Aroppor Iyakkam, a NGO, has demanded the Directorate Vigilance and Anti-Corruption wing to expedite probe against former Chief Secretary Rama Mohana Rao and his brother for allegedly committing irregularities to the tune of Rs 400 crore in providing manpower service to 70 Government Hospitals across the State.
Addressing media persons in Chennai on Friday Convener of Arappor Iyakkam, Jayaram Venkatesan has demanded the Directorate of Vigilance and Anti-Corruption Wing personnel to act on its complaint dated January 9, 2017. After filing the complaint, the NGO provided additional evidence to the DVAC in July 2017.
On Friday, the NGO has provided additional evidence disclosing illegalities in outsourcing of housekeeping and security services by Padmavathi Hospitality and Facilities Management for 70 government hospitals in the State. Colluding with the senior government officials, the HR firm committed irregularities to the tune of Rs 400 crore.
According to Arappor Iyakkam, the Tamil Nadu Medical Services Commission (TNMSC) had floated a tender on January 8, 2016, for outsourcing of housekeeping and security services for a total of 70 Government Hospitals under the control of the Directorate of Medical Education. The illegalities continued for three years.
He said evidence gathered by the NGO shows that Rama Mohan Rao’s brother P Srinivasa Rao was a partner of Padmavathi Hospitality and Facilities Management in 2014, which has been taking up outsourcing tenders of housing and security services from 2014 till now. The HR firm deliberately manipulated the attendance of the staffs to show that a higher number of staffs in the attendance records than actual number of staffs, who worked in the hospitals. This was done colluding with the authorities in the government hospitals. Over invoicing of staffs leading to enrichment of the HR firm.
The HR firm committed irregularities to the tune of Rs 35.05 crore in 70 hospitals between 2016 to 2019. The hospitals includes Rajiv Gandhi Government General hospital, Medical College Hospital, Omandurar Government Estate, Government Stanley Medical College hospital and Government General Hospital, Royapettah, Chennai.
The staffs were also illegally diverted the staffs from government hospital to private hospitals. The HR firm had not installed the bio-metric devices. Two years after the complaint, the DVAC the probe is in the initial stage.
Disclosing the additional evidences the NGO demanded the DVAC to expedite investigation, which remained in the initial stage, blacklist the firm and recover the swindled amount from the firm.