Wednesday 2 May 2012

Standing Purchase committee II member suspended and dismissed to facilitate irregularities; NIPER In Rajya Sabha again

List of Questions for WRITTEN ANSWERS
to be asked at a sitting of the Rajya Sabha to be held on Friday, May 4, 2012/Vaisakha 14, 1934 (Saka)

Change of faculty members in NIPER, Mohali

3153. WAGHMARE: Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:

(a) whether it is a fact that the change of faculty members in various Committees of National Institute of Pharmaceuticals Education and Research (NIPER), Mohali, Punjab in 2010, has led to a saving of approximately ` 40 lacs per annum in purchase of diesel and around ` 60 lacs on account of spare parts purchased due to such Committees;

(b) who are the members of these purchase Committees and whether they continued to be on such Committees; and

(c) if not, the reasons for changing them?

 It is remain to be seen what DOP have to say, However the truth is
Diesel was being purchased at NIPER without following General Finance Rule 2005 of GOI since inception till 2010. A good Samaritan stopped it.

1. Minutes of the meeting of Diesel Purchase committee
2. Letter of Mr. Jain, Finance committee member.

In a letter Dated: 08.04.11 to The Registrar & Member Secretary of Finance Committee Mr. Jain Wrote

Subject: Proceedings of 23rd meeting of the Finance Committee held on 25th March 2011 – minutes thereof


11) In 2010 – 11 the budget allocation for repair & maintenance of building & engineering services, repair, & maintenance – machinery and lab utilities, repair, running & maintenance – vehicles was 185 lacs and actual spent was 149.27 lacs till February 2011. The budget proposals of 560 lacs are not justified and the same is to high and over 200% on the pervious year budget therefore my views of allowing maximum increase of 20% of the last year expenditure should be made after taking into account the substantial savings of around Rs. 1 Crore made by reconstituted committees in the case of diesel and spare purchases during 2010 – 11 and hence such budget proposal under these heads to should be restricted to 180 Lacs against Rs. 560 Lacs proposed.


Important points

1. As a Standing Purchase committee II member a faculty member was pointing out irregularities and ensuring transparency.
2. As a member of the institutional purchase committee, he stopped a number of wrongdoings and was instrumental in bringing about transparency in release of wages of contractual staff.
3. Based on his initiative, rules for purchasing Diesel is formulated and steady source of illegal income was stopped.
4. He is removed from Standing Purchase committee II suspended and dismissed to facilitate irregularities.

Now the question is who was ingesting the money of Illegal Diesel and spare parts purchase for last so many years?

Loss of fixed deposit by NIPER, Mohali

3140. DR. JANARDHAN WAGHMARE: Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:

(a) whether it is a fact that Comptroller and Auditor General has observed a loss of interests of ` 47 lacs approx. in Fixed Deposits by National Institute of Pharmaceuticals Education and Research (NIPER), Mohali, Punjab;

(b) if so, whether the matter has been examined by Government and the responsibility fixed in the matter; and

(c) if so, the details thereof and if not, the reasons therefor?

It is remain to be seen what DOP have to say, However the truth is
CAG (DPC Act 1971) Audit and inspection report on the account of NIPER for the year 2009-10 obtained By RTI. CVC has written a one and half page long para vividly describing how public money is misappropriated.

Relevant extract are as under:

Part-II-A         Serious irregularities

Para I            Loss of Interest-Rs. 49.56 lakh
The institute had been maintaining Endowment Fund (Corpus Fund) as per the directions (November 1997) of the Ministry of Chemicals & Fertilizers, Department of Chemicals & Petro-Chemicals, Govt. of India (GOI)
Audit observed that as om 31st March 2010, the institute was having balance of Rs. 25.24 crore in the Fund which was invested in fixed deposit in the State bank of Patiala, Mohali.
Had the institute taken premature withdrawal of fixed deposit of Rs. 10.89 crore in March 2006/May 2006 which was inested at a interest rate of 7.25 persent and again invested it in fixed deposits at available higher interest rate of 8.10 present, the institute could have earned higher bank interest of Rs. 49.56 lakh (after adjusting interest loss of Rs. 16.84 lakh due to premature withdrawal of fixed deposit of Rs. 10.89 crore)
It as also observed that the interest rate of fixed deposit investment of funds are being taken from the limited number (2-4 number) of banks which also lacked justification.

           I.     One justification could be nepotism/personal gain of person responsible of investment.
          II.     The same way Provident fund money were also invested causing loss of NIPER employees

On the contrary,
As per NIPER statutes Dated 30th Oct 2003 Financial powers of Board of Governors are,

3.1.2 Functions and Powers
(d)  to manage and regulate the finances, accounts, investments, property, business and all other administrative affairs of the Institute and for that Purpose, to appointment such agents as it may think fit.
(e)  to fix the limit of the recurring and the non-recurring expenditure for a year on the recommendations of the Finance Committee.
(f)   Subject to the provisions of the act to invest any money belonging to the institute including any unapplied income in any manner it thinks fit or in the purchase of immovable property in India.

However all the investments were done by keeping BOG in dark. Only taking cryptic agenda like “to ratify the minutes of Finance committee

Now the question is for who’s vested interest NIPER lost half a crore? Chairman Investment committee? Current officiating director was the chairman since 2001 till 2010

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