CBI asked to probe AP fibernet ‘scam’
Govt to highlight irregularities in APSFL
The Andhra Pradesh government had asked the Central Bureau of Investigation (CBI) to conduct a probe into the alleged irregularities to the tune of `2,000 crore in the functioning of the AP State Fibernet Limited from 2014 to 2019.
The cabinet sub-committee constituted to probe the alleged irregularities nailed the role played by Vemuru Hari Krishna Prasad, then technical adviser to the state and close associate of then Chief Minister, Chandrababu Naidu and then minister for technology, N. Lokesh. Evidence gathered by the cabinet subcommittee indicated that Prasad, as a member of committees which processed the tenders, illegally facilitated the award of most of the high value tenders to M/s Tera software limited (TSL) to which he and his family members are closely associated and further to sister concerns of TSL.
N. Lokesh played an important role in the signing of an MoU between DoT, Bharat broadband network limited (BBNL), Government of AP and APSFL for Bharathnet Phase-II, violating norms.
The panel found that without the required administrative approval either from the government of Andhra Pradesh or from the government of India, the project work of BBNL Phase-II costing `14
10.10 crore was allegedly awarded at an excess quote of
11.26 per cent over the estimates in violation of tender procurement guidelines. The APSFL gave the operation and maintenance work of 13 districts to TSL at `2,44,01,865 a month, till the finalisation of the tender process for project maintenance. TSL, which had prior knowledge of the maintenance cost since it executed the first phase of the work and was looking after the operation and maintenance work by the time of filing tenders, quoted the amounts with that experience and became the L1 bidder. APSFL had given clear undue advantage to TSL.
By showing utter disregard of the guidelines laid down by the chief vigilance commission, the tender was awarded to TSL for laying the optical fiber network without considering the serious allegations against TSL by some of the co-bidders.
It was found that the work of the project monitoring agency (PMA) was awarded to M/s Gemini communications ltd, by cancelling the earlier awarded tender for the same work, in which M/s Merax technologies private limited stood as L-1, surpassing some of the crucial tender conditions and relaxing others.
The committee found that on the matter of procurement of set top boxes (CPE boxes) and the empanelment of its suppliers, the APSFL held negotiations with all four bidders and the procurement order was split and distributed among the four bidders against norms.