Skeletons in the closet? Double billing scandal unearthed in Bengaluru Covid Care Centre contracts

Bengaluru: In what could be just the tip of the iceberg, two different departments of the Bruhat Bengaluru Mahanagara Palike (BBMP) cleared two separate bills worth over Rs 1.5 crore for a similar work executed at the same time, same place and by the same agency.

The double billing, hidden for two years, emerged when auditors scrutinised the BBMP’s accounts for 2021-22.

The work was with regard to setting up a Covid Care Centre in the Koramangala Indoor Stadium, where the civic body engaged private firm Raja Enterprises to supply beds among other necessary items for the patients.

Records show that the BBMP’s health officer (South Zone) approved Rs 1.50 crore to Raja Enterprises for services rendered between March and July 2021.

Simultaneously, the BBMP’s Projects (Central) South Zone sanctioned an additional Rs 1.51 crore to the same agency in five instalments for the same services provided between March and August 2021.

The BBMP health officer also cleared an additional Rs 55.57 lakh for similar work between June 2020 and December 2020, during the first Covid wave.

In all, the firm received Rs 3.57 crore, with auditors specifically objecting to the Rs 1.51 crore released by the BBMP’s projects cell.

Notably, the then zonal commissioner had approved the health officer’s proposal for a Covid Care Centre, but the BBMP’s projects cell did not get the approval.

Significant irregularities by officials included failure to solicit quotations from multiple agencies before selecting Raja Enterprises, failure to seek government approval to exempt floating of tenders under the Karnataka Transparency in Public Procurement Act, lack of records on the way the beds were reused, and absence of tax invoices in the bills submitted by the agency.

Tulasi Maddineni, Former Zonal Commissioner (South) and Special Commissioner (Finance), claims she was not aware of the latest developments, while Mahantesh Kumar, Executive Engineer of the BBMP’s South Zone, expressed ignorance regarding the work.

Sandeep Anirudhan, co-founder of Citizens’ Agenda for Bengaluru, predicts more double billing cases would tumble from the BBMP’s closet if the Comptroller and Auditor General of India (CAG) audits the BBMP accounts.

“Since the BBMP has one of the largest budgets in India, we demanded that its account be audited by the CAG,” he said. 

Double trouble 

Health Officer (South Zone) releases Rs 1.50 crore under the purchase and hire charges of the Covid Care Centre at Koramangala Indoor Stadium for the period between March 15 and July 15, 2021. 

Executive Engineer (Projects), South Zone, also releases Rs 1.51 crore in five instalments for purchase and hire charges of the Covid set up at the stadium for the period between March 15 and August 14, 2021.