CCI mulls probe into contracts for Commonwealth Games

Written by Ronojoy Banerjee | Ronojoy Banerjee | New Delhi | Updated: Sep 2 2010, 04:35am hrs
With just about a month to go for the Commonwealth Games, the Competition Commission of India is mulling a thorough probe into the awarding of key contracts for the Games.

According to top CCI sources who spoke to FE on conditions of anonymity, the commission has noted that several contracts relating to the Games have been doled out to private players without conducting a fair tendering process. There are serious competition violations. We are collecting all information on the bidding process following which we will take a decision on whether to conduct a suo moto probe into it or not, a senior CCI official told FE. He said that since on many instances the Commonwealth Games Organising Committee (CMOC) has flouted basic bidding rules, it is in contravention of sections 3 and 4 of the Competition Act 2002.

CWG is a case of non-tendering...simple and transparent tendering process has not been followed. We need to find out which are the firms that benefited the most from non-tendering...currently we are compiling all the evidence, he said.

As per several reports trickling in following the allegations of corruption by CMOC chairman Suresh Kalmadi, there have been many instances of a collusion between members of the CMOC and a handful of private parties.

The committee has not been following a transparent bidding process for selecting a sponsorship servicing contract after the cancellation of Australian firm SMAMs contract earlier this year. Following this Nimbus Sports, which was involved in the bidding process, backed out citing transparency issues.

Last month, the UK-based AM Firms came out in the open and said that it had not entered into any formal contract with the organising committee in New Delhi for offering its services during the Queens Baton Relay in London.