Corruption in Procurement - Addl Inputs
Below are your key inputs on how Corruption occurs in the Procurement process. Kindly review them and share any additional ways in which it is conducted. We believe there are other aspects that are yet to be covered.
Also if you have a specific instance of Corruption in Procurement you would like to share, please submit a fresh post with the details.
Transparency International India
Corruption in Procurement - Key Issues
1. Procurement tender tech specs are intentionally made vague
2. Later during clarification stage these are manipulated with preferred vendors
3. Later on Inspection department also follow corrupt practice by granting concession to agreed specifications & get benefitted
4. Many times, wrong indent value is shown on indent which allows change in type of tender i.e. Limited, open, single or propriety
5. Relaxations given are detrimental to specs & two identical parts do not remain interchangeable
6. As per norms, purchases are to be made on calling competitive quotations at least from three suppliers and the firm quoting the lowest price has to be selected. Hence the suppliers to be favoured are asked to submit 3 quotations, 2 of which used to be in fictitious names and one of them quoting the lowest price is selected and orders are placed
7. In the event of declaring bonus by the local government on a particular crop, the farmers purchase crops from nearby states at lower prices and sell it to the local cooperative societies who purchase it knowing that the crop was not grown in the fields of the sellers. Thus making the farmers eligible for bonus, a portion of which goes to the officials of the societies
8. In all government departments and schools & colleges (irrespective of states), inferior quality furniture are in use. Their records will indicate purchasing of standard quality furniture. The difference in prices between the inferior & standard quality furniture is being used by the suppliers in paying commission to the concerned officials
9. Major corruptions prevails in defence procurement and tendering
10. Government departments have local approved suppliers who charge 30 to 40% extra
11. Many times, the material is never received in the department/office of the procurer, only bills/cash memos are received and paid for
12. In some Government facilities half supply and full billing also happens. Material enters the warehouse, a receipt is made and it leaves from other gate, only to re-enter the warehouse and re-receipted.
13. Higher rates are approved for lower quality goods received. more
Also if you have a specific instance of Corruption in Procurement you would like to share, please submit a fresh post with the details.
Transparency International India
Corruption in Procurement - Key Issues
1. Procurement tender tech specs are intentionally made vague
2. Later during clarification stage these are manipulated with preferred vendors
3. Later on Inspection department also follow corrupt practice by granting concession to agreed specifications & get benefitted
4. Many times, wrong indent value is shown on indent which allows change in type of tender i.e. Limited, open, single or propriety
5. Relaxations given are detrimental to specs & two identical parts do not remain interchangeable
6. As per norms, purchases are to be made on calling competitive quotations at least from three suppliers and the firm quoting the lowest price has to be selected. Hence the suppliers to be favoured are asked to submit 3 quotations, 2 of which used to be in fictitious names and one of them quoting the lowest price is selected and orders are placed
7. In the event of declaring bonus by the local government on a particular crop, the farmers purchase crops from nearby states at lower prices and sell it to the local cooperative societies who purchase it knowing that the crop was not grown in the fields of the sellers. Thus making the farmers eligible for bonus, a portion of which goes to the officials of the societies
8. In all government departments and schools & colleges (irrespective of states), inferior quality furniture are in use. Their records will indicate purchasing of standard quality furniture. The difference in prices between the inferior & standard quality furniture is being used by the suppliers in paying commission to the concerned officials
9. Major corruptions prevails in defence procurement and tendering
10. Government departments have local approved suppliers who charge 30 to 40% extra
11. Many times, the material is never received in the department/office of the procurer, only bills/cash memos are received and paid for
12. In some Government facilities half supply and full billing also happens. Material enters the warehouse, a receipt is made and it leaves from other gate, only to re-enter the warehouse and re-receipted.
13. Higher rates are approved for lower quality goods received. more
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View all 35 comments Below 35 comments
I have only one Question..... .... is Govt or Political leaders really don't know about how to stop the corruption / how to make the corruption free country ????? more
Nov 15
To take care of several ir-regularities in procurement, e-procurement can be initiated. All records of the procurement process may be monitored by an honest staff/supervisor. more
Aug 23
Corruption in Procurement - Key Issues For all these issues the corrupt officials get only one thing and that is bribe. To do away with corruption do way with bribe. Bribe is paid in cash and cash only. It has to be paid in big denomination notes. So instead of making these long lists just do way with big currency notes permanently. All transactions above Rs.1000 through banks only. more
Aug 19
We must make the legal services truly independent and efficient and very prompt in delivering judgement. It should be made by law an essential service. Courts should work 299days in an ordinary year and 300 days in a leap year. Should have 12 working hour 5 days a week. more
Aug 13
Day by Day ways are changing in the field of Corruption, since last 69 years after Independence , variety of different corruption has been revelled out . The responsible vigilance department has to ensure honest investigating officer for anti corruption crusade. Top officials are getting in post by competitive exams, you cannot identify degree of honesty in competitive exams. Honest Investigators can be selected after assessing their past performance . We have seen on various occasions CA, Doctors, IAS , IPS are easily purchased . The mind set of persons present in vigilance directorate is that they are the TOP so, this is the easiest way for demanding ransom from the victim , in this spectrum there is no one to keep watch or monitoring , the degree of extortion is very high . Political leaders along with legal & administration officials joined hands for extortion . Unless the government shows strong willingness and comes with quick punishments the situation would not come under control. more
Aug 11
