Transparency in works -purchase etc awarded on nomination ... - snea

ToBharat Sanchar Nigam Limited(A Government of India Enterprise)Bharat Sanchar Bhawan, Janpath, New Delhi_i.o/o Sr.GM (MM)(MMT Section)TeLi 0,11-23717944 Fax: 0{1-23710198All Chief General Manaoer'sTelecom Circles / Telec6m Districts / Telecom proiects /Ma<strong>in</strong>tenance Regions / Task Force / Telecom Stoies, Kolrata INCES / Data Net<strong>works</strong> / Tra<strong>in</strong><strong>in</strong>g Centers/ Telecom Faciories /QA Circle / T&D Circle.F.No. 3-212007-MMT/Vot.-Upt.lDated 23.04.20,t3Subjecti. <strong>Transparency</strong> <strong>in</strong> Works/Purchase/consultancy contracts <strong>awarded</strong> onbasis - nom<strong>in</strong>ationCVC Circulars regard<strong>in</strong>g.The c.V.c. has been emphasiz<strong>in</strong>g on the need for award of contracts <strong>in</strong> a transparentmanner,and<strong>in</strong>ctud<strong>in</strong>gopenthe contracts <strong>awarded</strong> on nom<strong>in</strong>ation basis (s<strong>in</strong>gre s"d.; F;;ilil;;il.-The basic requirements for the- award of. conhact by any Government agency is to provideopportunityequalto all <strong>in</strong>terested Parties, fair & equitdble ireatment of ati teniereii, '*ni"'|,- guarantee the<strong>in</strong>trrnrighto equality, promote healthy competition among the tenoererJ'anJcorrupt practices.e'.lim,narefegard<strong>in</strong>g award of contracts on nom<strong>in</strong>ation (s<strong>in</strong>gre source procurehent) basis, <strong>in</strong>stead oflollgyilq^3 process of open competitive bidd<strong>in</strong>g, tie commission earrier ii05'07.2007Gi'rettei-oat"o(copy enclosed) has arready raid dow]i the exceptionar circumstancJs,Sourcewheie',s'<strong>in</strong>gleProcurement' can be resorted to.The CVC has also directed <strong>in</strong> this contexthat the details of all tenders <strong>awarded</strong> onbasisSha|IbepoStedonwebsite<strong>in</strong>Pub|icdoma<strong>in</strong>a|ongWithbriefreaSonsthereof.nom<strong>in</strong>ationln this.connection, detailed <strong>in</strong>structions from Ceniral Vigilance Commission office videNo. (i)their lettersNo. 005/cRD/19/1967 dated ii.12.2012 (ii)-No. oos/cRD/1g oateJenclosedos.bi.zooiherewitharefor k<strong>in</strong>d <strong>in</strong>formation & necessary aition at your end ptease.This is issued with the approval of Sr.GM(MM)..Encl.:-0 CVC circutar No. 0OS/CRD/19/1967 dated 11 .12.2012(ii) CVC circular No. 005/CRD/19Mrwdated 05.07.2007Copy for k<strong>in</strong>d <strong>in</strong>formation to:-1 Pl"9-lgl (9y)/Director (E)/Direcror (HR)/Director (CFA)/ Directof (F), BSNL2. ED (cAycO.ED (cNy ED (r), esNL cb. '3 19YLEP)^E\L{ P_cM,(B\44/pcM(Etec1.y sr.cM(NWp-cFAy(tryNWp_GSM_t)/ srGM(NWp_. 9914-M.9l,l(qNp)/ GM(Radto/.clrynsy crv(efl/ sr.cM(Nwo_Crnir si.cjrvrir.rw6_crril1 DgM (MMr&MMSyDGM (MMD).5. AGM _VA, O/o CVO, BSNL co. ND, I.6. DM (lT-ll) for putt<strong>in</strong>g on BSNL lntraner. n /-7. Office Copy/ Guard File.ci19r3

