New Delhi [India], Enforcement Directorate (ED) has seized cash worth Rs 41 lakh, various incriminating documents and digital evidence during a search operation conducted at various locations in Delhi, Ahmedabad, Mumbai and Hyderabad in connection with the wastewater treatment plant. (STP) Delhi Jal Board (DJB) corruption case, ED said on Friday.
The agency's Delhi Zonal Office made the recoveries during the raids conducted on July 3.
ED initiated investigations based on the First Information Report (FIR) registered by the Delhi Anti-Corruption Division against Euroteck Environmental Pvt Ltd and others under various sections of the Indian Penal Code, 1860 and the Prevention of Corruption Act, 1988, alleging scam on DJB in the name of augmentation and improvement of 10 sewage treatment plants (STPs) at Pappankala, Nilothi (package 1), Najafgarh, Keshopur (package 2), Coronation Pillar, Narela, Rohini (package 3) and Kondli (pack 4). The four tenders worth Rs 1,943 crore were awarded to various joint venture entities in October 2022.
The FIR alleges that only three joint venture companies (JVs) participated in the four tenders. While two joint ventures got one tender each, one joint venture got two tenders. The three joint ventures mutually participated in all four STP tenders to ensure that each won the tender. The FIR alleges that the tender conditions were made restrictive, including the adoption of IFAS technology, to ensure that only a few selected entities could participate in the four tenders.
The cost estimate prepared initially was Rs 1,546 crore, but it was revised during the bidding process to Rs 1,943 crore, the ED said, adding, "It is further alleged that the contracts were awarded to three joint venture companies at inflated rates." , which caused substantial losses to the public treasury."
The ED investigation revealed that DJB awarded the four STP-related tenders worth Rs 1,943 crore to three joint venture companies. "In the four tenders, two JVs (out of three common JVs) participated in each tender and all three JVs secured the tenders. The costs adopted by DJB for upgrade and augmentation were the same, although the cost of upgrade is less than the cost of increase."
Further investigation shows that the three joint venture companies submitted the same experience certificate issued from a Taiwan project to DJB to secure the bids and the same was accepted without any verification.
Later, the ED said that the three joint venture companies outsourced the work related to the four tenders to Euroteck Environment Pvt Ltd, Hyderabad.
"Verification of tender documents shows that the initial cost of four tenders was approximately Rs 1,546 crore, which was revised to Rs 1,943 crore without following due process and project reports," the federal agency said.
The agency's Delhi Zonal Office made the recoveries during the raids conducted on July 3.
ED initiated investigations based on the First Information Report (FIR) registered by the Delhi Anti-Corruption Division against Euroteck Environmental Pvt Ltd and others under various sections of the Indian Penal Code, 1860 and the Prevention of Corruption Act, 1988, alleging scam on DJB in the name of augmentation and improvement of 10 sewage treatment plants (STPs) at Pappankala, Nilothi (package 1), Najafgarh, Keshopur (package 2), Coronation Pillar, Narela, Rohini (package 3) and Kondli (pack 4). The four tenders worth Rs 1,943 crore were awarded to various joint venture entities in October 2022.
The FIR alleges that only three joint venture companies (JVs) participated in the four tenders. While two joint ventures got one tender each, one joint venture got two tenders. The three joint ventures mutually participated in all four STP tenders to ensure that each won the tender. The FIR alleges that the tender conditions were made restrictive, including the adoption of IFAS technology, to ensure that only a few selected entities could participate in the four tenders.
The cost estimate prepared initially was Rs 1,546 crore, but it was revised during the bidding process to Rs 1,943 crore, the ED said, adding, "It is further alleged that the contracts were awarded to three joint venture companies at inflated rates." , which caused substantial losses to the public treasury."
The ED investigation revealed that DJB awarded the four STP-related tenders worth Rs 1,943 crore to three joint venture companies. "In the four tenders, two JVs (out of three common JVs) participated in each tender and all three JVs secured the tenders. The costs adopted by DJB for upgrade and augmentation were the same, although the cost of upgrade is less than the cost of increase."
Further investigation shows that the three joint venture companies submitted the same experience certificate issued from a Taiwan project to DJB to secure the bids and the same was accepted without any verification.
Later, the ED said that the three joint venture companies outsourced the work related to the four tenders to Euroteck Environment Pvt Ltd, Hyderabad.
"Verification of tender documents shows that the initial cost of four tenders was approximately Rs 1,546 crore, which was revised to Rs 1,943 crore without following due process and project reports," the federal agency said.
