. The work was not test checked.

B.5.2 Internal & external electrification work for the residential flats at Binnyston Garden, Bangalore.

The earthing of feeder pillars and internal wiring was not done properly. The number of points provided in many conduits was more than permissible. Non-standard sizes of wires also adopted.

B.6 STATE BANK OF INDORE

B.6.1 Prescribed procedure for appointment of Architect was not followed. Market rates justification was not prepared to asses reasonability of tendered rates. Many items of work executed were under specifications.

                                                                                                                                    

 

 

B.7 LIFE INSURANCE CORPORATION

B.7.1 Construction of Divisional office-III, Janakpuri, New Delhi.

The estimates were not prepared properly and a gap of 21 months has been kept in date of issue and opening of tenders. The work has not been checked properly and many defects and over-measurements noticed.

B.7.2 Providing Electric Service Connections of Staff Training College Building (LIC) at Lucknow.

The contractor has been selected arbitrarily. 250 KVA transformer was procured, whereas 125 KVA transformer would have been adequate. Cheaper make of the transformer was accepted without ascertaining that transformer is of copper wound type. Earthing sets were not provided as per I.S. specifications.

C.1 AIRPORTS AUTHORITY OF INDIA

C.1.1 Shifting of CCR Hall and Power House at Mumbai Airport – Provision of 2 Nos. 350 KV DG Sets.

The notice inviting tender (NIT) was not prepared properly and tender assessment was defective. Routine tests have not been carried out on Diesel Generation Set.

C.2 BHARAT ALUMINIUM COMPANY LIMITED

C.2.1 35000 tree plantation, maintenance and erection of fencing around plantation area in BALCO, Korba.

The work of 35000 tree plantations was awarded at tendered amount of Rs.82 lakhs without specifying detailed specifications leaving scope for plantation of low cost species.

C.3 BHARAT DYNAMICS LIMITED

C.3.1 Construction of Design, Engineering and Electronics Centre at BDL Kanchanbagh, Hyderabad.

Certain items like Aluminium windows, flooring, shutters etc., has not been executed as per agreement but paid as agreement.

C.4 BHARAT HEAVY ELECTRICALS LIMITED

C.4.1 Construction of building and other facility for ROD Plant 39 nos. of capacities 300 cums, 150 cums. 100,50,20 & 10 cums at various places in Ramnad Distt. (T.N.)

The work was awarded without following any procedure. Recovery details of mobilisation advance of Rs.450 lakhs could not been supplied.

C.5 BHARAT PETROLEUM CORPORATION LIMITED

C.5.1 Design, supply installation & commissioning of automatic BCF Halon-1211 Fire Protection Systems for New C.R.U. at B.P.C.L., Mumbai.

Detailed estimate had not been prepared as per B.P.C.L. guidelines. Limited tenders had been called without justification. Measurements have not been recorded while making payments.

C.6 CALCUTTA PORT TRUST

C.6.1 Augmentation of electric power supply at Taratolla Colony Ph.II for C.P.T. Calcutta.

Press notice issued for pre-qualification of tenderers was defective. The dismantled materials were not properly accounted. Electrical panels were not as per agreement item.

                                                                                                                                    

 

 

C.7 CHANDIGARH ADMINISTRATION

(CHANDIGARH HOUSING BOARD)

C.7.1 Construction of 16/32 Nos. Type IV houses at PGI Chandigarh.

The publicity of the tender was not in order. Tender was accepted without market rate justification. Lot of defects were observed in the work. Number of procedural deficiencies were observed in pre-tender activities.

C.8 DELHI DEVELOPMENT AUTHORITY

C.8.1 Development of 128.99 hectares of land in the west of Rohini Ph.III. SH: Construction of peripheral storm water pipe drain in Sector-22 (Revised Balance Work)

Excess expenditure to the extent of Rs.75 lakhs has been incurred due to wrong design. The specifications were revised during execution causing heavy deviations. Although for the remaining work, tenders were invited but work was awarded to the original contractor who had not even tendered.

