GOVERNMENT OF INDIA

MINISTRY OF COMMUNICATIONS AND INFORMATION TECHNOLOGY

LOK SABHA

UNSTARRED QUESTION NO: 3713

ANSWERED ON:19.04.2010

ALLOCATION OF WORKS TO PRIVATE COMPANY

(a)whether works are outsourced to private companies by Government organizations in the country;

(b)if so, whether tenders are invited from private companies before allocating works to them;

(c)if so, the details thereof;

(d)whether there is a practice of having informal talks regarding fixation of prices even after inviting the tenders;

(e)if so, the details thereof;

(f)whether due to this double practice chances of corruption are increasing; and

(g)if so, the reaction of the Government thereto? 

ANSWER

THE MINISTER OF STATE IN THE MINISTRY OF COMMUNICATIONS AND INFORMATION TECHNOLOGY (SHRI GURUDAS KAMAT)

(a) to (c):Yes, Madam. Works outsourced to private companies by BSNL and MTNL includes laying of underground Poly Insulated Jelly Filled (PIJF) cables, Optical Fiber (OF) cables, construction & maintenance of civil and electrical work, house keeping work based on tender process.

(d) & (e):In normal circumstances the practice of having talks regarding fixation of prices after inviting the tender is not done. Only in exceptional situation talk is done with L-l bidders, as per Central Vigilance Commission (CVC)/Government Guidelines. Talks with the private firms is permitted with L-l bidders only in exceptional situations. Such exceptional situations would include the procurement of proprietary item, items with limited source of supply and items where there is suspicion of cartel formation. The justification and details of such talks is duly recorded without any loss of time. This is done as per CVC guidelines to reduce cost of procurement.

(f) & (g):No, Madam.