Spectrum, coal allocation was tampered with: CVC

CVC Commissioner said tampered processes led to ineligible people getting the allocation

The allocation process of coal blocks and 2G spectrum was "tampered with" leading to ineligible people becoming beneficiaries and this has been "universally accepted", Central Vigilance Commissioner K V Chowdary said on Wednesday on the alleged scams under the UPA.

"If we look at two most controversial matters of recent times -- allocation of spectrum and allocation of coal, as of today there has not been a conclusive proof of X giving money to Y. The matter is under trial. What has been universally accepted is that the process was tampered with," he said at a function.

Chowdary also said the tampered processes led to "ineligible people getting the allocation and the more eligible people missing the opportunity".

CBI is looking into allegations of corruption in allocation of second generation (2G) spectrum to telecom companies, besides coal block allocation.

He said it is essential that all conditions are laid down properly in the tender documents and tendering processes are transparent.

Chowdary was speaking at the '10th public procurement summit on enhancing transparency, efficiency and accountability', organised by industry body Assocham.

He said about 30% of India's Gross Domestic Product (GDP), which is about Rs 25 lakh crore, comes out of tendering of goods and services being procured by the government.

The CVC noted that tendering processes in a few cases take one to three years which need to be cut down.

Chowdary said there was a need to apply certain checks on the issue of L-1 or a lowest bidder in any tendering process.

"By and large, it is believed that L-1 is the best. But there may be several other issues," he said, suggesting that the authorities need to look at other aspects of this provision.

Chowdary said that the Commission is in the process of finalising a discussion paper to look into all the aspects of tendering and recommend a comprehensive guidelines.

Chowdary said while L-1 is a good thumb rule, there is a need to look at and devise methods as to how and when it should not be the best method in the interest of the person who is issuing the tender.

"Whether it could be quality, delivery standard or it could be anything, probably we need to work more on how to get an alternative decision mechanism other than L-1 and subject to qualification," he was quoted as having said in a press release issued by Assocham.

Highlighting that a lot of people find difficulty on L-1 issue in particular, Chowdary said, "There are several issues that come which we need to kind of have a scientific way in which we evaluate them and then build it to the theme."

"So the major thing that we need to keep in mind is how do you draft or build your Notice Inviting Tender (NIT), if I have not built all these possible issues in my NIT then I am open to a lot of discussion, debate and allegations, so my suggestion is that you as a tenderer please look at the NITs very carefully as that ultimately determines your consequences, profits-losses, your obligations," the CVC said, addressing the gathering which included industry leaders.

On the issue of e-tender and e-procurement, he said these have brought in a lot of transparency and have made things easy to an extent but one needs to be equally cautious in seeing how this process is working.

"You need to build very robust audit and inspection mechanisms otherwise it is much easier to fool people in a e-process because others cannot even see what is being filed, unless these trails are really followed and they are verified you are likely to be fooled either," Chowdary said.