Scrap contract given to Vidarbha firm in Maharashtra to collect property tax: Congress

The Congress has accused favouritism to a Vidarbha-based company by the Brihanmumbai Municipal Corporation (BMC) while allotting a contract for collection of property

The Congress has accused favouritism to a Vidarbha-based company by the Brihanmumbai Municipal Corporation (BMC) while allotting a contract for collection of property tax. Claiming that the proposal was passed in a hurry amid opposition by its members, the party demanded a thorough probe and scrapping of the contract given to the company.

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The party has also said a vehicle-towing contract given to the firm earlier was scrapped after a direction from the high court. In a letter to CM Devendra Fadnavis, former Mumbai Congress chief Sanjay Nirupam said the Home department had, on June 17, directed the Mumbai police commissioner to scrap the towing contract given to Vidarbha Infotech. HT has a copy of the letter.

However, Vidarbha Infotech, the company, has rubbished the allegations and said it has been working with the BMC for eight years and was awarded the property tax project on merit.

In his letter to Fadnavis, Nirupam, said, “Terming it an unauthorised allotment of the contract, the Bombay high court had directed the state government to scrap (the towing contract)... Such a contractor has been appointed by the BMC for its crucial project of collection of property tax. The (property tax) proposal was brought before the standing committee on September 18 without any prior notice and passed immediately. This needs to be thoroughly investigated.”

Prashant Ugemuge, managing director, Vidarbha Infotech Private Limited, said, “The towing contract has been scrapped as the department did not follow the due process and not for any fault on our part. In fact, the court has allowed us to continue until the new contractor is appointed. As far as the property tax contract is concerned, it was as per the due process. It was brought in the standing committee anticipating the code of conduct of the Assembly polls. It was later discussed at length the next day. We have been working with BMC for eight years and with other municipal corporations including that of Thane and Nagpur for years. We were selected for having quoted the lowest amount and there are many such instances where we could not bag the projects. There is no substance in the allegations of favouritism in allotment.”