SCR Secunderabad hit by bedsheet scam, CBI files corruption case
Secunderabad: The CBI has launched an investigation into a major scam involving substandard bedsheets supplied to South Central Railway(SCR), Secunderabad.
According to the CBI, from July to November 2023, representatives of Bunkar Jatiya Hathkargha Sahakari Samithi Ltd. (BJHSSL), based in Kanpur, have entered into a criminal conspiracy with unknown public servants of South Central Railway (SCR), Secunderabad, to supply bed sheets and obtain wrongful gain for themselves and corresponding wrongful loss to SCR.
Bunkar Jatiya Hathkargha Sahakari Samithi Ltd. (BJHSSL), Kanpur, allegedly conspired with unknown railway officials to supply substandard bedsheets for a Rs. 7.86 crore order for 2,54,657 units.
Unveiling of scam
The scam unfolded after BJHSSL delivered the first lot of 1,40,000 bed sheets in October 2023. Testing by the Textile Committee, Hyderabad, revealed the supplies failed to meet specifications. Despite this, railway officials allowed the delivery of a second lot of 1,14,657 bed sheets in November 2023, without quality retesting.
“Unknown officials of the Principal Chief Materials Manager (PCMM), SC Railway, Secunderabad, conspired with M/s BJHSS Ltd and M/s West Bengal State Handloom Weavers’ Corporation Society Ltd., Kolkata. The PCMM office relaxed some technical parameters, but only after placing the Purchase Orders,” said the complaint.
Following which, M/s BJHSSL conspired to cheat South Central Railway. CBI’s preliminary investigation revealed that in a letter dated 14, September,2023, they falsely reported that RITES, the inspecting agency for testing the bedsheets, did not inspect the material due to being overburdened. Therefore, M/s BJHSSL requested SC Railway to change the inspection agency for the material supply immediately.
Investigation revealed
“On 15, September, 2023, the office of PCMM issued a letter to change the Inspection Agency from RITES to Intertek India Pvt Ltd. It ignored verifying M/s BJHSSL’s claim with RITES. They also deliberately avoided informing RITES about the change. Subsequently, M/s BJHSSL supplied substandard bedsheets in two lots and gained wrongfully”, said the complainant.
Further investigation revealed that the office of PCCM, SC Railway issued a Modification Advice (MA) changing the inspection agency from RITES to M/s Intertek India Pvt. Ltd. It did so without following the prescribed procedure and opening multiple e-office files. This fact was not made known in the IMMS (Integrated Material Management System) used by the SC Railway. Subsequently, Dy. CMM/HQ, SC Railway issued unauthorized orders to G&S Stores Depot, Mettuguda, and the Mechanical Coaching Depots at Hyderabad and Secunderabad. They ordered, in the name of emergency, the diversion and acceptance of materials without any indent or requirement from them.
An enquiry found that the O/o PCMM opened multiple e-office files on the same subject in the same year. This was to suppress the modifications/irregularities and favour M/s BJHSSLtd. in supplying/accepting substandard material.
The inquiry reveals that the Railway Vigilance conducted an internal probe into the alleged irregularities. They recommended registering a vigilance case or taking administrative action. However, they did not investigate the second lot’s materials or M/s BJHSSL’s claim about RITES denying the inspection.
The CBI has filed a case against BJHSSL and unknown railway officials under IPC sections 120-B and 420, and Section 13(2) of the Prevention of Corruption Act on Wednesday.