C.8.2 Construction of 312 SFS houses (146 Cat.III & 166 Cat.II), 312 SIG, 78 Car Garages including internal development of land in Sector-I, Pocket-I, Group-I, Dwarka, Ph.I. SH: Construction of 136 SFS houses (66 Cat.III, 70 Cat.II) Sector-I. Pkt.I, Group-I, Dwarka, Ph.I

Proper quality primer has not been used. The grill design found deficient and flooring work was poor. Many other workmanship defects were observed.

C.8.3 Construction 100 SFS houses (49 Cat.III & 51 Cat.II) and 100 Scooter Garages, 25 Car Garages i/c internal development of land Sector-22, Dwarka, Ph.I, Group-I

Commencement of work was delayed by nine months due to incorrect layout. Secured advance on breakable item was paid without required insurance covers. Certain discrepancies in execution of work were observed.

C.8.4 Construction of 384 (4 storeyed )LIG Houses including water supply and sanitary installation in Group-II, Ph.II, Dwarka

The tender in third call has been accepted at Rs.365.49 lakhs against lowest tender in first call at Rs.348.82 lakhs thus causing loss to the organisation. Site records have not been maintained as per requirements. Certain discrepancies were observed during execution and payment.

C.8.5 Construction of 164 SFS (84 Cat.II & 84 Cat.III) and 123 Scooter Garages including providing cast in situ under reamed piles foundations and internal development at land at Sector-9, Dwarka

Long time was taken in processing the tenders which resulted into escalation payment. Tenders were invited without finalisation of design and drawings. Sample unit was not constructed. Certain extra item paid were inadmissible. Cement register not maintained properly. No action was taken for the materials which failed in tests.

C.9 DELHI STATE INDUSTRIAL DEVELOPMENT CORPORATION

C.9.1 Construction of Multi-purpose Community Centre at Bakkarwala, Delhi.

The structural consultants were appointed arbitrarily. The tendered cost deviated to almost double without obtaining prior approval of competent authority. Few infructuous extra items were sanctioned. Lot of defects were observed in the work.

                                                                                                                                

 

C.10 FOOD CORPORATION OF INDIA

C.10.1 Providing internal electrical installation & fans in Hostel and Institute Building & P/I manually operated electric fire alarm system in Hostel Building at Central Training Institute, Gurgaon

Full payment against supply of materials has been made in contravention of the terms of contract.

C.10.2 Construction of multi-storyed district office complex for Food Corporation of India at Sanjay Place, Agra

Deficiencies were observed in planning specifications for water proofing, etc. Partition walls were not in line with the beams. Arbitration clause was incorrect. Number of tests conducted were on lower side.

 

C.11 GAS AUTHORITY OF INDIA

C.11.1 Electrical substation and related work for PARC Building at G.T.I. at NOIDA (U.P.)

Non-eligible contractors have been issued tenders. The reasonability of tenders has not been assessed. Measurements have not been recorded.

C.11.2 Construction of Plastic Application Research Centre at NOIDA.

The agreement with consultant was deficient. Proper estimates were not prepared. No market rate justification was prepared.

C.11.3 Construction of Guest House-cum-Residential Complex at Bandra-Kurla, Mumbai.

The detailed estimate was sanctioned even before sanction of the project. Market rate justification was not prepared. Agreement with consultant & contractor had many discrepancies, test-check of measurements not performed. Extra-items executed & paid without getting proper sanction. Secured advance given without insurance cover, temporary overpayments/overpayments made.

C.12 HINDUSTAN PETROLEUM CORPORATION

C.12.1 Ventilation system for OMCC, Boiler House, Cracked LPG & Catpoly substation at Refinery at H.P.C.L. at Mumbai.

The consultant did not prepare the drawings and designs before preparation of the detailed estimate. The consultation fee is more than the cost of the work. Measurements have not been recorded. Materials have been accepted other than the specified. No amount has been recovered for delay in completion of work. Income Tax has not been deducted from the bill.

C.12.2 Lighting system revamp Vaccum Place Still and NMP-I Unit Areas of Lube Refinery HPCL at Mumbai.

No market rate justification was prepared to ascertain the reasonability of rates. Measurements have not been recorded. Excessive Mobilisation Advance has been paid. The supervision and maintenance of Accounts has been lagging.

C.12.3 Construction of Housing Complex at Malviya Nagar, Jaipur.

