CPC purchase: KMML officers allege unholy nexus

A section of officers at the KMML alleged that the nexus between a couple of existing suppliers and some top officials of the KMML was behind the allegation that there were irregularities in the awarding of tender procedures of Calcined Petroleum Coke (CPC) for the year 2012-13.

 Three officers of the materials section were suspended following a preliminary inquiry conducted by Vigilance and Security Superintendent of the KMML K C Sasikumar.

 assistant general manager and former purchase manager K Raghavan, manager (materials) Reghudas and deputy manager(materials) Vikraman Nair were the suspended.

 Allegations of irregularities came to the fore after KMML rejected 112 tonnes of CPC of substandard quality provided by Sai International Trading Company, Karunagappally, which was one of the four suppliers of the product for the year.

 A section of the officers told ‘Express’ that a lobby of existing suppliers, displeased over breaking their monopoly in the supply of raw materials to the company, and some officers who have connections with them are behind the allegations.

 They said that the allegations were nothing but a misrepresentation of facts.

 One of the officers who is facing the allegation told ‘Express’ that by adopting the open tender system there was a reduction of Rs 1,702 cost per tonne from the previous year and thus the company was able to save Rs 2. 35 crore.

 The officers said that they were encouraging more suppliers for the company’s benefit on the basis of recommendations made by the top officials of the company.

 “The company had been faced a shortage of CPC suppliers for sometime now.

 The two firms, which were regular suppliers, formed a cartel and conspired to keep prices high.”

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