Premium
This is an archive article published on April 20, 1998

Rs 14 crore down the drain for BMC

MUMBAI, April 19: Sewerage department officials have cost the Brihanmumbai Municipal Corporation (BMC) Rs 14 crore, owed to it by the Rashtr...

.

MUMBAI, April 19: Sewerage department officials have cost the Brihanmumbai Municipal Corporation (BMC) Rs 14 crore, owed to it by the Rashtriya Chemical Fertilisers (RCF). A departmental inquiry has revealed that the department staff did not levy sewerage charges on the RCF. Officials also did not obtain sanctions from the competent authority to let the RCF off from paying.

The initial loss of Rs 30 crore was scaled down after the RCF paid up Rs 16 crore following an agreement with the municipal commissioner in July, 1996. The remaining amount, though, is yet to be recovered. In March, 1987, the BMC modified the Sewerage and Waste Removal Rules, and sewerage charges were made applicable to all properties situated within the BMC’s jurisdiction. This was notified to all departments in a circular.

However, it was found that no sewerage charges were being levied on the RCF, an omission which also slipped up the attention of officials of the chief auditors’ department, who had audited the relevant registers.Although the commissioner asked employees of concerned departments to investigate the error, the chief municipal auditor (MCA), P C Pisolkar, allegedly failed to come forward and give a statement. He claimed that as the MCA staff functions under the standing committee, only the committee can empower any enquiry into its workings. However, the commissioner has clearly stated in a letter that all municipal employees come under the Mumbai Municipal Service Rules, which are vested with the municipal commissioner. The MCA is still to direct his staff to record a statement with the chief enquiring officer.

After the commissioner brought a proposal before the standing committee to hold a departmental inquiry against the MCA staff, the committee recorded Pisolkar’s statement on Saturday. He stated that the negligence had been reported to the BMC in 1990, which failed to act on it. When the BMC later wrote to RCF to pay up the amount, the company moved the Bombay High Court, and had to cough up Rs 1.60 lakh afterthe ruling went against it. The company then moved the Supreme Court, where the BMC was directed to recover all dues from it.

Latest Comment
Post Comment
Read Comments
Advertisement
Advertisement
Advertisement
Advertisement