CBI books three ex-officials, others, for causing ₹191-Cr loss to PSU

MUMBAI: The Central Bureau of Investigation (CBI) has booked six accused, including three retired senior officials of a public sector undertaking (PSU), and a private firm and private individuals for allegedly causing a loss of ₹191

MUMBAI: The Central Bureau of Investigation (CBI) has booked six accused, including three retired senior officials of a public sector undertaking (PSU), and a private firm and private individuals for allegedly causing a loss of ₹191.87 crore to the PSU via irregularities that led to the underperformance of a newly commissioned wind power plant in Ahmednagar. The alleged loss occurred across nine years, from 2012-13 to 20121-22, according to the agency.

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The probe is related to PSU Satluj Jal Vidyut Nigam Limited (SJVNL)’s project to set up a wind power plant with a capacity of 47.6 megawatts in Ahmednagar, Maharashtra, for which it had contracted a Chennai-based firm. The CBI began its probe based on a complaint after the conclusion of its preliminary enquiry (PE) into the alleged irregularities. It had conducted the PE on the receipt of a communication from the PSU’s vigilance authorities.

According to CBI sources, the firm, which bagged the consultancy contract of ₹81 lakh for the project, had provided a faulty feasibility report for the installation of the proposed wind power plant. It was also alleged that the accused did not ensure the proper supply and installation of the equipment and material, as per the tender specifications.

“As a result of the alleged irregularities, the complaint said that the wind power plant had underperformed,” said a CBI official. “The underperformance led to an alleged loss of around ₹191 crore to SJVNL.” After registering the case, the CBI carried out searches at seven places in Delhi, Ghaziabad (Uttar Pradesh), Gurgaon (Haryana), Samana (district Patiala, Punjab) and Chennai (Tamil Nadu) at the premises of six accused persons named in the CBI’s First Information Report. The agency said the searches yielded certain documents whose evidentiary value is being assessed.

It was alleged that in August 2010, the consultancy tender was awarded to a firm for preparation of the feasibility report and tender specifications for setting up SJVN’s wind power project for the contract price of ₹81 lakh, a CBI source said. “The firm allegedly provided an incorrect estimation of power-generation by using the wind mast data of Panchpatta, which was far away from the main site, thereby violating the guidelines followed internationally and nationally,” the source said.

The source added that SJVNL further awarded the engineering, procurement and construction ( EPC) contract, worth around ₹351.80 crore, in December 2012 for the erection, testing and commissioning of the 47.6 megawatt capacity wind power project in Ahmednagar. “A wrongful loss of ₹191.87 crore due to underperformance of the plant happened,” he said.

The accused in the case include the Chennai-based firm, a retired executive director, retired chief general manager and retired deputy general manager of SJVNL, and two representatives of the consultancy firm. The CBI registered the case on December 29, 2023, on charges related to criminal conspiracy (120 b) and cheating ( 420) of the Indian Penal Code and abuse of official position by public servants under Sections 13 (2) and 13 ( 1) (d) of the Prevention of Corruption Act.