THIRUVANANTHAPURAM: Senior Congress leader Ramesh Chennithala on Friday alleged that the state government’s revision of tender norms in a major IT project would cause losses to the tune of Rs 700 crore to the exchequer.
Referring to the project to implement a common software platform across the state’s 4,415 primary cooperative societies, Chennithala said the contract was initially awarded to TCS for Rs 206 crore following tender process in 2023-24.
The deal was later cancelled and a fresh, revised tender issued, he said at a press conference. “Changes in the tender norms appeared to be a deliberate attempt to keep major IT firms like TCS out of the process,” he alleged.
Only two cooperative societies based in Kannur participated in the subsequent tender proceedings—Kerala Dinesh Beedi Workers Central Cooperative Society and Malabar IT Cooperative Society, he said.
The Kerala Dinesh Beedi Workers Central Cooperative Society quoted Rs 58 crore for implementing the software in 280 societies. “Based on this rate, extending the project to all 4,415 societies would push the total cost to over Rs 900 crore, resulting in an additional burden of around Rs 700 crore,” he said.
He questioned the decision to entrust a large scale IT project to an entity without proven experience in the sector, and alleged that there was an attempt to expedite the process during election period by seeking special permission from the Election Commission. He said the UDF would seek the EC’s intervention into the matter.