Audit and accounts report on the accounts on National Institute of Pharmaceutical Education and Research, SAS Nagar Mohali for the year 2010-11
Para 4 Non following the procedure for purchase,
(A) Purchase of Chemicals acids and solvents through limited offer .
According to rule 151 of the general Finance rules (GFR), limited enquiry method might be adopted when estimated value of the goods to be procured was up to Rs 25 lakh. The number of supplier farms in limited enquiry should be more then three. Further web based publicity should also be given for limited tenders. Efforts should be made to identify higher number of approved suppliers to obtain more responsive bids on competitive basis and sufficient time should be allowed for submission bids in limited enquiry cases. Purchased through limited tender enquiry might be restored to even where the estimated value of procurement was more then 25 lakh in urgent circumstances, in the public interest from definite sources of supply after obtaining approval from competent authority.
Scrutiny of records of purchases of chemicals, acids, solvents reveled that institute purchased chemicals, acids, solvents valuing Rs. 2.25 crore and Rs. 2.57 crore during 2008-09 and 2009-10 respectively without calling open tender. It invited limited tenders from only three parties i.e. M/s Merck Specialities, Mumbai M/s Thermo Fisher, Mumbai and M/s Ranbaxy Fine Chemicals Ltd (RFCL), Mohali for entering into annual rate contract for the respective years. The annual rate contract was entered in to with the lowest bidding farm and thereafter piece meal purchases of consumable up to Rs. 15000 was made by the institute. Thus the purchase procedure followed by the institute was not constant with the General finance rules. In this regard management has not recorded reasons for not inviting open bids and giving web based publicity to invite competitive and splitting up the requirements.
These irregularities needs total examination by the management and approval from BOG.
Disclamer: Para reproduced above are true copy of CAG, Punjab Audit Report as send to Officiating Director NIPER and Ministry of Chemicals and Fertilizer for displaying in Parliament.
Caveat: Ranbaxy is the only company considered for Technology Development Center (TDC) lease.
Audit report was not placed before BOG meeting on 2nd Aug 2011
10% commission of Rs 5 crore is a good amount
Surprisingly CAG Punjab is not concerned at all about ruining