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ED conducts searches at 16 locations in Delhi-NCR & Chennai, related to DJB, NBCC officials

At least 16 premises related to DJB, NBCC and other private entities were searched by the ED sleuths under the PMLA Act, 2022.

New Delhi: The Enforcement Directorate (ED) on Tuesday conducted searches at multiple locations in Delhi-NCR, Chennai & Kerala over alleged irregularities and improprieties in the tendering process of Delhi Jal Board (DJB).

At least 16 premises related to DJB, NBCC and other private entities were searched by the ED sleuths under the PMLA Act, 2022. Reports suggest that the agency is probing two separate cases of irregularities in the tendering process of DJB.

“Various incriminating documents and digital devices have been seized from the premises of officials of DJB, NBCC (India) and directors of private entities involved in alleged money laundering,” the agency said in a statement.

Details of undeclared properties in the name of Jagdish Kumar Arora were also recovered, it added.

The agency had begun investigation into irregularities after police FIR said that undue favours were extended to NKG Infrastructure Limited by some DJB officials while awarding tender to the company and it also had involvement of some NBCC officials.

As per police FIR, M/s NKG Infrastructure Limited secured false performance certificates issued by D. K. Mittal, the then General Manager, NBCC (India) Limited and fabricated deviation statement issued by Sadhan Kumar, the then Project Executive, NBCC (lndia) Limited for qualifying for technical bid of above said tender in the year 2017. During the tender process, NKG Infrastructure Limited entered into conspiracy with the then Chief Engineer, Jagdish Kumar Arora and his subordinate officers of DJB for qualifying and bagging tender worth Rs 38 Crore.

In the second matter, investigation has been initiated on the basis of FIR registered by Anti-Corruption Branch, GNCTD alleging that DJB awarded a tender for setting up automotive bill payment collection machines (kiosks) at different locations in different DJB offices as decided by the Delhi Jal Board, for facilitating consumers in bill payment. The tender was awarded to Corporation Bank in the year 2012, which was further sub-contracted to Chennai-based private companies namely M/s Freshpay IT Solutions Pvt. Ltd. and M/s Aurrum E-payments Pvt. Ltd. These companies had violated norms as prescribed in the agreement by not depositing the cash payment collections in bank account of DJB, within the prescribed time period. The said contract was initially awarded for 03 years which was extended by DJB from time to time till F.Y. 2019-20 despite continued delay and non-transfer of bill payment amount collected for DJB.