Fibernet scam: CID names 18 in FIR after two months

Cost of project was inflated, and person with fake credentials was appointed its head, AP Cabinet Sub-Committee found
Fibernet scam: CID names 18 in FIR after two months

VIJAYAWADA: The Crime Investigation Department (CID), which registered a First Information Report (FIR) two months after it was entrusted with investigation into alleged irregularities in awarding tenders for the AP FiberNet Project, had named 18 persons, including Vemuri Hari Krishna Prasad, the then member of the Governing Council of e-Governance Authority, Electronics and IT Agency and Innovation Society, and K Sambasiva Rao, the then VC and MD of Infrastructure Corporation of AP Limited (INCAP), as accused in the scam. 

The CID took over the investigation following a complaint filed by AP State FiberNet Limited (APSFL) Chairman P Goutham Reddy. In the FIR registered on September 9, the CID stated that the APSFL Chairman had submitted a report on irregularities, which took place in awarding the tenders for the AP FiberNet phase-1 project. Krishna Prasad, who was appointed as member of the tender evaluation committee, had colluded with Tera Software represented by its managing director Tummala Gopichand, some officials of the APSFL and the State government to ensure that the `321-crore tender was awarded to Tera Software though it lacked required qualifications, it stated.  

On July 11 this year, Energy Secretary Srikant Nagulapalli issued an order directing the Additional Director General of CID to investigate the irregularities in the fibernet project and submit a report to the government.

Besides Krishna Prasad and Sambasiva Rao, the CID had also named Tera Software Chairman SSR Koteswara Rao, Managing Director Gopichand and six directors. Six directors of Himachal Futuristic Communications Limited were also named as accused in the scam. A case under various sections of the IPC and the Prevention of Corruption Act was registered and the FIR was submitted to the special judge for SPE and ACB cases in Vijayawada, the CID said.

It may be recalled that the YS Jagan Mohan Reddy government constituted a Cabinet Sub-Committee to look into various scandals that took place during the previous TDP regime. With respect to the FiberNet project, the Cabinet Sub-Committee (CSC) headed by Finance Minister Buggana Rajendranath, found that the cost of the project was inflated and a person with fake credentials was appointed its head. It also found that inferior quality set top boxes were purchased at a high price from different companies, setting aside the bidder, who quoted less to supply STBs.

NO RESPONSE FROM CBI

The State Cabinet had decided to hand over the probe to the CBI and wrote a letter to the Centre about it. Even after CM Jagan Mohan Reddy took up the issue with the Centre during his visits, there was no response from the Central agency. Hence, it was entrusted to the CID

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