Across multiple nagar parishads (city councils) instances of irregular price variations have been found in Madhya Pradesh. Suyash Dwivedi, CC BY-SA 4.0, via Wikimedia Commons
Madhya Pradesh

LED Bulbs at ₹11,800, Phenyl at ₹33,500: Madhya Pradesh Civic Bodies Under Fire Over Procurement Discrepancies; Opposition Alleges "Cancer-like Corruption"

A presentation by Senior Madhya Pradesh officials has flagged massive price disparities in procurements by 374 urban local bodies through the GeM portal, with alleged losses of nearly ₹250 crore over three years

Author : Agniva Ray

Madhya Pradesh's civic bodies face allegations of corruption after reports of massive procurement discrepancies, including LED bulbs priced at ₹11,800 and phenyl at ₹33,500. Opposition leaders accuse the BJP-led government of fostering 'cancer-like corruption,' with irregularities amounting to ₹250 crore over three years.

URBAN LOCAL BODIES (ULBs) IN MADHYA PRADESH have come under serious scrutiny after the reports of widespread discrepancies in procurement costs of various items such as vehicles, disinfectants, GI poles and LED bulbs have come to the public eye. 

This story of price discrepancy is not about any single ULB in Madhya Pradesh. Across multiple nagar parishads (city councils) instances of irregular price variations. 

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The revelations were made in a meeting of the Urban Administration Department at the Sundarlal Patwa Urban Development Training Institute in Bhopal’s Bhauri. In the session, Additional Managing Director (AMD) Madhya Pradesh State Electronics Development Corporation Ltd (MPSEDC), Anshuman Raj shared the data of the procurements made through the Government e-Marketplace (GeM) portal. And it is this data, which has formed the basis of the major revelation. 

What are the Revelations made in the Meeting? 

Presenting the data, AMD Anshuman Raj showcased how procurement prices of different commodities embodied major irregularities.

The presentation revealed that a 60-watt LED light was purchased for Rs 306 in some cases, while the same light was procured at Rs 11,800 from Bhopal. The total value of this LED light procurement in Bhopal amounted to Rs 3.78 lakh.

In a similar light, the price of a Pheonyl disinfectant varied from Rs 5 to Rs 33,500. In some places the phenyl was priced at Rs 5 per litre, while it was priced at Rs 33,500 in other places. Evidence was also presented regarding the Sardarpur Municipal body, which purchased 2500 liters at Rs 1.35 lakh. Over the last three years the ULBs in Madhya Pradesh spent over Rs 18 crore on procuring disinfectants. 

These irregularities in the price of the same commodity in the State of Madhya Pradesh has raised a serious alarm regarding possibilities of financial scams. 

In the presentation, Raj claimed that this practice of irregular procurement led to a loss of nearly Rs 250 crore. For over three years, 374 ULBs procured goods amounting to approximately Rs 1,134 crore through the GeM portal. 

Interestingly, some of the civic bodies have purchased garbage vehicles at Rs 1.5 crore despite not having enough areas for their operation. 

Additional Chief Secretary (ACS) of the Urban Administration Department, Sanjay Dubey, also directed a strict warning to the department officials of disciplinary action in case of discrepancies in future procurements. 

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In a viral video, ACS Dubey is seen sharing strict warnings to the officials. “ You might think that nobody is finding what you are purchasing. But let me tell you that we can clearly see what you are purchasing, in what quantities and at what prices,” said ACS Dubey.

BJP-Led Government Faces Heat from the Opposition

Madhya Pradesh Congress president Jitu Patwari launched a direct attack at the BJP-led state government. He stated that the “corruption” has taken the shape of cancer, and is spreading across the entire state. 

“Corruption has spread across the roots of Madhya Pradesh like Cancer. Ministers, employees, and government officials are coming under repeated scrutiny. What message does this send about our state?” said Jitu Patwari. 

The issue has sparked a major backlash, especially because of Kailash Vijayvargiya — the senior most cabinet minister in Chief Minister Mohan Yada’s government, who heads the Urban development and housing department.


[Rh/AR]

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