. 'i OFFICE OF THE Pill 'CIPAL ACCOUNTANT GENERAL (GENERAL & SOCIAL SECTOR AUDl11, WEST BENGAL !. C:O\'T. PL,\CE WF.ST TRF.ASURY llUI mNGS KOLKATA- 700 001. SPf:f:o~ Memo ~o. 01VlfUG&SS-l(AO)/C-19nOl8-19/279 O.Sr Dated: 3 I JAN 20 9 Inspection Report on the accounts of the Project Director, State Project lmplerueutatluu Uni1. N:11io11:•I Cyclone Risk MiliGAlioo Project (Phase II), Government of Wcsc Bengal, l)cpar1111c111 or l>is:isccr Mnnngcmenl :111d Civil Defence for the period from 01.04.2017 10 31.03.~018. Forwarded 10 1hc Project Director, Sl:&lc Project lmptementntlen Unii, Nittioonl Cyclone Rhk i\li1ig:11ion Project (Phase 11), Department of Dtsaster Maungcmcnl and Civil Defence, GoWll, Tran Bhaban (S'k Floor), 87A, S.N. Banerjee Road, Kolkacn-700 0.14 with the request 1hm he/she should submit his/her remarks on each paragraph of part I & II of the Inspection Reports 10 the I lead ot the Dcpanrnent within 3 (three) weeks from the dale of receipt of the report in his/her ,,fli1:c (vide Instruction issued in Governmcru of West Bengal. Finance Dcparunent. Memo No. 1 ·106-F dated 7,i, April I 9J0). The replies should be submiucd in Broad Sheet format 10 the Head of ,he Department through the higher authority in suitable number of copies to enable the loner to uansmu 1hr same with his/her comments to this office in duplicate. Each para or sub-paru of the Inspection Report should be posted nt the top of n separate sheet ol foolscap paper The different officers dealing with it should then record their remarks seriatim, auuching 11s mun)' sheets as may be necessary 10 dispose of each para. sub-para of items thereof. At ,,,•. '"~' .,f c,:d: note the dcslgnatiou of the officers iorwording the note should be clearly recorded t vrde mstrucuon contained in S.G.F.O. No. 7 I 01 dated 22.12.1953). ~ Sr. Audit Officer (G & SS-1/HQ) For Sr. Deputy Accouot:aol General (G & SS·I) West Bengal '1 Memo No. OA/rR/G&SS-I(AB)/C-19/20J8-19/279A Dated: ----- Copy forwarded 10 the Principal Sccrei:ary/Sccretary co the Gcvcrument of West Bengul, Disaster Management and GYil Defence Department, Nabaooa, 32S,,Sa.rat Chatterjee Road, Howr.ih-711 102 for information with o request to obtain reply 10 each of the paragraph in Broad sheer format from the Head of the office along with the comments of his/her superior officer, if any, and forward the same in duplicate with his/her comment/remarks to chis office for necessary action 111 this end. 6k- Sr. Aud ii Office.r (G & SS-J/BQ) For Sr. Deputy Accountant General (G & SS-1) West Bengal 2 INSPE;CTION REPORT ON THE ACCOUNTS OFTl:LE PROJECT DJ RECTOR, $TATE PRO,IECf IMPLEMENTATION UNIT, NATIONAL CYCLONE RJSK ttUTl,GATlON PROJECT (PHASE,rl), GOVERNMENT OF \VEST BENGAL, DEPARTM.ENrr OF l>ISASTER MANAGEMENT AND CIVIL DEFENCE FORTBE PERIOD.FROM L_ 01.04.2017 TO 31.03.2018 INDEX PART-I Introductory PART-11 Audit Findings PART-II A - Nil· PART-II 0 I. Liquidated damages for delayed completion nm levied Rs lU5 crore 2. MPCSs Project- 11 review thereof 3 Delayed completion of MPCSs led to excess cxpcndi1urc towards TPQA- Rs 180.87 lakh PART- Jll (I) Follow up on findings outstanding from previous reports (II) Persistent irregularities l'Alff.JV BeSt Practices l'ART - V Acknowledgement 3 •l INSPF:CTION REPORT ON THE ACCOUNTS OF THE PROJECT D1RE€T0R, ST ATE - . - PROJECT IMPLEMENTATION UNIT, NATIONAL CYCLON~ RlSKMITIGATION PROJECT (PHASE-U~, GOVERNMENT OF ,VEST BENGAL, DEP~:J'MEN'F 0F DISASTER MANACEMENT ANO CML DEFENCE FOR THE PERIOD FROM 01.04.2017 TO 31.03.2018 P11r1-I I nt roduclory Compliance audit on the accounts of the Projccl Director, S1a1c Project l.mplcmema1ion