CWG scam: CBI registers case against MTNL, Noida HCL

The Central Bureau of Investigation (CBI) has registered a case against the then certain officers of MTNL and unknown persons of a Noida- based private company dealing in optical fibre transmission in awarding the contract for broadcast network during Commonwealth Games held in Delhi last October.

According to CBI spokesperson, the case was registered under Sections 120-B (criminal conspiracy) of the Indian Penal Code and 13(2) r/w 13(1)(d) of Prevention of Corruption Act 1988 on the allegations that MTNL awarded the work of broadcast network based on IP/MPLS Technology at an exorbitant price of Rs.570.12 crores by manipulating the specification in such a manner as to make them tailor made for the private company.

Though the broadcasting data transmission requirements for CWG-2010 were very limited, based on optical fibre transmission, for which an initial estimate of approximately Rs. 31.43 crores was prepared, the MTNL, in their proposal, included Broadcast Video Network based on IP/MPLS technology that grossly enhanced the network costing by Rs. 380.04 crores allegedly with an intention to cause huge pecuniary advantage to the contracting firms.

The CBI claimed that it resulted into huge loss to the Government exchequer and wrongful gain to the Noida-based private company, HCL Infosystems. The enhancements in the scope of work and engineering of conditions of contract were made by the officials concerned of MTNL in such a manner that sub-contract could be awarded only to the private company.

After the registration of the case, searches were being carried out at several places including Delhi, Noida, Jaipur and Patna. The CBI registered the case against R.S.P. Sinha, former CMD of MTNL, S.M. Talwar, former Executive Director, N.K. Jain, General Manager (Corporate Sales) and Jitender Garg, Deputy General Manager and certain unknown persons of HCL Infosystems, Noida.

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