MC orders probe into ‘₹7-crore fraud’ by Delhi-based firm

As per approved rate of ₹97,000 per km per month, the rate per day per km comes to ₹3,233.33 but while calculating the bills of the contractor, accounts cell found contractor was given ₹6,466.66 per km per day. JAGDISH RAJA, mayor

JALANDHAR :Mayor Jagdish Raja had claimed in the general House meeting of the MC held on Monday that the Delhi-based Lion Services Pvt Ltd, hired by the previous regime, for cleaning roads in the city, has committed a a fraud of ₹7 crore in the past one year.

The mayor on Tuesday set up a committee to probe the matter and asked acting municipal commissioner Vivesh Sarangal to submit a report in 15 days.

“The resolution that was passed in the House on February 1, 2016, clearly states that 50km roads will be cleaned on daily basis with the by sweeping machine at a cost of ₹97,000 per km per month,” said the mayor

“After some query raised by M/s Lion Services, the implementation plan was changed from 3 years to 5 years while the sweeping of roads was amended from daily basis to alternate days basis.

‘As per the approved rate of ₹97,000 per km per month, the rate per day per km comes to ₹3,233.33 but while calculating the bills of the contractors, the accounts cell found that the contractor was given ₹6,466.66 per km per day.

‘The amendment of threeyear plan to five years without approval of the house is also a gross violation,” he added.

Raja also questioned the criteria used by the previous ruling Bharatiya Janata Party (BJP)- Shiromani Akali Dal (SAD) alliance for making the calculation of quality and quantity of work to be carried out by the contractor under the sweeping machine project.

The MC has outsourced the firm for cleaning main roads of the city for five years at a cost of ₹30 crore.

MC SEALS THREE MORE BUILDINGS

Continuing action against illegal buildings, the building branch of the municipal corporation sealed two bars and one restaurant in the Model Town market in the Jalandhar Cantonment are on Wednesday.

The demolition team had to face a strong protest by the people.

The buildings that were sealed included bars of Papa Whiskey and Brew Master and Adda 5 restaurant, belonging to late liquor baron Ponty Chadda’s wife Lovely Chadda.