The Hindu : Tamil Nadu / Chennai News : Paneerselvam joins issue with Karunanidhi

Online edition of India's National Newspaper
Tuesday, Apr 04, 2006

Tamil Nadu

Tamil Nadu - Chennai

Paneerselvam joins issue with Karunanidhi

Special Correspondent

"Statement on bicycle scheme hollow"

CHENNAI: PWD Minister and AIADMK election wing secretary O.Paneerselvam has described DMK president M.Karunanidhi's statement on the free bicycle scheme for students as "hollow, devoid of any merit."

Joining issue with the DMK leader, he said Mr. Karunanidhi had raised a doubt on the 2004-05 tender settled by a committee of officers of the Adi Dravidar Welfare Department.

During the committee's proceedings, the Special Secretary, Finance, clarified that in order to get the best offer for the State Government, the evaluation procedure should include the Central Sales Tax paid to the originating State while excluding Tamil Nadu General Sales Tax.

No wrongdoing

Since this required a formal clarification under Tamil Nadu Transparency in Tenders Rules, 2000, the Finance Department issued it in the Government Order dated January 17, 2005.

This had also been notified. It was a general clarification applicable to all tenders to ensure that industries and units in Tamil Nadu were not adversely affected, and to protect the State's exchequer. There was no wrongdoing.

After taking note of the clarification on reckoning sales tax, T.I. Cycles of India emerged as the lowest bidder. The final price was considerably lower than what had been quoted. It was reduced from Rs.1,881 to Rs.1,720 per bicycle. The same procedure was followed in 2005-06, Mr. Paneerselvam said in a statement here.

"Wishy washy answer"

Responding to Mr. Paneerselvam's statement, Mr.Karunanidhi said the Minister had not specifically answered the questions he had raised and had given a "wishy washy answer."

Mr. Karunanidhi said the Minister's reply only showed to what extent his charge that there were "irregularities" in the implementation of the scheme was true.

In the Minister's statement there were contradictions with regard to the price of a bicycle.

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