Tenders in first call were rejected and work was awarded at higher cost of Rs.16 lakhs. Market rate justification was not prepared. Site records were not maintained properly. Number of tests conducted was on lower side. Unstipulated item of steel was supplied. Cement was stacked in open area. There were many defects in the work executed.

C.12.4 Construction of Guest House-cum-Residential Complex at Bandra-Kurla, MUMBAI.

Tenders invited in the first call were rejected on flimsy ground and work was awarded in the second call to the same party at a higher cost of Rs.62.55 lakhs. A number of discrepancies were observed in agreement. A number of discrepancies were observed in bills and execution of work.

C.13 HINDUSTAN ORGANIC CHEMICALS LIMITED

C.13.1 Civil & structural work of construction of plant, technical services, R&D, Q&C building and utility block & Allied works for polyurethene system house project at Rasayani.

Detailed estimate and notice inviting tender has not been prepared and approved by the competent authority. Tender issued to non-eligible contractor and have been accepted at very high rates. There were discrepancies in agreement items. Consultant appointed without proper publicity.

C.14 HINDUSTAN STEEL WORKS CONSTRUCTION LTD.

C.14.1 Civil, architectural, structural steel and sheeting works of 1x20 MW co-generation plant at Indian Oil Corporation Ltd. (IOCL), Mathura.

The tender was accepted without preparing market rate justification. The insurance policy was not obtained from the contractor as per terms and conditions of the agreement. Mandatory tests on material have not been carried out.

C.15 IBP CO. LTD.

C.15.1 Civil/Structural works at Rewari Depot.

The insurance policies required as per terms of the contract have not been obtained from the contractor. Mandatory tests have not been carried out as per specifications.

C.16 INDIAN FARMERS FERTILIZERS CO-OPERATIVE LTD.(IFFCO)

C.16.1 Civil & structural work for construction of Urea Silo at Phulpur (U.P.)

Contractors were short listed arbitrarily. Reasonability of rates was not assessed. There has been abnormal deviation in quantities theoretical consumption of cement was not prepared. Measurements were not test checked. Site records were not properly maintained. Log book for road roller has not been maintained.

C.16.2 Civil & structural work for Naptha storage tank at Phulpur Expansion Project.

Contractors were short listed arbitrarily. Reasonability of rates was not checked. Although tender rates were increased on account of urgency involving additional cost of Rs.13.67 lakhs but work has not been completed on the target date. Cement register was prepared by contractor in place of IFFCO. Undue benefit of Rs.23.85 lakhs was given to contractor by large scale deviation in quantity of fine sand and coarse sand. Serious defects were noticed in execution like hollow joints in brick work and mortar not attaining required strength.

C.16.3 Construction of 8 nos. "C" type and 20 nos. "D" type quarters for C.I.S.F. at Phulpur.

Restricted tenders were invited without proper justification. Market rate justification was not prepared to assess reasonability of rates, site records were not properly maintained. There has been large scale deviation. Test check not exercised.

C.16.4 Extension of staff quarters ‘A & B’ type in IFFCO Colony, Sector-17, Gurgaon.

Detailed market rate justification was not prepared to assess reasonability of tendered rates. Abnormally high rated and low rated items were not identified to keep control on the variation of quantities of these items during execution. Tender opening formalities were not completed while opening tenders. Secured advance has been paid for inadmissible item. Theoretical consumption statement of materials were not appended with the bill, certain site records were not mentioned. Certain discrepancies came to notice during execution.

                                                                                                                                    

 

 

C.17 INDIAN INSTITUTE OF SCIENCE(IISc)

C.17.1 Construction of hostel block and studio apartment in IISc. Campus, Bangalore.

The Bank guarantee has been accepted from a non-scheduled bank. Abnormally high and low rated items have not been identified. Extra items have been paid without proper sanction. Many defects have been noticed in execution of work.

C.18 INDIAN OIL CORPORATION (IOC)

C.18.1 Construction of office building, amenity block, enclosure wall, fire break wall etc. at IOC at Vashi Navi Mumbai.

Detailed estimate was prepared by taking higher rates. Abnormally high rates were allowed for items of contract. Selection of consultants was done on arbitrary basis and higher fee @ 5% was allowed. Lot of defects were noticed in the work.

