Audit finds discrepancies in Ziekezou Sports Complex & Peren road projects
Morung Express News
Dimapur | April 2
The report of the Comptroller and Auditor General (CAG) of India has taken exception to two development projects funded by the Non Lapsable Central Pool of Resources (NLCPR) Scheme in Nagaland, which it said involved payments made for unexecuted items of work.
The two projects included the development of Ziekezou Sports Complex in Kohima and construction of Road from Sainik School Punglwa to Jalukie (from ODR to Intermediate Lane)-28 Km in Peren District.
In the first case, the CAG said that the project Development of Ziekezou Sports Complex, Kohima was sanctioned in November 2017 by the Ministry of DoNER, to be completed by November 2019.
The work was awarded in April 2018 to M/s Charlie Sekhose for Rs 12.50 crore, to be completed by March 2021. It was observed that DoNER released the entire share of Rs 11.25 crore to the State Government which in turn released Rs 4.50 crore (1st instalment of GoI share) to the Executive Engineer, PWD (Housing) Youth Resources & Sports Division Kohima.
Out of the fund released by the State Government, the implementing Department paid Rs 3.56 crore in three RA Bills for works (December 2020) which were certified to be completed as recorded in the MB.
The Joint Physical Verification (JPV) in December 2020 by the Audit along with the Departmental officials (EE, SDO and Junior Engineer) revealed several discrepancies. It found that the contractor did not execute the above five items of works valued at Rs 1.15 crore whereas, the contractor was paid for execution of all the items of works by recording “fictitious entries in the Measurement Book (MB).”
The CAG noted that the department made excess payment of Rs 1.15 crore to the contractor without actual execution of the aforementioned items of works. The work which was stipulated to be completed by November 2019 remained incomplete even after lapse of 30 months (May 2022).
In reply, the Department stated in July 2021 that the measurement of Retaining wall taken during the JPV was as per the originally approved DPR while the working estimate was in process at the Office of Chief Engineer, PWD (Housing).
As per the approved (December 2020) working estimates, the total length of Retaining wall works out to Rs 205.10 R/Mtr. Further, the works for construction of Bays-C, D and E were in the process of commencement during JPV, the CAG said.
It observed that the reply is “not acceptable as the audit findings were based on the measurement done during the JPV in the presence of Departmental officers and MB/ RA bills submitted to Audit wherein the payment for unexecuted works for Rs 1.15 crore was made to the contractor.”
It advised the State Government to consider filing an FIR, besides initiating departmental inquiry to fix the responsibility of officials involved in making such irregular payments.
Road from Sainik School Punglwa to Jalukie
In the other case, the CAG informed that work construction of Road from Sainik School Punglwa to Jalukie (from ODR to Intermediate Lane)-28 Km in Peren District was sanctioned in February 2016 by DoNER for Rs 36.12 crore. It was awarded in May 2016 to M/s Hi Tech Construction & Co. Dimapur, Nagaland for Rs 35.83 crore, stipulated to be completed by February 2018.
Scrutiny of records revealed that based on the tendered cost (Rs 35.83 crore), the GoI limited its share to Rs 32.25 crore (90 per cent of tendered cost). The Ministry of DoNER released its share of Rs 25.80 crore to Nagaland Government, which in turn released Rs 29.41 crore (including its share of Rs 3.61 crore) to the EE, PWD (R&B), Peren Division.
As per entries in the MB and the RA bills, the CAG informed that the work for the entire stretch of 28 Km was recorded fully complete (February 2018) and the contractor was paid Rs 29.41 crore in March 2020.
However the Joint Physical Verification (JPV) in December 2020 by the Audit along with the Departmental officials (EE, SDO and Junior Engineer) revealed that the total length of the road from Sainik School Punglwa junction (Zero point) to Jalukie (End point-Samziuram Village Welcome Gate) was only 26 Km.
“This shows that the DPR was inflated for non-existing 2 km. road. This resulted in payment of Rs 1.70 crore to the contractor without actual execution of work in the non-existing 2 km road by passing inflated bills submitted by the Contractor,” the CAG said.
Further, it was also observed that fixing and lighting works on bridges have been executed as recorded in the MB and RA bills for which an amount of Rs 7.35 lakh was paid to the contractor. During JPV (December 2020) it was however, noticed that fixing and lighting works on bridges were not executed. This resulted in payment of Rs 7.35 lakh to the contractor without actual execution of work.
The CAG said that the excess payment of Rs 1.77 crore (1.70 crore + 0.07 crore) without actual execution/completion indicated the “failure of the Division to ensure the correctness of the bills submitted by the contractor.”
The Engineer-in-Chief, PWD meanwhile stated in the exit conference (July 2021) that, the actual execution of the road was for a total of 29 Km, which included a branching off road (circular road) from the main road. The audit findings on non-fixing of lighting on bridges was accepted by the Department and assured that the installation of lighting will be done. On the basis of the Audit findings, fixing and lighting work on bridges was completed in September 2021.
The CAG however said that the reply regarding road work execution is “not acceptable since the original drawings and specifications as incorporated in the DPR also do not indicate any branching off the road (circular road) as stated by the Engineer-in Chief.”
It further noted that the Department could not furnish any records relating to execution of additional works, including the approval of DoNER. Besides, the CAG said that the audit findings were based on the measurement done during the JPV in the presence of Departmental officers and records submitted to the Audit.
It recommended that the State Government may fix the responsibility of the erring officials responsible for “facilitating payment without actual execution of work.”
