Purchase, maintenance deals of low-floor DTC buses put on hold by Delhi govt; details here

By: |
August 23, 2021 5:10 PM

Last week, a CBI probe was recommended by the Union Ministry of Home Affairs (MHA) into the purchase and AMC deals.

According to the report, while the contract for purchase was for an amount of Rs 850 crore, the AMC for 12 years was for Rs 3,412 crore.

The purchase and Annual Maintenance Contract (AMC) deals for as many as 1,000 low-floor DTC buses has been put on hold by the Delhi Transport Corporation as it wants to take a “fair view” on the matter. According to an IE report, on June 12, the work orders related to the contracts were put on hold. DTC, which works under the government of Delhi said the decision was made after a complaint from the Vigilance Department was received. In a written submission to the Delhi Assembly, the Delhi Transport Department stated that due to a complaint received by the Vigilance Department as well as to take a fair view on this issue, the work order’s implementation has currently been put on hold till further orders.

Last week, a CBI probe was recommended by the Union Ministry of Home Affairs (MHA) into the purchase and AMC deals. Additional Secretary of the ministry (UT) Govind Mohan, on 16 August 2021, had informed the decision of the Centre to Vijay Dev, Delhi Chief Secretary. Besides the submission to the Assembly, the government of Delhi has not made any statement on the decision to put the purchase and AMC deals on hold, which happened four days before Lt Governor Anil Baijal formed a committee in order to review the tendering processes related to them. According to the report, while the contract for purchase was for an amount of Rs 850 crore, the AMC for 12 years was for Rs 3,412 crore. JBM Auto and Tata Motors were awarded the purchase tender on a ratio of 70:30 while the company JBM Auto had also emerged as the L1 bidder in the tendering of AMC.

Principal Secretary (vigilance) K R Meena, Principal Secretary (transport) Ashish Kundra, as well as former IAS OP Agarwal were the members of the Lt Governor’s committee, which pointed out flaws and lapses in the AMC contract. However, the allegations were denied by the Delhi government, and it called the move of the Union Ministry of Home Affairs as a politically motivated conspiracy against the AAP.

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