Ludhiana based Indian Bicycle Manufactures Association vide a release alleged that small and medium bicycle manufacturers demand re tendering as Karnataka government buying bicycles at much higher rate than market from four manufacturers.
As per release, Karnataka government is all set to procure bicycles for boys & girls studying in 8th Standard, belonging to below poverty line for the year 2011-12 at the rate of INR 2700 while same model bicycle is being sold by the same company at INR 2140 in the open market.
Indian Bicycle Manufacturers Association Ludhiana based apex body of bicycle manufacturers in the country has written a letter to Karnataka Governor Mr HR Bhardwaj and Karnataka lokayukta to probe the big bicycle procurement scam of Karnataka government and float a new tender for procurement of 11,27,376 bicycles in state for Boys & Girls studying in 8thStandard, belonging to below poverty line for the year 2011-12.
The release said that “The Ministry of Education through the Department of Public Instructions has floated a Tender for the Procurement of Bicycle as an eye wash totally violating the Central Vigilance Commission the World Bank Guidelines and the Karnataka Standard Tender Documents for Procurement of Goods and Equipment under the Karnataka Transparency Act has also been grossly violated.”
Mr KK Seth vice president of IBMA said that “Similar issue was raised last year also then the Karnataka Chief Minister had ordered enquiry into the whole tender system as why a stringent term of INR 200 crore turn over has been put in the tender against CVC norms for tendering. But the same clause is again being used.”
According to IBMA The Stringent Terms laid down by the Government, which out rightly favors four Manufacturers where as there are over 40 small and medium quality bicycle manufacturers in the country.
This year Small bicycle manufacturers had tendered through NSIC offering 15 % less rate than these major four cartel manufacturers, but it was turned down by Karnataka Government to help these four manufacturers.
