CM orders stay on Mid-Day Meal scheme contracts

AUGUST 18: Chief Minister Vilasrao Deshmulh today ordered a stay on the contracts for transportation of rice under the central government’s Mid-Day Meal Scheme. The stay was ordered following a complaint by member of the Legislative Council Kanhaiyalal Gidwani, who had alleged that the government was losing abot Rs 10 crore due to over-pricing by semi-government bodies which had bagged the contracts.

Sources said Deshmukh ordered the Food and Civil Supplies Department to immediately stop the transportation and packing contracts invite fresh tenders. However, the FCS Department was in a quandary as the process to invite fresh tenders and give the contracts would take over a month. This would result in a lapse of the central quota for the state for their period. The final decision on reinviting tenders will be taken after the chief minister’s meeting with the FCS officials.

Gidwani had recently written to the CM drawing his attention to the alleged loss of Rs 10 crore due to an increase in prices quoted by semi-government bodies for the transportation and packing foodgrains under the scheme. The scheme is implemented for schoolchildren aged below 14 to encourage them to attend school. Accordingly, they are given 3 kg of rice every month.

Gidwani had pointed out that the agencies had quoted Rs 114 to Rs 115 at the behest of sub-contractors though the government had fixed the rates at Rs 89 to Rs 90 per bag of 100 kg rice. This had amounted to a loss of Rs 35 per bag and Rs 10 crore on the transportation of 28 lakh bags.