CBI books contractor over 2004 tsunami irregularities

Hyderabad: The CBI has booked a case against noted civil contractor P. Surya Rao for irregularities in shore protection work during the tsunami of 2004 in the Andaman & Nicobar Islands. Surya Rao, a native of Andhra Pradesh, had settled down in the Andamans. The contract was worth Rs 13.59 crore.

The case has been registered against Surya Rao and officials of the Andaman and Lakshadweep Harbour Works (ALHW) under IPC Sections 120B (criminal conspiracy), and 420 (cheating) and provisions of  Preven-tion of Corruption Act.
The case was booked on a complaint filed by Pradeep Chhabra, a chartering officer (vigilance) of the Union ministry of shipping.

In his complaint Mr Chhabra said that after the December 24, 2004, tsunami inundated vast areas in Campbell Bay, it was proposed to construct a 5.17-km seawall along the coast to reduce the impact of waves.

"An estimate of Rs 46.48 crore was submitted to ministry of shipping and the same was approved in 2007. Separate tenders called for five stretches, and one stretch was awarded to P Surya Rao at the cost of Rs 13.59 crore in 2010 with a completion period of 10 months," he stated.

Work commenced in January 2010 and Surya Rao brought the boulders from Vizag and Port Blair. The concrete wall was constructed and boulders were placed in gabions."

In 2010, the Central Vigilance Commission forwarded to the CBI a complaint it received alleging largescale corruption in the execution of the work by Surya Rao. The technical team that probed the complaint found serious lapses that caused loss of several crores of rupees.

It found shortage of material, especially boulders, excess payments and major deviations in the scope and quantum of work. The report submitted in 2012 also highlighted the shortcomings in quality and procedural issues.

Chennai IIT professors and a ports adviser of the ministry of shipping visited the Campbell Bay area in 2014 and submitted a report confirming these lapses.
In 2015 the CVC ordered a detailed investigation and report by Chennai Port Trust Chief Vigilance Officer, which also indicated serious lapses in terms of undue financial favour extended to the contractor.

In February 2016, the ministry of shipping requested the CBI to probe all the five stretches for similar malpractices. As the CBI did not conduct any investigation, a complaint was filed again with the CBI on November 28, 2016. The FIR was issued on December 6, 2016.