Unit. Nmional Cyclone Risk Mitigation Project (Phase -U), Government of Wes; Bengal, Dcpnnmeru of Disaster Management and Civil Defence for the period from 01.9,4.17 1031.03.18 wns conducted locally by an Audit team of the Office of the Pr. Accountant General (G&SS Audit), West Bengal from 10.10.1810 29.10.18 and 14.11.1810 27.12.18 under supervision ofShri Arup Dunn, Senior Audit Officer consisting of the following members. Shri Snmo~h Kumar Chowdhury, Assistnm Audit Officer 2. Shrl Surojit Sadhukhan, Assistant Audi1 Officer J. Sim Gobindn Sarkar, Sr. Ar. ,1. Shri Kunchan Dcbnath, Sr. Ar. The main function of the unit is 10 address cyclone risks in the slate ofWest Bengal and 10 reduce vulnerability 10 cyclone and other hydro-mctrological hazards of coastal communities in the rastructure and Early Warning Dissemiuation Smre through preparing Cyclone Risk Mi1igotion Inf Sys1cm(EWDS) so as 10 increase the capacity of the Stole to effectively plan for and respond to disasters. ub-alloued by the SPIU to the seven PWD Divisions (3 in South 24 Pgs, 2 in The fund was s North 24 Pgs and 2 in Purba Mcdinipur) for construction of Muhi-purpose Cyclone Centres nnd Ilic :111cfi1 1cn111 vorncd HI! the Divisions. All the receipts and payments for the year 2017-18 hove been checked in detail in the current audit. The uuditee unii incurred an -cxpeuditure of Rs. 19916.94 lakh against tota] ceccjpt of Rs. 20166.28 lnkh during Ilic year 2017-18. Shri S. Suresh Kumar, IAS held the charge of Project Director-and the Principal Secretary nnd Srnt. Kaknli Das, Finance Officer held the charge of the DOO from 01.04.17 to 08.11.17 and ~ 4 ., . " Sri Sanjib Barua, Finance Officer held the charge from 09.11.17 lo 31.03.18 during the period covered under nudit. Hierarchy:- The eurhorlty is functioning under the jurisdicuon of Disaster Management and Civil Defence Department, Wes: Bengal. Budgct:-According to projected demand the auditcc unit received World Bank assisted fund through Centro! Government and marching share from the West Bengal Government. Scope of nudh.- Audit was conducted 10 verify whether the unit Office functioned in accordance with the Project Guidelines of the World Bank. Audir Mnndntc:-Audit was conducted as per the Mandate of CA G's DPC Act. 1971 and Accounts and Audit Regularion 2007. Entry ceuference: 0111aking up of the audit, entry conference was held on 10.10.2018 between the audit team and the Project Director, Staie Project lmplcmentntion _Uni1, National Cyclone Risk Mitigation Project (Phase-II), Govt of Wes: Bengal, Department o[ Disaster Managernen] wherein nudit obicctive, criteria and timeliness of audi1 was discussed. Auditee unit assured extending full co-operation 10 audit. Exir confercnce : On completion of the audit. an exit conference was held on 27.12.2018 between 1hc audu learn and the Project Director, SPfU, NCRMP-U, Govt of west Bengal, Disaster Mauagemcnt Department wherein the obscrvation/fimlings pointed out during current audi] and present suuus of outstanding pnrogrophs of previous Inspection Reports were discussed. s • PART-a Audit Findings PART-rt A - Nil· PART-fl B I. Liquidated damages for delayed co111pletioo not levied Rs 8.3S·crore Wi1h 11 view 10 addressing cyclone risks in West Bcngal(WB). construction of 150 of Muhipurposc Cyclone Shelters (Grouped into 14 packages) under National Cyclone Risk Mitigation Project (NCRMP) scheme was taken up wi1h World Bank aided fund (75%) and State Fund (25¾) by the Project Director, Stme Project lmplo!mcnta1ion Unit (SPll/), NCRMP.