Bihar Deputy CM Sinha Forms Committee to Probe GeM Portal Irregularities
Bihar Deputy CM Forms Committee to Probe GeM Portal Irregularities

Bihar Deputy CM Sinha Forms Committee to Probe GeM Portal Irregularities

In a decisive move to address alleged irregularities in government procurement, the Bihar state government has taken strict action concerning purchases made through the Government e-Marketplace (GeM) portal by various urban local bodies. The action follows a departmental review meeting of the Urban Development and Housing Department (UDHD) held in Patna on Saturday.

Deputy CM Takes Serious Note of Complaints

Deputy Chief Minister Vijay Kumar Sinha, who also holds the UDHD portfolio, took serious note of numerous complaints regarding irregularities in the purchase of goods and services by municipal bodies via the GeM portal. Sinha emphasized that the GeM portal, developed by the Government of India, is designed to make government procurement processes transparent, competitive, and quality-oriented. He issued necessary instructions to ensure full transparency and accountability in all transactions.

The review meeting revealed that in several instances, prescribed procedures were not fully followed, leading to potential financial losses and quality compromises. To rectify this situation and restore integrity to the procurement system, Sinha directed the formation of a four-member high-level committee.

High-Level Committee Formed for Investigation

The committee will be chaired by Animesh Parashar, the Managing Director of the Bihar Urban Infrastructure Development Corporation (BUIDCO). Other members include Additional Secretary Vijay Prakash Meena, a chief engineer, and another chief engineer serving as the ex-officio secretary. The panel has been tasked with a comprehensive mandate:

  • Hearing all complaints related to the GeM portal from municipal bodies.
  • Conducting thorough investigations into alleged irregularities.
  • Recommending necessary corrective and disciplinary measures.

Immediate Suspension of Irregular Orders in Khagaria

In a specific and immediate action, the deputy CM issued directives to the Khagaria Nagar Parishad. The parishad was instructed to suspend, in written form, all purchase orders for services and materials procured through the GeM portal at rates higher than prevailing market prices. Furthermore, it was directed that no supplies be accepted against these suspended orders, and no payments be made.

Complying promptly with the directive, the Khagaria Nagar Parishad suspended all such procurements with immediate effect. The suspension impacted supplies and services from several major companies and entities, including:

  1. Manya Enterprises
  2. Panther Unit Infrastructure Private Ltd
  3. Green Enviro Equipment Private Ltd
  4. Aman Cleaning Equipment Pvt Ltd

Strict Adherence to Rules and Market Rates Mandated

Deputy CM Sinha issued clear instructions that all future purchases of goods and services available on the GeM portal must strictly adhere to prescribed financial rules, prevailing government guidelines, and established quality standards. He directed municipal administrators across the state to proactively review the rates listed on the GeM portal against current market prices.

Purchases are to be permitted only after officials ensure that procurement rates do not exceed prevailing market rates. This measure aims to prevent overpayment and ensure value for public money.

It is noteworthy that complaints received from several municipal bodies alleged manipulation of the tender process. The irregularities reportedly involved registering multiple companies on the GeM portal in the names of different family members from the same family, potentially to circumvent competition and transparency norms.

The formation of the committee and the immediate suspension of orders mark a significant step by the Bihar government to clamp down on procurement malpractices and uphold the original intent of the GeM portal for efficient, transparent, and cost-effective government purchasing.