Delhi Government goes after BRT operator, recommends CAG audit

Transport company DIMTS is a joint venture between State govt and IDFC

January 29, 2014 10:10 am | Updated May 13, 2016 01:03 pm IST - NEW DELHI:

The controversial BRT corridor in South Delhi. File Photo: Sandeep Saxena

The controversial BRT corridor in South Delhi. File Photo: Sandeep Saxena

The Aam Aadmi Party Government on Tuesday recommended an audit of the Delhi Integrated Multi-Modal Transit System (DIMTS) by the Comptroller and Auditor-General of India.

The DIMTS is a joint venture between the Government of National Capital Territory of Delhi (GNCTD) and Infrastructure Development and Finance Corporation (IDFC), with each party having 50 per cent equity. The order comes around three weeks after the government ordered a CAG audit of the three power discoms in the city.

“In an important decision, the Cabinet approved a CAG audit of the DIMTS, a transport and infrastructure development company,” PWD Minister Manish Sisodia said after a Cabinet meeting on Tuesday.

Officials said the CAG would be auditing the company’s books, starting from its inception in 2006. The DIMTS came into being in April 2006 as an urban transport and infrastructure development company. It was later converted into a joint venture in 2007.

Officials said the government had recommended the CAG audit in order to ensure transparency in the functioning of the company. Sources said the AAP Government made the decision after a delegation met Chief Minister Arvind Kejriwal a few days ago over the issue.

The DIMTS has executed several important projects in the city, including renovation of Kashmere Gate ISBT, construction of bus depots, construction and maintenance of the BRT corridor, installation of new bus queue shelters, installation and monitoring of GPS devices in auto-rickshaws and Delhi Jal Board water tankers.

While the DIMTS registered a turnover of Rs. 79.54 crore for financial year 2012-13, the turnover for the current year is projected to be around Rs. 70 crore.

Some of the projects executed by the company have courted controversy. While the operation of the Ambedkar Nagar-Moolchand BRT has been under the scanner since it began, irregularities were also alleged in the construction of bus shelters for the Commonwealth Games 2010. Installation and operation of GPS in auto-rickshaws also came under the scanner due to the company selected for procuring the devices, with auto-rickshaw drivers alleging that the DIMTS was over-charging them.

While auditing the Delhi Transport Department, the CAG had also raised questions about some of the company’s methodologies in executing projects. Though the terms of reference of the CAG audit, officials said, is yet to be finalised, this is the first time that the balance sheets and functioning of the DIMTS would be audited by the top auditors of the country.

‘Unlikely to move court’

Reacting to the development, DIMTS officials said they would “decide their future course of action after looking into the legalities involved” with the order once they receive a written communication from the State government.

Government officials, however, said the company was “unlikely to move the courts against the government order, especially after the Delhi High Court turned down the power discoms’ appeal to stay the CAG audit”.

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