BMC Makes Swift U-Turn, Cancels Rs 385 Crore Footpath Railing Tender
In a significant and embarrassing reversal, the Brihanmumbai Municipal Corporation (BMC) has scrapped a massive Rs 385 crore tender for the installation of railings on footpaths across Mumbai. The decision came within mere hours of the tender being floated last Friday, sparking immediate controversy and allegations of financial impropriety.
Political Pressure and Allegations of Scam
The abrupt cancellation followed strong objections raised by city BJP chief Ameet Satam, who serves as the Andheri West MLA. Satam alleged a potential scam, pointing out that the civic body had already expended nearly Rs 300 crore on street furniture, including similar railings, in recent years. He formally demanded the tender be scrapped in a letter to BMC Commissioner Bhushan Gagrani.
"When work to the tune of Rs 300 crore is already given, what is the need for another Rs 385-crore tender for railings?" Satam questioned in his communication. He accused the BMC of gross misuse of public funds and suggested the tender was rigged to favor a particular company.
Commissioner's Response and Past Controversies
BMC Commissioner Bhushan Gagrani confirmed to TOI that the tender had been cancelled "for the time being." He indicated that the civic body might consider reprocessing it after revising specifications to ensure greater competitiveness. Gagrani also defended previous expenditures, stating that the street furniture installed earlier has not been stolen and that footpaths have been adequately maintained.
This incident is not an isolated one. BMC's last tender for street furniture installation, valued at Rs 263 crore, also came under scrutiny in 2023. At that time, both the BJP and Shiv Sena (UBT) lodged complaints alleging inflated prices for many items. A subsequent Lokayukta inquiry was initiated, and a civic committee investigation found that nine out of thirteen items were indeed overpriced. Consequently, the tender was reduced by Rs 50 crore.
Detailed Allegations and Broader Concerns
Despite the 2023 controversy, it is alleged that the BMC later cleared street furniture projects worth close to Rs 300 crore. Satam's letter provided specific details, noting that the BMC had previously awarded a Rs 150 crore tender to Shantinath Roadways over two years ago for street furniture, including railings and bollards. An additional Rs 150 crore work was reportedly given to the same company subsequently.
Satam's allegations extended beyond financial concerns. He claimed to have "credible information" that individuals from the entertainment business have recently turned to BMC liaisoning as a new, lucrative profession and are behind this new tender proposal. The letter also highlighted a perceived misalignment of civic priorities, questioning why building a new E-ward office is not a priority for the BMC, while installing railings worth Rs 385 crore seemingly is.
"The reasons for this discrepancy are best known to those persons who have rooted this idea," Satam stated pointedly in his letter, underscoring the call for transparency and accountability in municipal spending.
