The Supreme Court on Tuesday sought a response from the Union government on a Public Interest Litigation (PIL) alleging that various public works contracts in Arunachal Pradesh were awarded to firms linked to the family members of Chief Minister Pema Khandu.
The Bench of Chief Justice of India Sanjiv Khanna, Justice PV Sanjay Kumar and Justice KV Viswanathan slammed the Union Ministries of Finance and Home Affairs, asking them to give a clear-cut answer over the allegations.
The Central Ministries were directed to file separate reports, detailing the process followed by the State of Arunachal Pradesh, along with the names of the parties, who were awarded the contracts.
Telling the Ministries to come clear on the matter, the Apex Court said the reports should also mention whether the tenders were invited for awarding of the contracts.
It further asked the Government of Arunachal Pradesh and the Comptroller and Auditor General of India (CAG) to prepare similar affidavits, furnishing details of the parties to whom the contracts were awarded, especially about the works mentioned by the petitioner.
The Apex Court then listed the matter for further hearing on July 21.
Filed by Save Mon Region Federation, the PIL sought probe by either the Central Bureau of Investigation (CBI) or a Special Investigation Team (SIT) into the charges.
Appearing for the petitioner, Advocate Prashant Bhushan contended that the state of affairs in Arunachal Pradesh were shocking. He alleged that the state was being run like a private limited company, with the contracts were awarded to companies belonging to CM Khandu’s wife and his cousins.
The Apex Court asked the number of contracts awarded in such a manner.
Advocate Bhushan replied that the figure ran in hundreds. He said 70 contracts worth hundreds of crores of rupees were awarded to the companies belonging to CM Khandu’s wife.
The counter said that the land was given free of cost for employment generation, he added.
The Counsel appearing for the State of Arunachal Pradesh termed the PIL as politically-motivated and an abuse of the process of law. The petitioners were a small bunch of people, who did not want development in the State, he noted.
The Counsel contended that the CAG report said that Arunachal Pradesh was slightly different and was doing everything it could do., as per law.
The Bench, however, told Attorney General R Venkataramani that the Union Ministries needed to file a report on the allegations.
The petition alleged that the award of government contract works to the firms of family members of the Chief Minister and his close associates indicated favouritism in government contracts with direct knowledge, consent, and active support of CM Pema Khandu.
It said construction company M/s Brand Eagles, owned by Khandu’s wife, was awarded a large number of government contracts, despite there being a clear conflict of interest.
The PIL claimed that that when Pema Khandu’s father, late Dorjee Khandu was the Chief Minister of Arunachal Pradesh, the firm was in Pema’s name and awarded contracts without tender processes.
The PIL impleaded Dorjee Khandu’s second wife Rinchin Drema and his nephew Tsering Tashi as respondents in the case. Tashi is the MLA for Tawang District and owns M/s Alliance Trading Co.
The petition further claimed that numerous contracts were awarded to M/s Alliance Trading Company, in clear violation of the Prevention of Corruption Act and the Code of Conduct for Ministers.
The post Supreme Court issues notice to Centre over government contracts awarded to Arunachal Pradesh CM’s family members appeared first on India Legal.