Mumbai: BMC chief breaks down civic expenses to refute Aaditya Thackeray’s scam allegations

I S Chahal, civic chief. Pic/Sameer Markande

Accusing the civic chief of involvement in various scams related to road construction tenders, sanitary napkin vending machine tenders, street furniture, city beautification, and withdrawal of fixed deposits, Aaditya Thackeray had alleged that the BMC was suffering financial losses due to these fraudulent activities. After the allegations made during the Shiv Sena UBT morcha on Saturday, the civic chief, I S Chahal, vehemently denied all the claims. Chahal asserted that the BMC is operating in accordance with the rules and regulations, and there has been no financial misappropriation.

Dismissing these accusations, Chahal responded by stating, "When I assumed the position of civic chief on May 8, 2020, the deposit amount was Rs 79,115 crore. As of March 31, 2022, the deposit stood at Rs 91,690 crore. On June 30, 2023, the deposit amount was Rs 86,467 crore. We have allocated Rs 2,050 crore to the Maharashtra State Road Development Corporation as a contribution towards fungible FSI, which was pending for five years. Additionally, we have provided Rs 2,567 crore to BEST for settling the dues of retired employees."

Discussing the road concreting tender, Chahal further explained that there was a road repairing scam in Mumbai in 2016-17. Consequently, tenders were designed to attract reputed companies. Initially, the tenders were based on the 2018 market schedule rate. However, later it was decided to draft the tender according to the 2023 schedule rate, considering the increased GST from 12 per cent to 18 per cent. As a result, the contract amount increased from Rs 5,807 crore to Rs 6,080 crore.

Regarding the sanitary napkin vending machine contract, the civic chief clarified that these machines would be installed in 5,000 public toilets. "The cost of each machine, which includes an incinerator for napkin disposal, is Rs 44,000. Additionally, there is a three-year maintenance contract and the provision for napkin refills," said Chahal.

In terms of the city beautification drive, the BMC has allocated Rs 617 crore. Out of this amount, Rs 499 crore was spent in 2022-23, and Rs 117 crore has been spent thus far in 2023-24. Rs 450 crore has already been disbursed. Chahal highlighted that a total of 1,196 projects have been commissioned as part of the city beautification initiative.

Addressing allegations made by Aaditya Thackeray of a scam in the street furniture tender, the BMC administrator firmly denied any wrongdoing. Under the street furniture project, Rs 222 crore will be spent over the next three years, with Rs 22 crore already expended. "The centralised tendering process was adopted to ensure uniformity in street furniture across the city, and the design was meticulously planned by an expert," clarified Chahal. A total of 1,171 benches will be installed throughout the city.

Despite repeated accusations against the civic body, Chahal said that there is no malpractice within the organisation, emphasising, "The BMC is being subjected to baseless claims, causing unnecessary confusion among the public. The BMC is at the peak of financial stability as capital expenditure on projects in 2020-21 was R7,568 crore. In 2022-23, it has reached Rs 14,000 crore."

Rs 86,467cr
BMC's fixed deposit on June 30, 2023