CBI names Emaar-MGF in Village flats probe

A preliminary enquiry by the Central Bureau of Investigation into alleged lapses during award of contracts for construction of the Commonwealth Games Village has named developer Emaar-MGF.

Written by Express News Service | New Delhi | Published: February 23, 2012 1:02:00 am

A preliminary enquiry by the Central Bureau of Investigation (CBI) into alleged lapses during award of contracts for construction of the Commonwealth Games Village has named developer Emaar-MGF.

The agency said they have not named any government official in the enquiry,but the probe will help them establish the roles of DDA officials who are under the scanner.

When contacted,the Emaar-MGF spokesperson said they had no knowledge of an enquiry and would,therefore,not comment.

The Shunglu Committee,inquiring into charges of corruption during the Games,in its second report to the Cabinet Secretary in March last year had provided details of “inflated” cost in building the Games Village in East Delhi.

The report pointed to loss of time though the land had been allotted in 2003. The decision on the mode of development of the Village was taken and agreed upon by all stakeholders in January 2006.

“This delay of over two years in finalising the development strategy proved costly for the DDA,in so far as it prevented the DDA from considering an alternative in the situation which emerged in 2008-09,” the Shunglu report stated.

The CBI alleged that Emaar-MGF sought concessions not contained in the project development agreement. The charge against DDA officials was that they neither enforced contractual rights nor resisted Emaar-MGF’s demands.

The Shunglu report also alleged that DDA spent a substantial sum on goods,which were to be taken over by Emaar-MGF,and has to recover the amount.

According to the report,the total amount due from Emaar-MGF on account of quality issues and non-performance aggregates to Rs 96.33 crore. This amount,however,is under dispute.

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