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The Coterie Contractors make a profit of Rs 2,000 Crore

The ex-CM of AP- Chandrababu Naidu never failed to cross limits in order to benefit the interest of his acquaintances and cronies, and the case discussed here in this article is one such example. He had even violated the rules by insisting on a proposal through his cabinet ministers. The project favored his crony contractors at the cost of the state exchequer. The one who is 420 in AP forced the cabinet to give approval to the issuance of GO: 63 and GO: 22 on January 20, 2017.

This approval violated the EPC (engineering and procurement) rules and ensured additional funds to his crony contractors who had undertaken new projects. How crafty can a person be! Read on to know about how the ex-CM illegally profited Rs. 2000 crores for the coterie contractors.

The hypocrisy shown by the ex-CM!

Chandrababu Naidu made the cabinet forcibly pass the proposal of GO: 22 and GO: 63, which in turn imposed a burden of Rs.4000 crores. Initially, the media highlighted the violations and glaring irregularities in the proposal, which made him back off for a while. But after 87 days, he forced the cabinet to approve the corrupted plan.

You will be shocked to know that these two vicious GOs- 63 and 22 have overburdened the state by a sum of Rs. 20,000 crores. The one who is 420 in AP even gave an additional amount of money to his cronies. With the issuing of these GOs, the ex-CM filled his pockets with at least Rs. 2000 crores.

The GO: 13 issued by the government of Kiran Kumar Reddy on February 7, 2014, were vehemently opposed by the then opposition leader- Chandrababu Naidu. The GO had proposed to enhance the costs of the irrigation projects by increasing the prices of steel, diesel, cement, material, and labor. Chandrababu had sharply criticized the GO and also put allegations on the Kiran Kumar Reddy’s government of having illegal deals with the contractors. As a result, the GO was temporarily set aside by the Governor E.S.L. Narasimhan during the rule of the President.

But once the cunning TDP party came to power, Chandrababu Naidu invalidated the objections laid by the Finance Department and the Water Resources Department. In addition to that, he also put a blind eye towards the suggestions of the ex-Chief Secretary L.Y.R. Krishna Rao. On the other hand, the one who is 420 in AP also had backroom settlements with the contractors.

The GO: 22 was issued by the then AP government on March 22, 2015, which paved the way to provide additional funds to the coterie contractors. The crafty ex-CM put the GO into effect by issuing GO: 63 on June 12, which sanctioned funds for any sort of additional expenses. As a result, these two GOs over-burdened the state by Rs. 20,000 crores.

The above-mentioned GOs were discussed to be applied only on the projects undertaken before the 1st of April, 2013. However, the rule was altered by the pressure put forth by C.M. Ramesh. He had asked for an additional fund of Rs. 169.71 crores to complete the project of Kuppam Branch Canal, a sub-part of Handri Neeva Sujala Sravanthi irrigation project, which was undertaken by his company name Rithwik Projects. An ultimatum was given to the government by him, wherein he clearly mentioned that the work would be halted once the additional payments are made.

If the above information shocked you, then you would be startled to know that no actions were taken by the TDP government, or no fines were imposed as per the EPC procedure. And the one who is 420 in AP actively took the side of Rithwik Projects. Seeing the actions taken by then Rithwik Projects, the coterie contractors dared to bargain hard and denied to work further on the project.

Pressure on BOCE

After the settlement of the kickback amounts, tremendous pressure was exerted by Chandrababu Naidu on SLSC (State Level Standing Committee) to bring back the projects under the extent of GOs 63 and 22. If these projects hadn’t been allowed by the cabinet, the state would have been able to save Rs—20,000 crores of public funds. The SLSC had stated that GOs 63 and 22 do not apply to the new projects as they were against the established rules. The one who is 420 in AP then forced the SLSC to place the proposal before BOCE (Board of Chief Engineers) committee. The BOCE committee held a meeting on November 29, 2017, wherein it submitted the report stating the entry of those two GOs. The ex-CM then exerted pressure on the Finance Department and the Water Resources Department to carry out the report passed by BOCE.

Bottom Line:

Now that you know all the details regarding how the ex-CM misused his power for his benefits, would you want him to come to power again? The one who is 420 in AP is known for his crafty deeds and corrupted acts. Do you still think the power should be given to those greedy hands so that they can again lead the beautiful state of AP into ruination?

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