IT News
Imphal, Dec 13:
The Chief Engineer of the Manipur State Rural Roads Development Agency (MSRRDA) has failed to act on a critical audit report from the Office of the Principal Accountant General (Audit), Manipur, exposing financial irregularities worth crores of rupees. The report, covering the period from April 1, 2017, to March 31, 2019, detailed violations of financial propriety, irregular procurement practices, and non-compliance with tax laws.
The audit revealed unauthorized expenditures totaling Rs 86.26 lakh, made without obtaining prior approval from competent authorities—a clear violation of General Financial Rules (GFR). This points to systemic financial misconduct and deliberate attempts to bypass regulatory safeguards.
Even more serious was evidence of a collusive tendering process. Contracts amounting to Rs 69.17 lakh were reportedly awarded to a single supplier operating under multiple firm names, all registered under the same Permanent Account Number (PAN). This practice undermined fair competition, funneling public funds into fraudulent schemes. The agency invited bids from only three firms owned by the same proprietor, effectively eliminating genuine competition.
The report also raised suspicions of fake invoices and financial kickbacks due to the absence of delivery receipts and stock entries for many transactions, casting doubt on the legitimacy of the purchases.
The agency flouted government regulations mandating the use of the Government e-Marketplace (GeM) system for procurement transparency. Instead, MSRRDA made direct purchases worth Rs 12.07 lakh from local markets without competitive bidding. This evasion of transparent processes further exposed public funds to misuse.
Additionally, MSRRDA failed to deduct Rs 1 lakh in Goods and Services Tax (GST) at source, enabling suppliers to evade taxes that should have contributed to state revenue. This oversight suggests negligence or potential complicity with vendors to evade tax obligations.
Imphal Times journalist Khumanthem Dhanchandra Singh, who uncovered these irregularities through an RTI query, urged the Chief Engineer to establish a high-power committee to investigate the matter within three weeks. However, more than 10 weeks have passed without any action or updates.
Imphal Times previously reported on these findings on September 24, 2024, under the headline “Gross Irregularities Found in the Implementation of PMGSY Scheme by MSRRDA During 2017 to 2019.”
The Chief Engineer’s inaction has undermined his leadership, allowing erring officials to operate with impunity.
Attention now shifts to the Manipur Lokayukta, which could initiate legal proceedings against MSRRDA. However, the Lokayukta’s chairperson position has been vacant for over five months, stalling the filing of new cases and delaying justice.
