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RTI reveals Multi-crore purchase scandals in Dental Colleges

Online Desk by Online Desk
March 22, 2012
in Kashmir
Reading Time: 3 mins read
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Srinagar: In the season of scams and scandals a new scandal has been surfaced in the Dental Colleges of the Jammu and Kashmir state.

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According to the highly placed sources Dental Colleges of the State as the college authorities have purchased medical equipment worth crores of rupees at higher rates than quoted by the company from which they purchased it.
The revelations about the scandal at Government Dental College, Srinagar came to limelight after its Medical Superintendent (Public Information Officer) responded to Right to Information (RTI) application filed by one Tanveer Hussain Khan. Through his RTI application, Tanveer had sought details from the PIO about the purchase of Complete Vertical Rack Sterilization System and OPG machine made by the college authorities.
In his reply under order number Md Supdt/GDC&H/313-14, dated February 18, 2012 the PIO has said that GDC, Srinagar purchased digital panoramic X-ray machine model and make of ORTHOPOS XG 5 DS CEPH-Single Sensor (AERB approved) at the rate of ` 45 lakh.
This X-ray machine manufactured by Sirona Dental System, GmbH, Germany and it carries the Central Sales Tax at the rate of 4 percent. The total cost of the one unit of this X-ray machine is ` 46.80 lakh. The machine was supplied to the GDC, Srinagar by VILLA India, New Delhi.
The RTI applicant compared the rates paid by the GDC authorities with the one being offered by the same company. To his utter shock, he found a difference of ` 26.00 lakh between the actual purchase made and the rates offered.
According to the rates offered by VILLA India, New Delhi the rate of one unit of digital panoramic X-ray machine model ORTHOPOS XG 5 DS CEPH-Single Sensor and manufactured by Sirona Dental System, GmbH, Germany is ` 19 lakh without sales tax, value added tax and octroi.
The PIO in his reply said that the GDC, Srinagar placed an order with VILLA India, New Delhi for the supply of Complete Vertical Rack Sterilization System. The order was placed on February 10, 2011 under Invoice Number: VID/RETAIL/10-11/252 with a base price of ` 11.50 lakh per unit. GDC, Srinagar purchased one Complete Vertical Rack Sterilization System with a central sales tax of ` 57, 500. The total cost of this unit turned out to be ` 12. 07 lakh.
The rates offered by the VILLA India, New Delhi for the Complete Vertical Rack Sterilization System as procured by the information seeker is ` 4, 90, 000 per unit. Comparing the rates offered with those paid at the time of purchase show a difference of ` 6, 17, 500.
The PIO said that on February 10, 2011 yet another order for purchase of four Complete Vertical Rack Sterilization Systems was honoured by VILLA India, New Delhi with the total purchase being ` 48.30 lakh. The actual cost price was ` 46 lakh and the central sales tax of 2.3 lakh at the rate of 4 percent was added to the actual cost price.
In his reply, the PIO said that the GDC, Srinagar on June 23, 2011 placed order for supply of three more Complete Vertical Rack Sterilization Systems. The order was honoured and the systems were supplied on July 18, 2011 under the Invoice Number: VID/RETAIL/2011-12/89 with the total purchase being ` 36. 22 lakh inclusive of 5 percent value added tax. The actual cost price of the four units is ` 34.50 lakh and VAT amount was ` 1.72 lakh.
If purchases were made in consonance with the rates offered by VILLA India, New Delhi then the total amount would have been ` 62 lakh while as the GDC Srinagar, authorities have paid ` 1. 43 crore (an addition of ` 81.20 lakh).
Meanwhile, sources said that Government Dental College, Jammu purchased seven Complete Vertical Rack Sterilization Systems at the rate of ` 12.07 lakh per unit. The total purchases amount to ` 84.52 lakh while as the actual cost price was ` 34.30 lakh for all the seven units of Complete Vertical Rack Sterilization Systems.
“These purchases are just a tip of the ice-berg and many such malpractices have taken place at the dental colleges of Srinagar and Jammu. The embezzlement on the count of purchases made on account of digital panoramic X-ray machine and complete vertical rack sterilization systems was ` 1.31 crore,” sources said.
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Interestingly, GDC-Srinagar and GDC-Jammu were being manned by a common principal, Dr. Riyaz Farooq at the time these purchases were made. Dr. Riyaz used to shuttle between Srinagar and Jammu as he was the chairman of the purchase committees of GDC-Srinagar and GDC-Jammu. (courtesy AIP News)

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