Continuing with our three part investigation into the controversial Siolim Jetty project, in Part 2 we scrutinise the manner in which tenders were awarded, and shockingly find that two different companies participating in the tender, had common directors in a third company which had the same address of one of the companies which bid for the project
PANJIM: Not only was the cost of the controversial Siolim jetty rigged but it clearly appears that the entire tender process for the project was also manipulated.
Two companies run by accomplices, masqueraded as rival companies to bid for the jetty project clearly knowing that the work order would come to the one company whose directors were linked and shared office addresses.
In the first part of our investigative series we reported how the cost was escalated from the estimated Rs 8.77 cr to Rs 13 cr, a whopping 47 percent above estimated amount giving the justification of “harsh conditions and justifiable amount”.
Herald has laid its hands on documents which clearly prove that the tendering process for the Siolim jetty project was violated to the extent of making it fraudulent.
As per information only two bids were received for the e-tender – Bagkiya Constructions Pvt Ltd (BCPL) – ‘involved in the construction of complete constructions, or part thereof’ – whose quote was Rs 10,87,29,366.50, which was 23.9 percent above the estimate and Southeast Construction Co Pvt Ltd (SCCPL) who submitted a bid of Rs 11,26,62,518.50, which was above 28.27 percent above the estimate. Since Bagkiya’s bid was lower, it was awarded the project.
But was the tendering fair, transparent and most importantly legal? Documents with Herald and its own further investigations reveal, what looks like a fraud in the tendering process
The tender itself was questionable since as per norms there have to be three bidders and here there were only two.
More importantly, investigations by Herald have revealed that the two companies – Bagkiya (BCPL) & South East (SCCPL) – seem to have committed a fraud as both companies are connected – a fact clearly known by WRD officials.
Investigations reveal that both directors of Bagkiya and one director of Southeast are partners in another company named – Integrated Agro Cold Chain Private Limited, which has the same office address as Bagkiya (BCPL)
Bagkiya has two directors – Bagkiyadurai Karuppa Pillai and Sivaranjani Bagkiyadurai while Southeast has three – Muvva Mahesh Babu, Muvva Padmaiah and Ajay Babu Muvva.
Muvva Padmaiah (Southeast) and Bakiyadurai Kauppa Pillai and Sivaranjani Bakiyadura (Bagkiya) are partners in firm called Intergrated Agro Cold Chain Private Limited.
Besides the registered office addresses of Bagkiya and Intergrated are common at Bldg No 3, SF-03, SF-04, Techno Cidade, Porvorim, Bardez, Goa.
This establishes a clear connection between the two companies – Bagkiya and Southeast – who submitted their offers for the Siolim Jetty project.
Sources in the department allege this was known to top officials in the Water Resources Department but the fact was kept under wraps.
It is also possible, that the bids made by the two companies of Rs 10,87,29,366.50 and Rs 11,26,62,518.50 were just inflated figures.
As such the justification of Chief Engineer Sandeep Nadkarni which said, “The increase of 15 percent on GSR for five types of irrigation and hydraulic works (jetties, sluice gates, bandharas, weirs, bunds and ramps) was issued right from start of first GSR in Goa. It is due to the reluctance in working in harsh conditions,” – appears to be nothing but an eyewash.
The shocking point is that Herald in the RTI application had demanded to know the names of directors of bidding companies, which was “systematically” not revealed. Herald continued its investigation in this regard and got through the names from Ministry of Corporate Affairs (MCA) website.
Herald will now wait for the Water Resources Department and the Finance Department to digest all this information before it asks some specific and searching questions in tomorrow’s edition when we publish Part 3 of this investigative series.