C.18.2 Fabrication of mild steel CR & FR tanks by hydraulic jacking method including supply and fixing all appurtenances, testing and calibrations at Hazira terminal.

Estimated cost of Rs.150.00 lakhs was increased to Rs.166.03 lakhs before award of work to justify lowest bid. Lowest bid was accepted without market rate justification. Insurance policy as per contract was not obtained from contractor. Test checks was not conducted by the superior officers. Measurements of works were not recorded properly. Lot of defects were noticed in the work.

C.18.3 Supply, execution, testing and commissioning of HVAC installation for office Complex, NOIDA.

Specifications of non-chemical water softening plant were not clearly specified. The earth strips were found hanging without supports. The agreement stipulations for payment of levies and taxes were not clear and tests on Air-conditioning Plant not carried out.

C.18.4 Interior furniture and internal electrical works (Part-A) for office complex at NOIDA.

Wiring carried out at the time of construction work was abandoned and huge infructuous expenditure incurred. The contractor has been overpaid by change in rates and not making cost adjustments for using existing switch boxes etc. The wiring has been done haphazardly endangering safety of building.

C.19 INDIAN PETROCHEMICALS CORPORATION LIMITED (I.P.C.L.)

C.19.1 Construction of warehouses, control room sub-station building at H.D.P.E. Project at Gandhar project, Dahej.

Detailed estimate and notice inviting tender has not been prepared and approved by the competent authority. Pre-qualification of contractors has not been made as per rules. Reasonability of rates have not been assessed while accepting the tenders. Work has been abnormally delayed. Condition regarding insurance has not been fulfilled. Site records has not been maintained properly. Test checks has not been exercised. Strength of concrete was found on lower side which is a serious matter.

C.19.2 Construction of "B"-I type houses (108 Units) at MGCC Township Phase III, Nagothane, Distt. Raigad.

Abnormally high rated and low rated items not identified, detailed estimate & notice inviting tender not approved by competent authority. Provision of controlled mix design has been stipulated but not used at site. Construction management was entrusted to M/s MECON. No specific contract format was available site records have not been maintained. Measurements were not taken side by side. Many discrepancies were observed during site inspection.

                                                                                                                                    

 

C.20 JAWAHARLAL NEHRU PORT TRUST (JNPT)

C.20.1 Construction of Accommodation for senior officers at J.N.P.T. Township at Navi Mumbai.

Tenders had to be called a number of times resulting into loss of time and increase in cost. Proper market rate justification has not been prepared. Certain contractual obligations were not fulfilled. Secured advance for perishable items has been paid without insurance cover. Amount has been withheld without assigning reason. Proper site records have not been maintained.

C.21 IRCON INTERNATIONAL LTD.

C.21.1 Supply, installation, testing & commissioning of Low Tension/High Tension cables including transformer and switch gear for ASR Building, Glide Path Localizer Building for Airports Authority of India (NAD) at Bombay.

The bill of quantities & notice inviting tender was not properly prepared. Test check was not carried out during execution of work.

C.22 INDIA TOURISM DEVELOPMENT CORPORATION (ITDC)

C.22.1 Setting up of Indian Institute of Tourism & Travel Management at Gwalior (Civil Plumbing & Furnishing Work)

Proper procedure was not adopted for appointment of Architect and scope of work to be carried out was not well defined. A number of discrepancies were observed in agreement. Abnormally high rated and low rated items were not identified, overpayments were made, guarantee bonds for specialised items were not obtained, secured advance paid without insurance cover.

C.22.2 Setting up of Indian Institute of Tourism & Travel Management, Gwalior

The work has been rescinded without assigning reason for rescinding the contract and no action has been taken to recover the amount of cost and risk. A higher capacity transformer has been designed without proper justification. Risk Insurance Policy has not been submitted. Performance Guarantee has not been obtained. The extra items, submitted items and deviations in quantities have not been approved by the competent authority.

C.23 KONKAN RAILWAY CORPORATION

C.23.1 Mangalore – Udupi New Broad Gauge Railway Line Construction of New Station Building at Udupi

Cement and steel was issued free of cost but theoretical consumption statement for these materials, was not shown. Mobilisation advance was paid in one instalment instead of the stipulated two instalments. Many defects in execution were noticed.

