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This is an archive article published on November 18, 2000

Nitish orders CBI probe into irregularities in ICAR-DARE computer deal

NEW DELHI, NOV 17: Agriculture Minister Nitish Kumar's announcement today about a CBI investigation into complaints of irregularities in t...

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NEW DELHI, NOV 17: Agriculture Minister Nitish Kumar’s announcement today about a CBI investigation into complaints of irregularities in the purchase of computers and other equipment in the Department of Agricultural Research and Education (DARE) and Indian Council of Agricultural Research (ICAR), headed by Secretary R S Paroda, has been long coming.

Only two days ago in a pre-emptive move, the Ministry of Agriculture placed Paroda on “compulsory wait” in a minor departmental reshuffle in order to ensure an impartial probe by the CBI as well as the Department’s vigilance wing. In other words, Paroda has been removed from the post of Director General of ICAR/DARE, at least temporarily, declared Nitish Kumar.

In May this year, The Indian Express was the first to report on the “computer scam” in ICAR-DARE, when it highlighted the plight of the department’s senior scientist, Assistant Director General (ADG), Sadachari Tomar. The official was dissociated from the Information System Development (ISD) task force, the very job he was appointed for, for meticulously pointing out the numerous financial irregularities in the purchase of computers worth about Rs 20 crore.

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The Special Audit Report on the ICAR, conducted by the Agriculture Ministry’s Internal Audit, which is with The Indian Express, also confirms Tomar’s allegations, among a list of other misdemeanours. In 1998, the World Bank sanctioned a loan of Rs 1,000 crore to the ICAR, under an agreement with the Ministry of Agriculture, for its National Agriculture Technology Project. A part of the loan was to be used for the development of the Agriculture Research Information System, which required the purchase of computer networking systems for about Rs 20 crore.

The audit has made some scathing observations in the computer-buying spree made by the department. On scrutiny of files, the audit report records various discrepancies in the purchase and installation of computers.

For instance, while examining the procurement of computers, peripherals and UPS by the ICAR against the credit/loan from the International Development Association, it was found that though 1,100 hardware items were purchased, the files do not contain any requisition or indent from any ICAR unit or office on whether this large purchase was based on actual requirements or if they conformed to specifications or needs.

While Indian companies offered rates in Indian currency, the foreign company bids, which were not only higher, offered rates which were 80 per cent in foreign currency and the rest in Indian rupees. By opting for a foreign bidder, a lot of foreign exchange was unnecessarily wasted, says the audit report.

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In the purchase of 30 PCs from Indian firms (the original order was only for 21 PCs), it was noted that though M/s HCL quoted the lowest price among three other bidders, in the final purchase, all three companies were alloted an order of 10 PCs each for an amount of Rs 31.35 lakh.

In other related matters, the audit report found that there was an additional expense of Rs 25 crore for the construction of residential quarters for senior officers in the NASC complex at Pusa, New Delhi.

The original plan had only envisaged the office complex. However, the work was not only awarded to a private firm, IRCON International Ltd, it was given at a higher rate without calling for open bids.

The ICAR secretary also by-passed the CPWD and DDA for a no-objection certificate, the only two building authorities authorised for construction work. Paroda also sanctioned authority to build a mansion for the DG, incurring an additional cost of Rs 24 lakhs. This, despite the fact that a DG is only a secretary-rank officer and to construct a bungalow for him is in clear violation of Government rules and norms of the Director of Estates.

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The audit report observed that such gross building expenditure seemed unjustified especially when ICAR/DARE has been pleading for resources for strengthening its research facilities.

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