Government of India undertaking MCL had entered into an agreement for a joint venture with HINDALCO of Aditya Birla group as a partner in Talbira mining project. This is just to say that it has a history of jumping its creed as public sector. In Bhubaneswar at Tamando it is building a new complex over around 20 acres of land styled Mahanadi Management Training Institute and Mahanadi Joint Venture Complex. But shenanigans marked in matter of this complex, according to a source, emit smell of a scam in which, the Bhubaneswar Development Authority is suspected to be going to collaborate.
The complex, almost completed, is estimated to be worth more than Rs.400 crores. It is executed in violation of the tender rules. To avoid the stipulated tender requirements, the central public sector National Buildings Construction Corporation Limited has been given the work order, but except having put its board at the site, it has no role in its execution, as it has engaged private work agencies to carry out the construction, which means working a 400 crores of rupees project without inviting tender.
When the information somewhat reached the top authorities, a team of internal vigilance wing in a recent investigation has not only located this lacuna, but also it found, according to the same source, that, its plan has not even been approved by the BDA.
The BDA can demolish the structure built up without its approval. Or, it can regularize it by imposition of fine, which, if correctly assessed, may be around Rs.40 crores. As it would mean substantial rise in the project cost and attract audit objections, attempts are being made to create backdated plan approvals to avoid the penalty. The secret deal may cost much less amounts, which the de facto executors of the work are willing to bear. Then BDA may lose huge sum of money which it should be legitimately earning from the penalty from the central undertaking.