Certain officials of the Meghalaya Transport Department are likely to face trouble as the Central Bureau of Investigation (CBI) has registered an FIR in connection with the irregularities in the tender process for the High Security Registration Plates (HSRP).
It was learnt that the CBI has filed FIR against Nitin Shah, director of Shimnit Utsch India Pvt Ltd, Mumbai and certain government officials of Meghalaya’s Transport Department who have been named as the accused in the case.
In 2005 the contract for implementation of HSRP project was awarded to Shah’s company (Shimnit Utsch India Pvt Ltd) at an exorbitant rate and the same was approved by the Meghalaya government.
CBI has alleged that Shah, in collaboration with certain officials of the Meghalaya Transport Department, rigged the tender process by submitting collusive bids through entities controlled by him.
It may be noted that in 2001, the Government of India had introduced the HSRPs scheme for all vehicles in India. The states were permitted to call tenders for approving rates for supply of HSRPs and to execute the implementation of the work under the scheme.
“The information reveals that in pursuance of the said scheme, State of Meghalaya floated a tender for execution of HSRPs scheme in the year 2003. Three private companies, two from Mumbai, including M/s Shimnit Utsch India Pvt Ltd and one from Delhi had participated in the tender process and the work was awarded by the officials of Transport Department, Government of Meghalaya to Shimnit Utsch India Pvt Ltd,” the CBI stated in its FIR.
According to the FIR, all the three bidders were controlled by Nitin Shah, Director of Shimnit Utsch India Pvt Ltd and that the HSRPs were supplied by the company in Meghalaya at rates, four to five times more than those in rest of India.
CBI also stated that Shah and the companies controlled by him, in collusion with unknown officials of the Transport Department of Meghalaya rigged the tender process by submitting collusive bids through entities controlled by him and got approved exorbitant rates for supply of HSRPs in Meghalaya.
The CBI has registered a case under sections 120B (Punishment of criminal conspiracy) and 420 (cheating) of the Indian Penal Code and relevant sections of Prevention of Corruption Act was registered by the CBI on July 29 against Shah and unknown officials of Meghalaya Transport Department and others.
It was also learnt that CBI officials today conducted searches at various premises connected to Shah in Shillong, Delhi, Mumbai and Sirmaur in Himachal Pradesh.
Meghalaya was the first state to implement HSRP in the country. Shimnit Utsch India Pvt Ltd which was allotted the contract started its operations in the State in August 2006.
However, vehicle owners said the scheme was a failure as a vehicle being affixed with high security plate does not have provision for tracking the physical position of a vehicle through satellite in order to trace HSRP vehicles within a few minutes if they got stolen.
Further, the rate for fixing of HSRP is high in Meghalaya compared to other states in the country. The cost is Rs 1629 for four-wheelers (light and heavy vehicles), Rs 1116 for three-wheelers and Rs 669 for two-wheelers.
