ISM illegally builds hospital in Srinagar, Govt loses Rs 7.5 cr

Fayaz Bukhari
Srinagar, July 27: The Indian System of Medicines (ISM) has constructed 50 bedded hospital in Srinagar illegally leading to the unfruitful expenditure and liability of over Rs 7.5 crore including the delay in the construction of an ISM building.
The illegal construction work continued for almost one year despite Lakes and Water Ways Development Authority (LAWDA) directing the Director ISM and R&B to seek prior permission for building of the hospital. The area where the hospital was constructed is in green belt and on the banks of Dal lake where any kind of construction is banned.
The Comptroller and Auditor General (CAG) of India in a letter (No. Rep/2016-17/DP-42/218-221 dated 21-06-2017) addressed to the Commissioner/Secretary to Government of Jammu and Kashmir, Health and Medical Education Department, Dr Pawan Kotwal, has pointed out that the Director ISM didn’t seek permission for the construction of the hospital from LAWDA.
“Audit scrutiny of the records (November 2016) of the Executive Engineer (EE) PW, R&B Construction Division 2nd Srinagar, revealed that the construction work started on May 1, 2014 was suspended from October 21, 2015 on the Court directions. Prior permission of LAWDA was not obtained before taking up the construction work”, read the letter.
The report says that the LAWDA had directed the Director ISM to seek permission for construction of the hospital before starting construction but he went ahead with the construction illegally. “Although the contractor had approached LAWDA for seeking permission for carriage of construction of materials which was denied (May 2014) and LAWDA had directed the Executive Engineer and Director ISM to obtain the necessary building permission before carrying out any construction at site. However, without obtaining the necessary building permission an expenditure of Rs 5.75 crore including a liability of Rs 2.75 crore had been incurred on incomplete construction work. Building permission sought subsequently from LAWDA was rejected (November 2016) on the pretext that the building permission authority can not regularize the structures constructed before seeking proper permission. Thus, the failure to seek the proper permission for construction not only resulted in unfruitful expenditure of Rs 3 crore, but also creation of liability of Rs. 2.75 crore and denials of benefits of the project”, read the letter.
The Construction Division of the R&B in its response to CAG while justifying the illegal construction works said that they were told by the authorities (ISM) that they are in touch with the LAWDA for obtaining the building permission. “On being pointed out in audit the EE, PW (R&B Construction Division 2nd Srinagar stated (December 2016) that the work was started as per the orders of the higher authorities with the intimation that necessary clearance from LAWDA is being obtained. It was also stated that the higher authorities are in touch with LAWDA authorities for obtaining the necessary permission so that the expenditure can be made productive by way of starting the work on the project”, reads the report.
The CAG has said that the response of the R&B is not tenable as LAWDA has informed them that it can’t regularize the structure for which no permission was sought before construction. “The reply is not tenable, as LAWDA has informed that building permission authority cannot regularize the structures constructed before seeking proper permission”, the report added.
The CAG has sought response from Department as why prior permission was not taken from the authorities for the construction of the hospital as it has led to loss to the State exchequer. It has also sought response on the remedial measures including disciplinary action taken or proposal be taken by the department against the official responsible for the loss.
The CAG letter says: “A detailed project report (DPR) for construction of double storey 50 bedded integrated Ayush Hospital and Wellness Centre at Harwan, at an estimated cost of Rs 7.51 crore was submitted (October 2012) by Chief Engineer (CE), Public Works Roads and Buildings (PWD, R&B) Kashmir to Director Indian System of Medicine (ISM) Jammu and Kashmir Government. Chief Engineer, PWD, R&B, Kashmir allotted (January 2014) the work to a contractor at a cost of Rs 4.04 crore for its completion within a period of 500 days”, read the letter.
The CAG has also sought response (letter No.EAP/DP-9/2017-18/30-32 dated 03-07-2017) from the Department for its failure to ensure timely completion of building of ISM at Rabita and Agahar Majoor that resulted in unfruitful expenditure of Rs 1.16 crore and avoidable expenditure of Rs 0.69 lakh on payment of rent.

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