FFC detects large-scale irregularities
Govind Sharma
JAMMU, Apr 2: Government today handed over the investigation of major scams in Jammu & Kashmir Projects Construction Corp (JKPCC) to the Crime Branch of JK Police, as the Fact Finding Committee (FFC) appointed by the Government submitted a voluminous report bringing out in detail large irregularities in the operation of JKPCC.
After receiving numerous complaints from many quarters about the functioning of JKPCC, particularly relating to corruption in civil contracts, illegality in appointments at multiple levels including at very senior positions, and excessive cost and time overruns, the Government had appointed the Fact Finding Committee to look into all these complaints.
The Fact Finding Committee was headed by the Principal Secretary (Planning), and had the Divisional Commissioner (Jammu), Commissioner/ Secretary (Revenue) and MD, JKPCC as members. The mandate of the Committee was to look into manner of awarding contracts to contractors, diversion of funds from one project to another, irregularities in appointments at various levels including that of the Managing Director, inefficiency in functioning, cost overruns in project implementation and estimates for construction being much higher than those of PWD.
The Fact Finding Committee in its report submitted to the Government brought out in detail large irregularities in the operation of JKPCC. The report observed that construction works have been executed by giving contracts on nomination basis, whereas JKPCC should have executed works in a departmental mode. Irregular procedures in violation of Government orders and BoD laid down SoPs were also noticed in engagement of consultants and nomination of workers.
The report also pointed out that despite 50 years-old organization, JKPCC has no Recruitment Rules. The Committee, in its report, said that the appointment of Vikar Mustafa Shonthu as Managing Director was ab initio illegal as it was done by the Chairman (who was the then Minister), and was not competent to do so.
The Fact Finding Committee revealed shocking details regarding diversion of funds by JKPCC from one project to another and attributed it to poor control systems and absence of proper accounting procedures. The Committee also found that there were large cost and time over-runs in projects due to poor project management skills and weak controls.
Acting on the report of the Fact Finding Committee, the Government today decided to hand over the investigation of all works executed or contracted out by the JKPCC after the issuance of the Government Order of November, 2015 to the Crime Branch of Police (Srinagar) to identify any irregularities in award of contracts in violation of prescribed SOP/procedures and take necessary action as per law. Based on the enquiry of the Crime Branch, further action against individuals will be taken.
The Government also decided to refer the case of irregularity in the appointment of Vikar Mustafa Shonthu as Managing Director to the Crime Branch of Police, Srinagar immediately for lodging an FIR and taking further action. Crime Branch would examine the role of the Chairman, the Board of Directors, the Administrative Secretary and the Company Secretary in this matter and take action as per law.
“The Fact Finding Committee will also look into all appointments made by JKPCC and ensure that all irregular appointments are terminated and action taken against those responsible. This will be done in three months, by 30-6-2019,” the Government order further said, adding, Principal Secretary (Planning), as Chairman of the Committee will oversee this entire process.
The Government also decided that the cost estimation procedure of JKPCC will be reformed through a Committee to be proposed by Administrative Secretary, PWD.
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