PIL claims graft in toll collection, HC seeks SDMC reply

The Delhi High Court today sought response of the South Delhi Municipal Corporation (SDMC) on a PIL alleging corruption in the collection of toll tax from commercial vehicles entering the national capital.
A bench of Acting Chief Justice Gita Mittal and Justice C Hari Shankar issued notice to the SDMC, which is the nodal agency for collection of the toll, and asked it to file an affidavit indicating what was the percentage increase in vehicles entering the city.
The court sought the information as the SDMC has this year outsourced the job of toll collection for five years to a private company which would pay it Rs 23 crore per week, which would total to Rs 1,206 crore in five years, irrespective of the actual collection of the tax.

"They have to give you Rs 23 crore per week even if they collect Rs 50 crore or Rs 100 crore? Do you know what has been the increase in vehicles entering the city," the bench asked.
The court also observed that the SDMC has no regulation or control over toll collection or on charging of parking fees.
The SDMC, represented by advocate Gaurang Kanth, said there was nothing wrong in the manner of tax collection and it had carried out a study before floating a tender for an amount of Rs 1,206 crore for a period of five years.

The court, however, said that the amount could be double if done properly.

The bench was hearing a PIL by an association of commercial vehicle drivers, filed through advocates Subodh Pathak and Shashi Ranjan, claiming that the collection of toll tax was not being done as per the bye laws.
The association has sought a court-monitored inquiry into the issue and action against those found responsible for alleged corruption in toll tax collection.
It has alleged that proper receipts are not issued by the contractor who has been awarded the work of toll collection.
The contract for toll tax collection has been awarded by the SDMC to MEP Infrastructure Developers Ltd.

Earlier it was given to DEP Tolls LLP for a period of nine months for Rs 488 crore or Rs 13.5 crore per week.