Tenders for KDMT buses spark row

Tenders for KDMT buses spark row
YOGESH PAWAR

Mumbai, July 17: The process of calling and re-calling tenders for the body-building of the Kalyan-Dombivli Municipal Transport's (KDMT) buses has triggered charges of irregularities and a demand for a high-level probe into the startling developments in the entire exercise.

How the KDMC, with a budget of nearly Rs 190 crore, can afford to pay Rs 3.76 lakh per bus, when the BMC (budget exceeding Rs 3,000 crore) can pay no more than 3.38 lakh for every bus (see box) is the main question being raised. The KDMT tenders were opened on June 17, while those in BEST were opened on June 23. ``How could bids for exactly the same work become low on a later date?'' asks KDMT transport panel member advocate Nandu Joshi, who has appealed to Minister of State for Urban Development Sunil Tatkare to dissolve the panel and conduct a probe.

The KDMT was inaugurated on May 23 last year with an initial fleet of 40 buses. As need for more buses arose, it was decided to go in for 40 more buses, and Rs 2.26 crore were spent in acquiring 40 chassis on March 7 this year.

On April 7, tenders were called for body-building, and two parties -- M/s Trimourthi and M/s Anthony -- bid. While the former quoted Rs 4.19 lakh per bus, the latter quoted 3.87 lakh which it later slashed to Rs 3.80 lakh. But the ruling Shiv Sena-Independent combine, keen on Trimourthi, refused to give the contract to Anthony, saying the former would give better quality. When it was pointed out that M/s Trimourthi was facing an ACB inquiry in a case of kickbacks to Thane Municipal Transport (TMT) panel members, the Sena maintained contracts for 20 buses each should be given to both parties.

After this was rejected by the administration, the ruling combine got a resolution on retendering passed on May 2. ``We appealed to transport manager Shrikant Singh to refuse permission and refer the matter to the state government, but this was ignored,'' says Joshi.

When the administration set a precondition asking members interested in retendering to take full responsibilty of cost escalation, the Sena-Independent members refused to sign. KDMT panel chief P Haate (Sena), however, assured the administration that bids would be lower and there would be competition. When the four tenders (Trimourthi, Anthony, In-Coach and Bharat) which were submitted were opened on June 17, it was found all of them had quoted the same price, Rs 3.99 lakh per bus, a rise of Rs 19,000 from the previous bid.

That all bidders acted with tacit understanding is clear from the fact that the four parties, while agreeing to reduce the rate uniformly to 3.76 lakh, have since said it will be impossible for them to undertake building 40 buses. All have cited willingness to undertake work on only ten buses in a meeting with Singh on June 26.

``Realising the bidders were operating in a ring, we demanded a special meeting under BPMC Act 1949 (2) (4) d [which says if any three members demand a special meeting it is compulsory for the transport panel chairperson to call one]. But this was called only on July 7, to finalise the contract,'' says Pandit Bhoir (NCP), a panel member. Along with Joshi, Murlidhar Pawar and Narayan Murkute (BJP) and Gangaram Shelar (NCP), he has opposed the ruling combine on the retendering issue.

When Joshi asked the administration if the bids were on par with what BEST was getting, deputy transport manager R K Sonawane assured him, ``Bids called by BEST are much higher as per information gathered by me. We should give contracts for ten buses each to all four parties.''

Saying KDMC stands to lose Rs 21.31 lakh (see box), opposition members have asked the commissioner to stop the process of issuing work orders, call an emergency meet of the KDMT panel, send the proposal back to the state government and confront all bidders with information on their bids for BEST.

Joshi said: ``We will seek HC's intervention if the administration refuses to act.'' Shelar noted how delay in plying buses was causing huge losses to the undertaking. ``Even if four buses are kept as standby, 36 buses would have brought a net revenue of Rs 4.60 lakh in two months,'' he said.

Asked about the discrepancy in the BEST and KDMT bids, Haate pinned the blame on the administration. ``Some officials are behind all this,'' he charged, denying the Sena was pushing for any bidder.

Deputy transport manager R K Sonwane said: ``Both Sena and BJP are using the transport committee to win election-eve points. We will verify all charges made by Joshi before passing any work order.'' He said he was ready for any enquiry into the administration's decisions.