-II, \Y,B and the work was executed by various PWD divisions worked under Directorate of Disaster Management, SIOlc Project Iruplcrnemario» Uni 1, NCRMP-1!. There were 14 packages consisting of several cyclone shehcrs in various bl(!cks,ofNor1h 24 Pgs.. South 24 Pgs. and Tarnluk Divisions. The 101nl 14 packages were awarded 10 two agencies, i.e. Mis Bridge and Roof Co. (India) Ltd.(Puckage 1-10) and Mis BiU lnfratech Ltd(Packagc 11-14) for ccnstruction of 150 cyclone shehcrs 01 n project cost of Rs. 659.68 crore and payment of Rs. 4 I I 77 crore was made rill March 20 I 8. The individual work order for commencement of work of each package \Vl\S given 10 two agencies as per contract agreement and thcy,s1ancd the work for cyclone shelters on various dotes. As per the Contract, the work was 10 be completed witliin 18 months from the date of issue of notice with the following milestones as cabled belowr- i\·tilt-.stone (for each Physicnl works 10 be com11tcted pncl,:tgc) Period from 1he dace or Issue or notice 10 proceed wllb the work /4) Milestone I (400 Strucmml fmmcwork upto the roof level of Nine months 1he buildings j-;.,tilc.<1011c 2 (70-/o) Complerion of all balance civil works of all Four months 1hc buildings - 3 ( I 00¼) I Milcsume Completion of all m11nini11g works Five months ~ JS (Eighteen m_!!nths) .. ' However. it was noticed in audit that the agencies could not start the work in ,the scheduled duce in various sites due 10 various problems like non-handing over of land by-the authority, local problems, etc, The Disaster Management Department decided th~l since the 1!8[.!:~cnt \YllS n\adc cce,'U plac~s lh~.lns1 Package-wise and each package consisted o( several Ml'CS sites located at difl' 6 . ' starting dare among the alJ MP CS sites within a package would be considered as the starting date of - !hat particular package and accordingly, amended the date of commencement o Package. f-work' of each Scrutiny of records revealed that after modifying the commencement date the work of all packages should have been completed within August 2018. But the agencies failed IQ .complere the work within the scheduled time frame and sought for extension of time and were subsequently sanctioned by the executive engineer of the respective division. Further it was f9und• in audit that though the extension of time was allowed bur some Executive Engineers (North 2_ 4· Pgs(SS) Div, '"' . Tamluk Div and Tamluk SS Div), were not satisfied with the rc115011s menuoncd by the contractors for grnming extension of rime. However, the authority had sanctioned, time extension to Ilic agencies but not imposed liquidated damages applying the penalty clauses as envisaged in the Commer Agreement, ibid, i.e. R~. 15000 and Rs. I l000 per day, in milcstone.(stagcs) 1 and 2 •' respectively and Ilic maximum amount of liquldatcd damages for the whole ,yorks Is- IO .per cent of linHI coruract price. Out of 14 packages 13 packages have got extension .for several months and as per contrnct ngrcemeut liquidated damages hove been calcuhued in Ilic table. For package I J, in South 24 Pgs. district the extension was given for six months as a whole and not Milestone wise and hence the liquidated damages could not be ascertained. The details of package wise extension along with non-imposition of liquidated damages to agencies arc tabled below: 7 J ' --- - Patk Aclual d,tc Amtndrntnl Sthr,d da01agu (R,. age: Name: of th, dlllc: or c·on1p?ttion from I lhlr of ulcn-,Jon to con,,.•e1ori Dbtrl-l.11.16 Augus~ 17 84W1ti O«.. 17 Jon. 18 M•y. 18 s s 3619.Sl 2'.S0.000 16.50.000 3900000 2 S 24 l'gi;/Sag.ar 27.07.IS 29.07,16 ,\pril. 17 Auaust 17 M•tth. 18 July. 18 II II )J47.J8 49.S-0.000 )6,30,000 3 8580000 S 24 Pv/ Kakdwip 27.07. IS 21 11 16 Augut<. 