Bengaluru: The govt has set up a four-member committee to clear pending payments of Rs 350-400 crore to Keonics contractors, triggering sharp opposition from vendors who allege they are being made “scapegoats” in a purported scam dating back to the previous BJP govt.
Keonics chairman Sharath Bachegowda and IT-BT minister Priyank Kharge told TOI that the committee, under the aegis of RDPR secretary Sameer Shukla, will assess price discovery at the time tenders were awarded and examine discrepancies such as overpayment or under-delivery. The move follows recommendations of the Maheshwar Rao committee, which investigated alleged irregularities in Keonics tendering and advised forming a panel with domain experts before releasing funds. “The committee will assess the work of every contractor and disburse dues,” Bachegowda said, adding that payments would be made on “seniority” basis with “no intervention from Keonics or its personnel”. Priyank said the panel would only verify the genuineness of claims. “The committee will not dwell on the entire scam. If hardware or services have been provided, then those files will be cleared. Bills that show a mismatch with actual service provided will be set aside for action,” he said. Officials said the committee will compare billed prices with prevailing rates at the time of execution. “In such cases, the committee will decide how much needs to be paid. It can be 100% or 10%, depending on the committee’s decision,” an official added. Keonics Vendor Welfare Association objected to the exercise, questioning its legal basis and threatening to release documents alleging “internal” corruption.
Vasanth Bangera, association president, said, “We are not people who have done govt work by standing on the roadside. We are legally registered vendors and have bid for Keonics tenders. There is no legal provision to conduct price discovery.” He said vendors were kept in the dark for over two-and-a-half years and accused the govt of showing “utter disregard for law”. “If any mistakes have occurred within the Keonics organization, it is the responsibility of the managing director and officials concerned.
False allegations of corruption have been imposed on us, and dues have not been paid. Our lives have been made miserable,” Bangera said. Warning of escalation, Bangera said, “We possess all documentary evidence related to the corruption that is currently taking place, and within the next two or three days, we will release all these documents if Keonics decides to conduct price discovery and pay our dues based on that.” Bangera pointed to earlier claims that Priyank and Bachegowda were “harassing” vendors and allegations of bribery against a former Keonics MD. Priyank countered that some vendors were in cahoots with the previous BJP govt and allegedly siphoned off large sums from the exchequer.