C.23.2 Mangalore – Udupi New Broad Gauge Railway Line – Design and Construction of four new major bridges- substructure for two tracks and superstructure for single track

The reasonability of tender rates was not ascertained before award of work. Lowest tender was rejected without proper justification. Escalation was paid on higher side. Excess steel was issued free of cost. Full recovery has not been made for structural steel issued. Rails have not been returned by Contractor. Final bill is in minus to the extent of Rs.6.19 lakhs. Agreement conditions have >

 

Transfer interrupted!

ut justification.

C.24 LUBRIZOL INDIA LIMITED

C.24.1 Construction of staff quarters at Vashi, Navi Mumbai

Market rates justification has not been prepared to assess reasonability of rates. Interest free mobilisation advance has been allowed. Site records have not been maintained as per requirements.

C.25 MAHANAGAR TELEPHONE NIGAM LIMITED (M.T.N.L.)

C.25.1 Supply, installation, testing and commissioning of 2x2000 KVA transformer Sub-station at Cuffe Parade, Mumbai

Discount of 1% given by the tenderer while submitting bid and accepted by Department was not taken into account while settling payment to contractor, resulting in overpayment of Rs.1,26,715. Cost reduction offered by the firm for supplying deviated specification material was not taken into account while settling bill, causing overpayment of Rs.20,000. The work contract tax was not deducted at source as required. The tests on major equipment were not witnessed by a representative of the Department.

C.26 MAZAGON DOCK LIMITED

C.26.1 Construction of residential quarters GR+18 floors for essential staff at Mumbai.

A substituted item ‘Ruff-N-Tuff’ has been provided as external finish of the building at an excessive cost of Rs.31.68 lakhs. Escalation has been paid on higher side. Recovery for electrical power consumed by the contractor has been made on lower side. Recovery for defective works has been made to the extent of Rs.82,889 against a recommendation of Rs.12 lakhs by a committee putting Mazagon Dock Ltd. to a loss of Rs.11,17,111. No action taken for sub standard work although a sum of Rs.27 lakhs paid at the time of finalisation of bill. An amount of Rs.6 lakhs has been paid towards interest for delayed payments of escalation. Many deficiencies were observed during site inspection.

C.27 METRO RAILWAYS - CALCUTTA

C.27.1 Re-construction of building at premises no. 191 C.R. Avenue, Calcutta.

Limited tenders were invited for this work and thus open competition was reduced. Estimated cost and market rate justification were inflated to accommodate the tenderer. Completion period was kept on a much lower side. Higher rates were received due to wrong stipulation of completion period. Cube tests for concrete were not carried out properly.

 

C.27.2 Reconstruction of building in contract section 3-B, at Belgachia.

The reconstruction work of the private building which were damaged/dismantled during construction of Metro Railway, by cut and cover method were taken up. The work has been taken up without entering into agreement with individual owner/tenant. It may lead to serious legal and financial implications. Richer specifications have been adopted for reconstruction of buildings. The work was awarded on single tender basis and thus avoiding competition.

C.28 MMTC LTD.

C.28.1 In the work of "Construction of office building for MMTC Limited at Bandra Kurla Complex, unnecessary richer specifications costing Rs.226 lakhs were provided. The escalation amount had been paid without properly interpreting the clause. The Insurance cover had not been taken.

C.29 MORMUGAO PORT TRUST

C.29.1 Design, Manufacture, Supply, Erection & Commissioning of 1 No. Tonne capacity incinerator at M.P.T. Goa

No specific manual is being followed. Measurements for works are not being recorded. Temporary overpayments were made to the contractor. Insurance cover and guarantee letters are not being asked from the contractors.

C.29.2 Procurement of 8 Nos. 3T Capacity Fork Lifts of ‘Voltas’ make model DV-30-AT-PD-T by M.P.T. Goa

Supplies had been delayed but no liquidated damages levied. No history sheet and log books for fuel consumption maintained, as such no control over break downs and consumption of fuel/lubricating oil exercised.