17 O«. 17 May.18 Scp..18 9 9 2452.« 40,S0.000 4 29.70.000 7010000 S 24 Pas/Nl,mkhranm 27.07.IS 22.07.16 Aprll.,17 AugU>t. 17 April, I~ llugw<. 12 I 12 3 IJ3.90 54.00.000 39.60.000 II 7J6000CI s s 24 Pg, 27.07 IS 19.01.17 o«, 17 ro,1wpra11m:i Fd>.,18 June, 18 Oct. 18 8 8 3629.19 36.00.000 26,40.000 6240000 6 .s 24 Pp 27.07,15 29.06.16 MArCb. 17 July. 17 Mathuraput, Kul,ull April. IS AUgu1'. 13 IJ 2310.79 58.50.000 42.90,000 101<0000 18 7 Purba Mcdiniport/ 27.07.15 09.02.17 Nov., 17 Mar.. 18 Rlunn:l g.ar ~pran I, - Mar.. 18 luly. IS 4 4 2464.5,1 18.00.UOO 13.20.000 3120000 8 Purt,1 Mcdiniporc 27.07.15 08.0J.16 D. 18 Feb. 18 o«, 18 .s ' !(hcjuri,11. II 2179.82 22.S0.000 363,0,000 ~000-0 RllmMga,-n - "L ~ ' ' . 10 N 24 Pg:j!Ha.snabmd. 07.09.15 29.08.16 M.\y, 17 Sept.. 17 J/ln,. 18 r Nlollkluut M•y. 18 I 8 1220.95 36.00.000 16.40.C\OO 62<0000 . ,.r... II .. ,..,.. • S 24 P(W'Clol'!b,1, Kulluli 08.02.16 10.01.17 - - - - - 3432.75 - - 00 s-: 8 j --- 12 N 24 So.n d v up thc.m~nc:r with the district, the Project Implementing Unit (PIU). The PJU would 'then contractors for rectification and submit Action Taken. Report (A1R}-.to, the lf~,QA. the TPQA would then again verity the ATR on site verification and subsequcnlly issued s111isfoctory/u11satisfnc1ory report. As the work of construction of cyclone shelters could not be completed with the stipulated time as envisaged initially, the contract of TPQA was extended twice (August 2017 and August 2018) from the scheduled date of completion (22.8.2017) for one year each for an amount of Rs 399.52 lakh 1)1:r year. Scrutiny of records revealed that initially the work order for construction of I SO cyclone shchcrs grouped into 14 packages was issued 10 two agencies ranging between July _2015 wi~ February 2016. but the date was modified Inter for each package rangin~ between July 2016 and February 20 I 7 due 10 non-handing over of the sites to lhe agencies in time., resulted in delay of conuncncement of the work. Further the agencles also 'could not complete the work within the .; scheduled dote i.c. 18 months from the date of modified work order issued and again nod again time extension was allowed by the Ex. Engineer of the respective PWD offices and till date (November 2018) no package was competed in all respect and handed over to the authority. Therefore the work could not be completed within the stipulated time frame of 18 months from the issue of work order and hence. the contract of '11'QA hod to be extended twice and till dale (November 2018), the SPIU made o payment of Rs 701.94 lakh 10 the agency, Thus, due 10 delay in various phases of work led 10 twice extension of contract of TPQA which hod resulted in excess expenditure of Rs 180.87 lakh (Rs 701 .94- Rs 521.07 lakh). Had the work been started IIJld completed at the schedule date then the excess expenditure could have been avoided. The local office in reply stated thut the World Bank had approved the excess expenditure. Though it was approved but the burden of excess expenditure have lo bc.bom by the Govt of India as the fund was in the form of loan 10 Go!. 13 PART-Ill i) Follow up on findings outstanding from previous reports Pani rufod orlR No. Subjeet In brier Present POJltion 2014-15.li No Develepmem, I 201s-16 Noncompliance of Government order resulted In excess or cxpendirurc Ri.12.04 lakh towards •dvcniscmcnt ' Steps need be taken 10 set lie the outstanding paras at Ilic earliest. ii) l'e1·sistcn1 irrcgu.laritics -Nil- • PART - IV Best Practices -Nil- f>ART-V Acknowlcdgttmeol ·111c authority extended cooperation 1.0 Audit by way of submitting records/info,rmalion. ~ Sr. Audit ~fficer.