Pune: PMPML Refutes Corruption Allegations Over Inflated Costs In Tracking Devices And Panic Button Purchases

Pune Mahanagar Parivahan Mahamandal Limited (PMPML) has refuted allegations of corruption related to the purchase of Vehicle Location Tracking Devices (VLTDs) and panic buttons for its fleet.

The controversy emerged when Chenthil Iyer, an activist and Vice President of Aam Aadmi Party (AAP) Pune, claimed that the procurement process involved inflated costs and raised concerns about potential corruption.

According to Right to Information (RTI) details, the cost of each VLTD device in the market is around ₹6,000, but PMPML reportedly entered into a contract at ₹15,063.50 per unit, which includes panic buttons and associated services. Iyer alleged that the project, valued at approximately ₹64 lakh, could have been completed for just ₹15 to ₹20 lakh with proper negotiations, suggesting a possible waste of around ₹40 lakh.

He also questioned the legal validity of the contract, pointing out that it has not been notarised or registered. Additionally, Iyer criticised PMPML for dismissing a cost-free solution to track buses by linking conductors' GPS-enabled ticketing machines to the tracking app. He further raised concerns about the maintenance of PMPML infrastructure and the deterioration of previous projects like BRTS and the Smart City initiative.

PMPML gives response

In response, PMPML issued a press statement defending its procurement process, stating that the purchase was conducted transparently through the Government e-Marketplace (GEM) portal, a government-owned online platform designed to facilitate transparent and competitive purchasing by government agencies.

PMPML clarified that the cost of ₹15,063.50 per unit includes all necessary components such as GST, vehicle registration charges, panic buttons, a two-year warranty, and seven years of maintenance.

Nitin Narvekar, Joint Managing Director of PMPML, stated, "All the allegations are baseless, and no corruption has occurred. The ₹6,000 is just the raw price of the device. When we include all terms like insurance, warranty, GST, panic buttons, and service charges, the cost per device goes up to ₹15,063.50. PMPML always works in a transparent manner."