Fraudulent Practices in supply of HDGC Contact & Catenary Wires to CORE

CORE Accounts Department in fraudulently connivance with HDGC Contact Wire suppliers

Pactices going on un-interruptedly for more than a decade in CORE in the supply of HDGC

A deep routed corruption, continuing for more than one decade, in the supply and payment of “HDGC Contact Wire”to Central Organization For Railway Electrification(CORE),  Allahabad. The contact Wire is used in Railway Track Electrification where safety of millions of passengers are on stake every day. The modus-operandi of corruption will be separately exposed in parts, firstly for the period 2006-07 to 2012-13 and secondly 2013-14 onwards.

In the month of February 2016,  CORE has made  payment  for the supply of HDGC Contact Wire to one supplier @ Rs 3.90 Lac per MT (Basic Rate) + Excise Duty + CST + Freight, whereas to the other supplier, CORE is making payment @ Rs 4.29 Lac per MT (Basic Rate) + Ex Duty + CST + Freight. The higher rate bill  by Rs. 0.46 Lac per MT (Including Ex Duty & CST) is paid by CORE Accounts Department in fraudulently connivance with HDGC Contact Wire supplier.

CORE has purchased in F Year  2015-16, a quantity of 8000 MT of HDGC Contact Wire and Catenary Wire. Accordingly CORE has paid almost Rs 37 crore additional payment to vendors of HDGC Contact Wire and Catenary Wires in the F Year 2015-16.  Besides the excess payment made, utmost poor quality raw material has been used in manufacturing HDGC Contact Wire and catenary Wires. Documentary avidence and the details of complete modus operandi of fraudulent practices are available with the ‘Railway Samachar’.

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A letter bringing the above facts to the notice of Minister for Railways Suresh Prabhu (with a copy to Central Vigilance Commission (CVC), Advisor Vigilence, Railway Board, General Manager/CORE, Chief Vigilance Officer/CORE, Director General/RDSO, Chief Vigilance Officer/RDSO and Chief Vigilance Officer, RITES) has been written in the last month, but no action has been taken so far. The Copy of this letter is in possession of ‘Railway Samachar’.

‘Railway Samachar’ sincerely look forward to highlight the fraudulent practices going on un-interruptedly for the last more than one and a half decade in CORE in the supply of HDGC Contact Wires and Catenary Wires.

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