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This is an archive article published on August 28, 2015

‘Bungling’ purchase of tool-kits: HC orders FIR against ‘topmost’ officials of industrial bodies

The court has fixed September 7 as the next date of hearing in the matter.

The Allahabad High Court has directed the Chief Secretary to initiate departmental proceedings and get an FIR registered against the “highest-level” officials of the State Urban Development Agency (SUDA) and the Uttar Pradesh Small Industries Corporation Limited (UPSICL) for irregularities in the purchase of tool-kits.

These purchases were made by the District Urban Development Agency (DUDA) in various districts at a cost of Rs 3,000 per tool-kit — nearly four times the actual market cost, which was Rs 800 — causing huge loss to the state exchequer.

The court has fixed September 7 as the next date of hearing in the matter.

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The court came down heavily on the two bodies for selectively taking action only against “lower-level” officials while allowing the top ones to “escape”.

A division bench of Justices Arun Tandon and Shashi Kant passed the order on Wednesday on a petition filed by Akhilesh Chandra Tripathi through his counsel Radha Kant Ojha.

“The petitioner was a project officer in DUDA (headed by the district magistrate) in Bareilly. He is currently posted at the same position in Ghazipur. He was suspended in connection with the purchases made in Bareilly over a month ago by the Director of SUDA, the apex body which oversees the functioning of all the DUDAs,” the counsel told the high court.

The tool-kits pertained to various items provided to technicians and mechanics for performing various functions.

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“The market valuation for the tool-kit is around Rs 750 to Rs 800. But the tool-kits were ordered to be purchased from UPSICL, which had fixed the price at Rs 3,000 per kit,” said Ojha.

“Our contention is that since this was approved at the highest level, the suspension of the petitioner was arbitrary and selective,” said the counsel.

The Court said: “We direct the Chief Secretary to summon the original records in respect to the orders issued at different levels for purchase of tool-kits at such exorbitant price. He shall ensure that departmental proceedings are initiated against highest officers responsible along with others as well as FIR registered against those responsible in the matter of huge public money being looted by the purchase…at different districts.”

The court added: “Not only persons who had purchased the tool-kits, the highest officers, issuing direction for the purchases at such exorbitant rates, namely, the officers of UP Small Industries Corporation Limited, must also be dealt with in like manner.”

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The court passed the order after it called for the records and sought affidavits from the respondents concerned. The DUDA informed the court that there was an order from SUDA to make the purchases only from the UPSICL. In turn, the SUDA told the court that this order was passed by the state administration, which submitted that there was a Government of India directive in this regard.

The court said: “What is contended before us is that it is only because of the orders of the state government that the Director issued an illegal order, which has resulted in illegal buying of goods by the district level officer. Standing Counsel on behalf of the state submits that such directions were issued by the state government in pursuance to the letter of the Government of India. We do not appreciate the action of the state government to implicate the smaller officers, while leaving out senior ones, who, in fact, issued order for purchase of the tool-kits from a particular agency at exorbitant price.”

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