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Shortcomings found in DRDO purchases

Special Correspondent

PAC seeks report on procurements


  • General tendering waived
  • Limited tendering resorted to
  • Delivery schedules not adhered to
  • Practice of blacklisting firms absent

    NEW DELHI: The Defence Research and Development Organisation (DRDO), under criticism for major slippages in its armament programme, has been pulled up by the Parliamentary Accounts Committee (PAC) for "serious procedural shortcomings'' in the purchase of plant and equipment by its laboratories and establishment.

    In what would be the first time a public body is holding the DRDO accountable for its expenditure, the PAC has asked it to furnish a status report about the procurements made after the procedures were revamped last year.

    The PAC in its report tabled in Parliament found fault with the DRDO on several counts: the practice of general tendering was waived in most cases and the equipment was ordered on the basis of limited tendering; delivery schedules that warranted limited tendering were not adhered to; and, the practice of blacklisting firms was absent.

    Taking serious note of these shortcomings in the purchase of 17 systems for five premier laboratories, the PAC said it wanted taxpayers' money to be valued and accountability to expenditure ensured. It, therefore, urged the DRDO to look into the observations and recommendations made in the report in the right perspective.

    Since almost half of the DRDO's budget is spent on the purchase of materials, a foolproof procurement planning and effective utilisation of plant and equipment needed to be ensured to derive maximum value for money.

    The laboratories that were found wanting include the Defence Research Laboratory and Defence Metallurgical Research Lab (Hyderabad), Armament Research and Development Establishment (Pune), Integrated Test Range (Balasore) and Combat Vehicle Research and Development Establishment (Avadi, Chennai).

    "What is disturbing to note was the fact that in five cases processed as urgent, orders were placed after 13 to 21 months and in 12 other cases, the time gap was over 12 months. Eight systems costing Rs. 1.75 crores, required for specific projects undertaken by the five labs, were received either after closure of the project or at the fag end and could not be put to use,'' noted the report.

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