A special audit of the National Rural Health Mission (NRHM) in the state,conducted by the Finance department of the UP government,has found that 988 ambulances for the Emergency Medical Transport Service (EMTS) were purchased at a higher cost from Tata Motors than the rate offered by another company,Force Motors,causing an extra expenditure of Rs 2.17 crore. The decision was taken for technical reasons,the most significant of which was the Tata Motors large network of service centres,it is learnt. The special audit of the Directorate of Family Welfare,which covered the financial year 2010-11,was conducted in June. It was ordered after a review of the NRHM in the state,conducted by a central team,found large-scale financial and administrative irregularities. The special audit report was submitted to the government in July. Of the 988 ambulances,which were bought from Tata Motors,as many as 779 were supplied till May 2011. But the government took possession of only 159,while the remaining 620 are still parked at the Tata Motors stockyard in Lucknow. The central review found that the ambulances could not be used because no planning was done to arrange the necessary manpower and infrastructure for their operation. The central review was ordered after the murder of two successive Chief Medical Officers of Lucknow,Dr V K Arya and Dr B P Singh,and subsequent surfacing of irregularities in NRHM. When the purchase committee held a meeting on July 8,2010,it held discussions on vehicles manufactured by the Tatas,the Mahindras and Force Motors,it is learnt. The vehicle offered by Mahindras was ruled out without much discussion. The choice was between Tata Winger,which cost Rs 7.22 lakh for each unit,and the vehicle offered by Force Motors,which cost Rs 7 lakh per unit. The figures included transportation charges and VAT. However,the purchase committee decided to buy Tata Winger,ignoring the cheaper vehicle of Force Motors in view of the technical aspects. The special audit report says that if the purchase was done from Force at the first lowest rate,Rs 2.17 crore could have been saved. Officials said the technical reasons which went in favour of Tata Motors were its large network of service centres,more headroom in the vehicle and a low floor. The special audit also noticed a discrepancy. The DGS&D rate contract of ambulances was Rs 6.12 lakh per unit,inclusive of excise duty but excluding VAT and transportation charges. However,the supply order of the Director General of Family Welfare mentions the rate of Rs 6.22 lakh per unit. The difference adds up to Rs 99.73 lakh for the entire order,says the report. Asked about the purchase of the costlier vehicle,Sanjay Agarwal,Principal Secretary of Health and Family Welfare,said it was the discretion of the purchase committee and,hence,it is correct. As for the discrepancy in the DGS&D rate and the rate mentioned in the supply order,he said,The excise duty was raised by 2 per cent after the rate contract of DGS&D,which was not considered by the audit committee.
