Bangalore: What would a reasonably good desktop computer cost if bought within the last year?

About Rs. 50,000 by the most generous estimate? But some of computers used by gram panchayats in Bangalore Rural district are as expensive as Rs. 1 lakh.

This is not because they have features that an average PC does not, but because some officials in Bangalore Rural Zilla Panchayat have padded costs and kept the difference.

A number of anomalies in the purchase of computers for the 228 gram panchayats in Bangalore Rural district, including massive price manipulation, have been unearthed in an inquiry by the Zilla Panchayat House Committee. The inquiry, headed by H.P. Cheluvaraju, even pulls up the Bangalore Rural Zilla Panchayat Chief Executive Officer (CEO) for "dereliction of duty".

The 216-page report, submitted in March this year to Rural Development and Panchayati Raj Minister C.M. Udasi by the committee, says that norms set by the Government have been "clearly violated" at all levels of the transaction, resulting in losses of several lakhs to the Government.

Among the most blatant violations noted by the report are discrepancies between the MRP affixed on the computer boxes and the costing by the computer companies to the panchayat.

The difference is as much as five times in some cases. For instance, the MRP of a printer bought by the Arasinakunte gram panchayat in Nelamangala taluk is Rs. 3,411 while the cost price is Rs. 15,500.

The price of the desktop sold to Gudemaranahalli in Magadi taluk is Rs. 20,190 according to the MRP and Rs. 45,880 in actuality.

The report also says that there are instances of the same company quoting different prices to different gram panchayats. The difference is as much as Rs. 20,000 in some cases. What is even more shocking is that the quoted prices go all the way up to Rs. 1 lakh, while the cut-off price decided by the Government for purchase of computers to gram panchayats is Rs. 50,000.

The report refers to a letter written by the CEO of the zilla panchayat to the executive officers of taluk panchayats as an example of the dereliction of duty by the ZP CEO.

The "unnecessary clarification" provided by the CEO — stating that the ZP had not directed them to buy from any specific company or ask them to invite quotations for purchase of computers — was "suspicious", says the report. Why had the CEO written such a letter rather than take action against those who were found to be violating the norms, it asks.

Following the submission of the report, Mr. Udasi had on March 24 directed the department to take action against the guilty officials and submit an action-taken report.

Speaking to The Hindu, Mr. Udasi said that notices had been served to some people and inquiries were on. He said that discrepancies in purchase of computers had also been reported from four other districts — Kodagu, Udupi, Shimoga and Hassan — and "suitable action" would be taken against all those found guilty.

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