C.30 MUNICIPAL CORPORATION OF DELHI

(DELHI WATER SUPPLY & SEWAGE DISPOSAL UNDERTAKING)

C.30.1 In the work of "Construction of 16 M.G.D. Sewage Treatment Plant at Okhla", pertaining to Delhi Water Supply and Sewage Disposal Undertaking, the consultancy works of similar nature were awarded to different agencies at different rates during the same period thereby incurring extra expenditure of Rs.23 lakhs. The main contract was not awarded to the lowest and eventually awarded to the fifth lowest at an additional expenditure of Rs.187 lakhs.

C.31 NATIONAL BUILDING CONSTRUCTION CORPORATION

C.31.1 Construction of Telephone Exchange Building at Sector-III, Rohini, Delhi

Quotations were collected by hand without any press-notice. Work orders were not finalised but payment was made. No measurements were recorded for the work carried out by labour supplied through work-orders. Supply of cement was received at different rates on the same date. Financial terms of the work-orders were changed to the benefit of supplier.

C.31.2 Execution of work of Interior decoration and furnishings of HRD and ESI building of B.H.E.L. at Sectior-16-A, NOIDA

Letters of intent were issued without mentioning the rates. Rates are based on cost plus method and there was neither finality nor competition of rates. Cost of total work of Rs.68 lakhs was divided into various agencies. An unreasonably high limit of minimum one work costing Rs.100 lakhs was laid down thereby reducing competition. Contractors were deleted and added arbitrarily. No agreement with any agency was made available. Site records and test results were not maintained. Payments has been made at part rates without finalisation of agreement rates.

C.31.3 Balance construction, repair, rectification of civil works of HRD and ESI building of BHEL at Sector-16A, Noida

i) The expenditure incurred on labour is quite high and the same has not been checked and compared with theoretical requirement.

ii) Nomenclature of items was incomplete, balance work to be executed has not been properly identified. Recoveries of water and power used have not been made. Smaller size stones used in flooring. Required test check has not been exercised.

iii) There has been abnormal deviation while taking supplies due to the reason that theoretical quantities were not worked out. No tests have been carried out. Third class bricks taken in supply could not be used. 40mm & 20 mm stone aggregate was paid at same rates.

iv) Work carried out before issue of work order. Payments made were not as per work executed.

C.32 NATIONAL DAIRY DEVELOPMENT BOARD

C.32.1 Expansion of cattle fee plant at Rajankunte, Bangalore

The tenders were accepted without preparing market rate justification. The consultants were appointed arbitrarily without resorting to competitive bidding or selective bidding. The insurance policies as per terms of the contract were not obtained from contractor. Surface drainage system provided was faulty. Some mandatory tests were not carried out.

C.32.2 Internal electrification work of housing Guest House & other building of Phase-II at HSAD, Bhopal

Materials of makes other than first preference makes of approved list were permitted causing undue advantage to the contractor. Earth wires in switch-boards were not connected and loose wires were left in cable trenches. The pole boxes were of faulty design.

 

C.32.3 Human Rabbies Vaccine Project at Ootacamund

The tenders were accepted without preparing market rate justification. The consultants were appointed without resorting to competitive or selective bidding. Undue benefit was extended to architect by marking certain payments without fulfilling the obligations by architects. Large deviations in quantities indicate poor estimation. Certain mandatory tests have not been carried out.

C.33 NATIONAL PROJECTS CONSTRUCTION CORPN.LTD. (NPCC)

C.33.1 Construction of dust proof Phytotron building at Indian Agriculture Research Institute (IARI), Pusa

The tenders were accepted without preparing market rate justifications. There were huge deviations in quantities of certain items of work indicating poor estimation. The insurance policies as per terms of contract were not obtained from contractor. The workmanship of stone grit plaster, cement concrete pavement, glazed tiles dado etc. was poor.

C.33.2 SITC of 625 KVA D.G.Set for Phytotron Building Complex at I.A.R.I., Pusa, New Delhi

The work has been awarded without proper market rates justification and competitive bidding. Inadequate anti-vibration pads were provided.

C.33.3 Internal and External electrification work for dust proof Air-conditioning Phytotron Building Complex

The tender was issued to a bidder who was not eligible. The measurements have not been test-checked and work has not been executed as per agreement item.

C.34 NEW DELHI MUNICIPAL COUNCIL (NDMC)

C.34.1 Construction of Type II & Type III Flats at Sector XI, Rohini, Delhi

Tenders for a work costing Rs.762 lakhs were invited on percentage rate basis. Eligibility criteria for contractors was not stated properly in press notice.

