Huge Scam Of Railways: A big scam has been exposed in the purchase of high speed diesel in Indian Railways. A routine investigation by the vigilance team of the Vigilance Department has revealed that irregularities have been found in the purchase of high speed diesel by the Indian Railways from national oil companies.
A report published in The Hindu quoted railway sources as saying that an audit of high-speed diesel purchases by the North East Frontier Railway found Indian Oil Corporation Ltd. and Bharat Petroleum Corporation Ltd. to be worth Rs 243 crore during January-September 2022. Detected excess payment of Rs.
issued alert
The investigating team has informed the Railway Board about this irregularity. According to sources, the Principal Financial Advisor of North East Frontier Railway has been directed to recover the excess payments made to the oil companies.
The Vigilance Department has asked other zones to check whether any such additional payment has been made from their side also. Along with this, the Vigilance Department has also requested to ‘establish a system to avoid such irregularities in future’.
payment in question
Payments made to national oil companies in 16 zones of Indian Railways have come under the scanner following an alert issued by the vigilance team under the purview of payment probe. In the report, a senior railway official said that we will conduct an internal audit to check the payments made to the oil companies. We have information about scams in other zones. Railways buys high speed diesel in huge quantities and even a small change will run into several crores of rupees.
Diesel engine trains are run in five divisions towards North East Frontier Railway and high speed diesel is purchased in large quantities. According to the report, the Vigilance Department, in its letter to the Railway Board, has said that after examining the bills of the oil companies, it has been found that the amount collected as prices is 25 to 40 percent more than the prices of the nearest petrol pump. Because of this, the price of oil received by the Railways has increased abnormally.
The work of collecting the amount will start soon
The letter further states that the issues need to be looked into at the level of the Railway Board, as the basic objective of entering into long-term contracts without getting any cost advantage has been defeated.
Acting on the alert issued by the Vigilance Department, the officials of North East Frontier Railway have taken steps to recover the amount of excess payment made to the oil companies and adjust the balance amount in the subsequent bills. Sources said the additional payment was made in violation of Clause 12(a) of the Railway Board’s rate contract with the oil companies.
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