,'TelegiaphicAddress :"SATARKTA: New DelhiE-Maii Addresscenvigil@nic.<strong>in</strong>. Websitewww.cvcnic.<strong>in</strong>EPABX2465i001 _ 07$-tr,/Fax :24616286.,,: r:i I'r -'l::-Jv'X"3aZol,tp17wn(qqq \4qflb-*q q-tredT eTrqhTCENTRAI wGILAttCE C 6MMIS*ION e-*q?r. r.+t, fr .ft .cfr. qiEr+_ffi ,Circular No. 18112112fr-q, qr{.sc.c., c-{ m_rroozsSatarkta Bhawan, G.p.O. Complex.Block A, INA, New Dethi il0b23fi ./ NO..,.............005tcRDt19f/?/r.Fro ,z Dated.. 11.12.2012Subject: <strong>Transparency</strong> <strong>in</strong> Works/Purchase/Consultancy contracts <strong>awarded</strong> onnom<strong>in</strong>ation bas is - reg.The Commission has been emphasis<strong>in</strong>g on the need for observ<strong>in</strong>g <strong>in</strong>tegrity,transparency, fairness and equity <strong>in</strong> all aspects.of lecision mak<strong>in</strong>g <strong>in</strong>ciud<strong>in</strong>g <strong>in</strong> ten-der<strong>in</strong>g-aniaward of contracts. However, the Commissionstill receiv<strong>in</strong>g coirpla<strong>in</strong>ts 69ard<strong>in</strong>g adJptionof non{ransparent methods <strong>in</strong> tender<strong>in</strong>g and award of contracts. A number of such iompla<strong>in</strong>tsperta<strong>in</strong> to award on nom<strong>in</strong>ation (s<strong>in</strong>gle source procuremeni) basis <strong>in</strong>stead of follow<strong>in</strong>g aorocess_of open competitive bidd<strong>in</strong>g. Ihe Commission <strong>in</strong> their'ear.lier offiee-srder lte. Z3ll.t}vdated 05072007(copyenclosed) had laid down the exceptional circumstances where,s<strong>in</strong>glesource procurement'can be resorted to. These guidel<strong>in</strong>es were consequent to the SuprdmeC-ourt's judgement <strong>in</strong> case of Nagar Nigam, Meerut v/s 41 Faheem Meat Export pvt.(civit)Ltd.Nci. 1074[SLpot 20061.2 In view of the compla<strong>in</strong>ts be<strong>in</strong>g received regard<strong>in</strong>g award of confracts on ,nom<strong>in</strong>ation- <strong>in</strong>structions for strict implementation. The Commission has also observed ihat there have been,' <strong>in</strong>stances where government org a n isations/PS Us obta<strong>in</strong> contract from orner governmentorga n isation s/PS Us and further award the same to private entities on 'back to back tie up'basiswrthou{ competitive tender<strong>in</strong>g mechanism and wiihout any significant value addition by theorganisation/PSU.lt"^"^11':S,9^"_t-.lnmentThis practice sirbverts tne Commissron's emphasisIntegrlty,ontransparency, fairness and equity <strong>in</strong> decision mak<strong>in</strong>g. lt js therefore, necessarycurb ihis practice.loFurther, the Commission directs that det!ils of all tenders <strong>awarded</strong>nom<strong>in</strong>ationonbdsi shall be posted on website <strong>in</strong> public doma<strong>in</strong> as per commisst.'r,of 5'n July 2OO7 alongwith brjef reasons for do<strong>in</strong>g so."ni..lro.i3 K<strong>in</strong>dly acknowledge the receipt and circulate to all concerned <strong>in</strong> your organization:G"$t}}((i)(ii)The CMDs of att CpSUs/pubtic Sector ean*slfShiangXompanies/fts.The CVOs of all the M<strong>in</strong>istries/Departrients/p\btic ppglglag"dertak<strong>in</strong>gs/Public Sector Banks/lnsurance companies/societies7j,a"gtgffia1'mui|roriiies.

v-1"\ /cNo.005/CRD/19Government of IndiaCentral Vigilance CommissionSatarkta Bhawan, Block'A"GFO ComPiex, INA'New Delhi'11023Dated the 5h JulY 2oo7Sub.!ect:-. Offi ce.Orcier No'zgf/07<strong>Transparency</strong> <strong>in</strong> Works/P urch ase/Cons ultancy contracts <strong>awarded</strong>on nom<strong>in</strong>ation basis.Referencels|nvltedtothecomm|sslon,sc|rcu|arNo.15/5/08(vide-letter No.oos/CRD/19 ;;ii,J gs.ioo6), where<strong>in</strong>. the need for award of contraota. <strong>in</strong>. ttanip"t"nt and open mannbr has been emphasized'2, A perusal of ihe queries.- and refetences perta<strong>in</strong><strong>in</strong>g !? thlt', :[t-ll1llleceiVeO trom o"riou, o,g"nl"tioht' <strong>in</strong>di*tt",ii.rat s919ral of them believe ihat mereoost-facto'approva|oftneeoaruiisufficienttoawardacontractsonnom|natbasis rather.than tt,e tn"oii""o"ttili"i tt * as ernphaslzed ln the ctrcular."iiu"ti.n,3. lt is needless to state.that tender<strong>in</strong>g pro.c=ess or o u b llc-3-!t-qtl9! ls aia"lo ,rqr.,iremeits-'t,or the award oi contrict by any.Govemment agency as anyother methoil,l espeiiatly"*"iUlei contract on nom<strong>in</strong>ation basls, would amount0 8breach bf Arlicle_14 of the c""Jtrirti". s""ranteeirig right to equality, whlch fmplleerighto equatity to all <strong>in</strong>terested parties'4. .1, A.rele]ant extract from,the recent Supreme Court of lndia Judgement'Inthe case.of ,Nagar Nigam, M;;iV; Ri run""t Meat E-xport Pvt' Ltd' [arislng orit oftl"Pi;ft d:il2+ Jizooot i" reproduced below to re<strong>in</strong>force thls polnt'"Thelawiswel|.settledthatcontractsbyihestate,itocorporation.<strong>in</strong>siiumentarrtres must be normally granted through publloauction/public t"ta* "njluge;.iur UV <strong>in</strong>vit<strong>in</strong>g tenders from eligible persons '19 Funoilflcatronstn" 6uutiorriction br <strong>in</strong>vitlng tenders should beadvertised <strong>in</strong> weti t

calamiijes and emefgencies declafed by the Governmeni; .wnereprocurementth gis possible from. a s<strong>in</strong>gle source only; where the supplieror contiectof has. exclusive rights <strong>in</strong>.respect of the goodsandorno reasonable-qqrvlcesafternative-.or subsiittrtexisi.i il;wasthe auctionherd on seVerar ddtes but there were no bidders oi it'J oicsv/ereorereotcc !ow, sic,, this normaiirt.u Fny b" J+;;;contractsirJnr ana suchrnay be.<strong>awarded</strong> through,privaie negotiations,.,5' The Commission. advises ell CVOs to formally. apprise .,helrBciards/managemdnisrespeoof the 'aboveveobseryations as *uii r;rrru 'rurrHon'ble supreme.eourt forl-ocgum.-nioFihJneqessary observance. a con#maUon<strong>in</strong> thisofreQardtf.'E i.tionmayi;k;;be refiected <strong>in</strong> ihe bVO's montf.liy ruiori.site9rex post-facto.To;All Chief \4gilance Officers:.h;1:ida4i--'-',', 1(Rajiv Verma)i;lnder'SecietenyD ,'vDo\414