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CBI files charge sheet in Lavalin case

Special Correspondent

Pinarayi Vijayan

Kochi: The Central Bureau of Investigation on Thursday filed charge sheets against nine accused, including the former Kerala Power Minister, Pinarayi Vijayan, in the SNC-Lavalin case before a CBI special court here.

Mr. Vijayan, who is now State secretary of the Communist Party of India (Marxist), and the other accused are charged with offences under Sections 120 B (criminal conspiracy) and 420 (cheating) of the Indian Penal Code (IPC) and under the provisions of the Prevention of Corruption Act. Mr. Vijayan is seventh accused.

The case relates to alleged irregularities in the award of renovation and modernisation work of the Pallivasal, Sengulam and Panniyar hydroelectric projects to SNC-Lavalin.

The CBI charge sheets alleged that the contract was awarded at a higher rate, violating the relevant rules, regulations and procedures.

The charge sheets said that Mr. Vijayan, while serving as Minister for Electricity from May 1996 to October 1998, along with the then Principal Secretary, Power, K. Mohanachandran, and the then Kerala State Electricity Board Chairman, P. Sivadasan, hatched a criminal conspiracy to award the supply contract for the renovation and modernisation work to SNC-Lavalin.

According to the charge sheets, Mr. Vijayan took a decision to award the contract to SNC-Lavalin in October 1996 when he led a high-level delegation to Canada.

The main consideration for awarding the contract was a grant for establishing a cancer centre at Thalassery. Mr. Vijayan requested the company to set up the centre as part of a rehabilitation proposal for the project.

The charge sheets said that the supply contract was signed on February 10, 1997 without any approval of the government. The accused then facilitated SNC-Lavalin’s withdrawal from the commitment to set up the cancer centre.

The CBI pointed out that the accused had failed to get a binding agreement executed by the company for ensuring the promised grant for the proposed cancer centre. Thus, the accused allowed the company to cheat the government of Rs.86.25 crore.

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