C.35 NUCLEAR POWER CORPORATION

C.35.1 Construction of Central Industrial Security Force Barracks and Mess block at Kaiga Township, Mallapur.

Corporation has not prepared its schedules. Agreement has not been properly sealed. Recoveries for power consumed was on lower side. Many defects have been noticed in execution of work.

C.35.2 Construction of operation and maintenance of warehouse at Kaiga plant site

No market rate justification was prepared before acceptance of Tender. Acrylic emulsion has been provided on walls and oil bound distemper on ceiling incurring extra cost of Rs.2.60 lakhs. Recovery made for electricity is on lower side and site records were not maintained. Many defects in execution of work and short comings in measurements have been noticed.

C.36 POST GRADUATE INSTITUTE OF MEDICAL EDUCATION AND RESEARCH, CHANDIGARH

C.36.1 Construction of new OPD Block in PGI, Chandigarh

The architect consultant has been appointed arbitrarily at higher fee. No market rates justification has been prepared and abnormally high and low rated items identified. High cost epoxy paint has been stipulated without proper specifications. The Structural design has been carried out in a way that extra cost of Rs.25 lakhs would be incurred. Execution of work had many defects.

C.37 RAIL INDIA TECHNICAL AND ECONOMIC SERVICES (RITES)

C.37.1 Supply of C.S.T.-9 Sleepers for expansion of Marshalling Yard for Kothagudem Thermal Power Station at Paloncha (A.P.)

Notice inviting tender was not approved before call of tenders, tender sale register was not maintained and tenders were sold without verification of eligibility. Market rate justification was not prepared. Site records were not maintained properly.

C.38 SOUTHEASTERN COALFIELDS LIMITED

C.38.1 In the work of "Construction of residential quarters 48 Nos. "A" type and 10 Nos. "D" type for M.S. Hospital of S.E.C.L. Lingiadih, Bilaspur", it was observed that Press Notice was not properly drafted. No market rate justification was prepared. Time taken to process the tender was too much which ultimately resulted in avoidable escalation payments. Quarters were completed but the Hospital Building, for the staff of which these quarters were constructed, were nowhere near completion.

C.38.2 In the inspection for the work of "Construction of Multi Speciality Hospital Building of SECL at Bilaspur", it was noticed that cost exceeded sanctioned estimate. The work has been awarded at higher rates and payments were made without following terms of agreement.

C.39 TEHRI HYDRO DEVELOPMENT CORPORATION LTD.

C.39.1 Construction of 72 Nos. Type II Qrs. at THDC, Rishikesh

Detailed estimate was found with numerous discrepancies. Quantities and items were changed after receipt of price bids in first call. Tenders in the first call were rejected without assigning proper reasons. Contract stipulations for water and power supply were ambiguous. The contractor was paid in full rates for incomplete items. Insurance clause was not followed. Mandatory tests of different materials were not carried out. A number of defects in the work were noticed. The supervision of work was poor.

C.40 TELECOMMUNICATION CONSULTANTS INDIA LIMITED (TCIL)

C.40.1 SITC of Sub-station equipment for V.S.N.L. Wireless Complex at Greater Kailash-II, New Delhi

The tenders were not invited in a proper manner and advance payment was not properly adjusted.

C.41 VIDESH SANCHAR NIGAM LIMITED (VSNL)

C.41.1 SITC of A.C. & Ventilation system of Videsh Sanchar Bhawan at Ultadanga, Calcutta

Major equipment were not tested for their performance conforming to required standards. G.I. sheets of Class VI which are with inferior zinc coating than best available Class IV were accepted.

C.42 WESTERN COALFIELDS LIMITED

C.42.1 Construction of 88 Nos. Double storied miners Qrs., 40 ‘B’ & 12 ‘C’ type Quarters for New Dhoptala at Sasti & 19 ‘C’ Type for Sasti open cast mine of Ballarpur Area

Volumetric mix was used against design mix specified. Percentage rate tenders were invited instead of item rate tenders and abnormal period of 21 months was taken to accept tenders. Market rate justification was not prepared. Many discrepancies were observed in agreement, bill and execution of work.