Mumbai: BJP MLA alleges medical procurement fraud by BMC officers

Mumbai: Former group leader of the BJP in the BMC and former corporator of Mulund, Prabhakar Shinde, has alleged that the BMC has suffered a loss of Rs100 crore every year in procuring medicines and medical equipment. He alleged that the civic body favours a certain firm and the trend has been prevalent for over a decade.

Mr Shinde has sought inquiry into the procurement process and called for cancellation of deals. Surgical products, tablet capsules, bandages and cotton used in BMC hospitals and health centres have been prescribed in Schedules 2, 7 and 9 of the Central Purchase Department. 

In a letter to the Deputy Municipal Commissioner (Dy.MC) of the department, Mr Shinde has stated, “I would like to bring to your notice that taxpayers’ money has been misused by your department, and that the BMC is favouring one company called Shreeji International company. The price that Shreeji won in one bid is 350 times more than its indirect competitors.” 

As per Mr Shinde’s letter, medicines worth Rs 95 crore and equipment worth Rs78 crore were procured from Shreeji International. Similarly, another contract of Rs80 crore for medicines and medical equipment costing Rs50 crore was awarded to the same firm. In the third incident, a Rs20 crore contract was given to the same company.

Mr Shinde said, “If BMC officers hadn’t purchased monopoly medical items from Shreeji International, then other companies would have participated in the tender process and the civic body could have procured the same items at cheaper rates.”