While awarding MESS CONTRACTS Director Prof.T.S.Rao introduced a new system called BASE RATE.
For the first time in 2013, the Director introduced this system at NIT Warangal. The base rate was fixed by the Director as Rs. 78/- without involving the Chief Warden or Wardens. Since some of the tenderers quoted less than the base rate, their financial bids were rejected. Only one caterer (Sai Krupa Catering and maintenance services, Hyderabad) quoted exactly Rs. 78/- . As the other caterers, who quoted above to this rate denied to provide the services to this rate, the tenders were recalled.
During the same time Subramanyam, working at Hostel Office and Clerk for the ladies hostel, with the consent of the Director contacted the other two caterers Sri Raja Rajeswari Catering Services, Chennai and Sakthi Kitchen, Chennai (who provided catering services at IFC) before opening of the technical bids at Kalam guest House of NIT Warangal and got a deal for Rs. 50 lakhs kickback from all the three caterers for revealing the base rate to them. The three caterers quoted the daily rate exactly same as the base rate fixed by the Director and got the tender for the year 2013. The payment transactions between caterers and subramanayam took place in the Manager room (Sai Krupa Caterer) in the Ladies Hostel in the nights between 9.00PM to 11.00PM.
With this success and taste of bribes, again for the year 2014, the same three caterers (even though the other caterers quoted less daily rate) got the tender by quoting the daily rate as Rs. 90.01, Rs, 90.02 and Rs. 90.03 which was very near to the base rate of Rs. 90/- fixed by the Director. This time Subramanyam with the
consent of the Director made an agreement of Rs. 10/- per student per day for revealing the base rate. He and the Director got a kickback of Rs.1 crore (Rs. 10 x 3500 students x 10 months). Subramanyam collected the money in cash from the Caterers on instalment basis.
The speculating thing is that an enquiry was made on the tendering process at NIT Nagpur, when the difference between the base rate and rate quoted by the caterers of Rs. 1/- . Even though the difference between the base rate and rate quoted by the caterers is 1paise, 2 paise and 3 paise no enquiry was conducted at NIT Warangal against the Director.
For the year 2015-16 also, the Director and his mischief-maker (Subramanyam) implemented the same technique and thought of getting a kickback of Rs. 1.5 crore from the caterers. Unfortunately the tenders were cancelled and new procedure was introduced after Board of Governors intervention or Chief Warden intervention. They (The Director, Subramanyam and the three caterers) thought that the previous Chief Warden was responsible for cancelling the tenders, made him victim and sacked him. On the suggestion of the Director and Subramanynam, the three caterers wrote letter to the Director that making the base rate public and fixing it as Rs 86/- is illogical and unfair.
Finally the financial bids were opened and the daily rate for 2015-15 was finalized as Rs. 81.70/-.
It is interesting that one of the previous three caterers, Sai Krupa Caterers, Hyderabad got the tender. This caterer is the most dangerous culprit. He contacted the caterers from Hyderabad, conducted several meeting at NIT Guest house and convinced them to be part for the bribes to the Director with the help of Subramanyam, if the tender was awarded to them. All the caterers from Hyderabad including the previous three caterers quoted Rs. 81.70/- which is Rs 8.30/- less than the previous years base rate. The surprising thing is that the caterer from Nagpur who benefitted the Director at VNIT Nagpur got the tender.
If really found guilty, then the concerned persons must be put in jail.