This Article is From Aug 05, 2010

Alleged Commonwealth Games corruption: Probe report today; Darbari may be sacked

New Delhi: The three-member panel set up by Suresh Kalmadi to inquire into allegations of large scale corruption against the Organising Committee (OC) of the Commonwealth Games (CWG) will submit its report today to the top bosses of the committee. Kalmadi is the Chairman of the Organizing Committee and the man in charge of the Commonwealth Games 2010 in Delhi. (Read: Kalmadi announces inquiry after allegations of forged documents)

Sources have told NDTV that the probe team will recommend the sacking of Kalmadi's close aide TS Darbari, something that the Sports Ministry has already demanded. Darbari's name cropped up for his links with the Commonwealth games UK money trail which involves dealings between the organisers and a dubious UK firm AM films. Darbari was once removed but was reinstated by Kalmadi. Before he was reinstated, Darbari was sent to Australia for the Queen's Baton Relay.  (Read: Who is TS Darbari?)

Sources also added that the probe panel is keen on taking legal action against the other key aide of Kalmadi, former Organising Committee official Sanjay Mohindroo, who is in the dock now for allegedly dictating cab hire rates to AM Films. (Read: Commonwealth Games official 'fixed' taxi rates?)

The main challenge for Team Kalmadi has been, so far, to explain why a little-known UK-based company, AM Cars, was selected for a diaspora of services for the Queen's Baton Relay ceremony in London in October last year.  Nearly two lakh pounds have been paid to the firm even though a contract or any other form of written agreement is missing. (Read: CWG: UK firm AM Films dubious? NDTV accesses documents)

Kalmadi has claimed that the Indian High Commission had recommended AM Cars in an email and brandished that email at a press conference. However, Foreign Minister SM Krishna, at a meeting with Kalmadi, furnished another copy of the email which did not make any reference to AM Firms.

The panel was set up on August 2 after Kalmadi's meeting with Krishna. (Read: Corruption scandal hits CWG, organisers deny charges)

The three-member probe team is headed by the CEO of the Organising Committee, Jarnail Singh. Of the other two members, one is an OC member and the other a CVC official.

When announcing the setting up of the panel, Kalmadi had said that it will also look into allegations of fixing ridiculously high prices for overlays like air conditioners, tread mills, toilet papers, umbrellas and awarding of marketing contracts

But on Wednesday, in a statement sent to the press, Kalmadi maintained that the financial transactions by the Organizing Committee have been "transparent." He however said he was ready for any judicial inquiry. (Kalmadi: Ready to face judicial inquiry)

ORGANISING COMMITTEE DEFENDS INFLATED COST

Faced with mounting allegations of renting and purchasing items for players at hugely inflated prices, OC officials on Wednesday tried to convince skeptics by saying that this was because of high management costs for suppliers to bring and manage these facilities at various games locations. (Read: Organising Committee defends inflated cost) 

Inflated Cost

    * Treadmills on hire @ Rs 9 lakh
    * Air Conditioners on hire @ Rs 4 lakh
    * Toilet paper @ Rs 3,757
    * Umbrellas on hire @ Rs 6,000 per piece

"The inflated price is because the management costs are about 15-20 percent of the tender, which is reflected here," said A K Saxena, Joint Director General, Organising Committee.

"A very transparent procedure was followed, the overlays, tenders were placed on the website, it was published in the newspapers, we received 10 bids out of which 4 overlayed suppliers, who have supplied these overlays to Olympics, to the Asian Games, to the Commonwealth Games, they were short listed and they participated in the commercial bids," said Lalit Bhanot, General Secretary, Organising Committee.

While the OC has tried to explain that the inflated costs were due to high management charges, the fact is that even the overlays budget of about Rs 700 crore given to it by the government, will have to be repaid, and with sponsorship raising just Rs 650 crore, that may be a tall order.

Video Special: Corruption scandal hits CWG


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