(G,& SS-1/HQ) For Sr. Deputy Accountant Gcoeral (G & SS,-0 We.,t Bengal 14 . 'l • ,. • ANNEXU!!E l> ·."' ' - Can,1r (1Um1ud Acctpltd Total bnpand Tudtr C!ompldid . ' ;: SL ~•c-lugt: Sites Sita ucllon Dlurlri Ulock No. or SPIU Amo1101 llandtd Work In Drop1>cioa?fM 7 0 2 I J 8 ... jj" C 1•urbo Mid.'1.aporc- s Cc,,w. J 9 16.36 ]).51 1 2 =- 0 , 7 ' u l(J,tju,,-11 • !~ "o 0 9 Ft.mto,..,.u 7 16.52 33.38 I 2 ~ I 1 .. 0:: ,;s 2 0 0 2 • Ifa\i\JO,,Mf , IU " "C "' Npnh :N 10 J 2S.73 1?.96 0 0 3 ~ I ~ :: Pug:tnto - t M,i,.»:tun r-.i.. J 0 0 • aII 11 South :i,1 II 10 41.28 52.67 7 7 l riI Pu-g1:1n11S l\ulali I 0 01 - 0 I I 12 12 Sandall 1:h1 I I• .,; II 12 47.SJ 63.06 2 l 9 I- .:; ,. oi I ,3 ~ ft Nonh 24 13 l~np!""J 12 .13.81 68.28 J s 6 I - .= -= P~rs.:rn:i., -= H>llUb >il 2 1 •I 1 oi l•I Sandcih,tw~ . ' -. '' ~ ;;; H I 12 4,j.M SS.96 0 I • T4• "7 ,f TOTAL ISO 537.03 659.62 18 4] 103 ' •I -;._.£- . ., . ~ "· . :~~~ I;, fi7 . I• ;; • . ,r 1S • ,J, , ·~:·- ··'·· ~ _;~, , ii'~~~ . ~~{~ i.,., _!r,~}n; ~-i~-:t.~~ ~:~',,.,. :!'!Ml,~I .JJ ,_ --~J~ ..itf ...• lt~·:t . ----u..: -1_,,._ • ,./· t:i ~ f.:- . "' OFFICE OF THE PRJNCIPAL ACCOUJliTAl\'1 GENERAL (GENERAL & SOCIAL SECTOR AUDIT), WF.ST BENGAL 1, GOVT. PL.<\CE (WEST), TRF.ASURY nuf¥11NGS, KOLKATA- 700 001. SP££o~ l\lc1110 No. OA/IR/G&SS-l(AB)/C-19/2018-19/279 OS; Dalcd: 3 1 JAN 201 9 1 Inspection Report on the: accounts of the Project Directer, S1a1c Project Implementation !..'nit, !":11inn2l Cydon~ Risk MitigQtion Project (Phase 11), Government of West Bengal, I Ocr1ar1mcn1 nr l>is~srcr M:11111gcment and Civil Defence for the period from 01.04.2017 to 31.03.2018. Forwarded to the Project Direcror, State Project lmplemrntntion Unit, N:uionul Cyclone l Risk Milfl(:111011 Project (Phase fl), Depuruucnt of Disaster J\hnggcmcnt and Civil Defence, l \ CuWB, Trun Bhab:111 (S'h Floor), 87A, S.N. Banerjee Road, Kolk:1111-700 014 with the request I 1h:11 he/she should submit his/her remarks on each paragraph or part I & II of the Inspection Reports 10 the I lead of the Department within 3 (three) weeks from the date of receipt o( the report in his/her I uffice (vidc instruction issued in Govcrnmeru of West Bengal. Finance Department, Memo No. I 1406-F dared 71h April l 9J0). The replies should be submitted in Broad Shcel formal lO the Head of the Department through the higher authority in suitable number of copies to enable the Inner 10 transmit the same with hisihcr comments to this office in duplicate. Each p:iru or sub-para of the lnspccuon Report should be posted at the top of a separate sheet of foolscap paper. The di ffercnl officers dealing with it should then record their remarks seriarim • •utuching u~ many sheets us 111ny be necessary to dispose of each para. sub-para of items thereof. Al 1hr •op of c!!~!: note the designation uf the officers forwurdlng the note should be clearly recorded (vide instruction contained in S.G.F.D. No. 7101 doted 22.12.1953). ~ Sr. Audie Officer (G & SS-1/BQ) For Sr. Deputy Aecountanl General (G & SS~ \Vest Benga] 1 . --- Memo No. OA/IR/G&SS-I(AB)/C-19/2018-19/279A D11icd: _ Copy forwarded to the Principal Sccrctary/Secrdary to the Govern1;1;1ent of West Bengal, Oisu.s1er 1\1:rnagcmcnt and Civil Defence Oep211mcot, NabaDJ1a, 325, Sarai Chatterjee Road, llowrah-711 l 02 for informatlon with n request to obtain reply to each or the paragraph in Broad sheet format from the Head of the office along with the comments of bis/her superior officer, if any, nnd forward the same in duplicate with his/her comment/rcmlllks to this office for necessary action at 1h1s end. 6k Sr. Audit