CAG flays Meghalaya over appointments of consultants without bidding in MGCC

STAFF CORRESPONDENT

SHILLONG: There have been appointments of consultants in the Meghalaya Government Construction Corporation (MGCC) without competitive bidding process. This has been reported by the CAG (Comptroller & Auditor General) of India on Social and Economic Sectors for the year ended March 31.

"Appointment of consultants for architectural services without following the tendering and competitive bidding procedure is in violation of Meghalaya Financial Rules (MFR),1981 and CVC guidelines," said the CAG.

The MGCC is a State government public sector undertaking, and as such it is bound by the rules/directions of the State government.

According to the CAG Report, during the course of audit (July-September 2019), it was observed that MGCC appointed six consultants for architectural services based on 'percentage contract' for various projects during 2013-14 to 2019-20 at the rate (percentage) ranging between 1.50 per cent and 7.50 per cent of the project costs.

The Audit report observed that MGCC appointed all the six architectural firms on nomination basis without following the procedure of tendering and competitive bidding prescribed under the MFR and CVC guidelines.

The MGCC, in its reply on January 2020, stated that as it did not have in-house architecture and structural engineer; hence, architects were engaged on verbal requests with a condition that payment would be made only if the scheme is sanctioned by the department concerned.

They also opined that if open bids were invited from architects, the MGCC would have to bear the cost of architect fee from its own sources in the event of the scheme not being sanctioned or delayed.

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