Low-floor buses bought at high cost: CAG

August 5th, 2011 - 11:29 pm ICT by IANS  

New Delhi, Aug 5 (IANS) The report of the Comptroller and Auditor General (CAG) has stated that during 2008-09, Delhi Transport Corporation (DTC) procured 2,500 low floor buses (1,000 AC and 1,500 Non-AC) at an inordinately high price.

It also found that between September and November 2009, the Corporation procured additional 625 buses at the same high price, exercising an option clause, which cost the exchequer an additional Rs.61.10 crore over the justified cost.

It said that at the direction of the Minister of Transport, the DTC did not deploy 382 of the new low floor AC buses (delivered in March and July 2010), till Aug 31, 2010 in order to ensure that these remained in “new and unused condition” for the Games.

Another, 89 low floor AC buses were also withdrawn from between June and August 2010 to avoid further damage to these buses and kept idle.

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