Officer (G & SS-UHQ) for Sr. Deputy Accountant General (G & SS-1) We.st Bengal I I 2 -1 INSPECTION REPORT ON THE ACCOUNTS OF THE PROJECT DIRECTOR, ,TTATE PROJECT lMPLEMENTATION UNIT, NATIONAL CYCLONE RISK MITIGATION PROJECT (PHASE-II), GOVERNMENT OF WEST BENGAL,DEPARl'MENT OF OISASTER MANAGEMENT AND CfVIL DErENCE FOR "rHEPERIOD FROM I' I' 01.04.2017TO31.03.2018 INDEX PAHT-1 lruroductory PART-II Audi! Findings PART-ll A • NU- PART-11 B I. Liquidated damages for delayed complenon not levied Rs 8.35 crore 2. lvlPCSs Project- o review thereof 3. Delayed completion ofMPCSs led 10 excess expenditure towards TPQA- Rs 180.87 lnkh l'ART-111 (I) Follow up on findings outstanding from previous reports (II} Persistent irregularities l'A».T - IV Best Practices l'AHT • V Acknowledgement I 3 . --i INSPECrlON Rl!:PORT ON THE ACCOUNTS OF THE PROJECT DlRECTOR, ST ATE PRO.IECT TMPLEMENTATION UNIT, NATIONAL CYCLONE RISK MITIGAT~ON PROJECT (PHASE-fij, GOVERNMENT OF WEST BENGAL,l>El'!ARJ;'MENiF OE DISASTER MANAGEMENT Al\'D ClVJL DEFENCE FORT-HE PERIOD FR0M 0J.04.2017 TO 31.03.2018 ~ --------------------------------- Par1-I Intrnductory Compliance audit on the accounts of the Project Director, Stale Project lmplcmcntation Unit. National Cyclone Risk Mitigation Project (Phase -II). Government of West· Bengal, Department of Disaster Management and Civil Defence for the period from 01.04.1710 31.03.18 was conducted locally by an Audit team of the Office of the Pr. Accountant General (G&SS Audit), West Bengal from 10.10.1810 29.10.18 and 14.l 1.18 1027.12.18 under supervision of Shri Arup Du11n. Senior Audit Officer consisting of the following members. I. Shri Santosh Kumar Chowdhury, Assistant Aud11 Officer 2. Shri Surojit Sadhukhan, Assistant Audit Officer J. Shri Gobinda Sarkar, Sr. Ar. 4. Shri Konchan Debnath, Sr. Ar. The main function of the unit is to address cyclone risks in the state of West Bengal and to reduce vulnerability to cyclone and other hydro-mc1rological hazards of coastal communities in the State tluough preparing Cyclone Risk Mitigation 111.frastructurc and Early Warning Dissemination Systcm(E\VDS) so as to increase the capacity of the S1a1c to elJcctively plan for and respond to disasters. TI1c fund was sub-allotted by the SPIU to the seven PWD Divisions {3 in South 24 Pgs, 2 in Nonh 24 Pgs and 2 in Purba Medinipur) for construction of Multi-purpose Cyclone Centres and the audit team visited all the Divisions. All the receipts and payments for the year 2017-18 hove been checked in detail in the current audit, The auditce unit incurred an -expenditure of Rs. 19916.94 lakh against Jotnj receipt of Rs. 20166.28 lakh during the year 2017-18. Shri S. Surcsh Kumar, fAS held the cbarg~ of Project Director and th~ Pp.l},cienl Secretary and Srnt. Kakali Das, Finance Officer held the charge of the -ODO from 0L04. q 10 08.1 I. l7 and 4 - . '"\ Sri Sunjib Barua, Finance Officer held the charge from 09.l l.11J•to 31.0·3:1~-dwing,lJ1e.pcriod covered under audit. Hicrarchyr- The authority is functioning under the.jurisdiction of Disaster Management and Civil Defence Department, west Bengal. Budgct:·According Lo projected demand the audltec unit rccci.vcd "'{oflcj. Bank assisted fund through Central Government and matching share from the West Bengal Government, · Scope of audlt.- Audit was conducted 10 verify whether the unit Office functioned in accordance with the Project Guidelines of the World Bank. Audit M211d2tc:-Audi1 was conducted as per the Mandate of CAG's DPC Act. 1971 and Accounts nnd Audit Regulation 2007. Entry conference: On laking up of the audit, entry conference was held on 10.10.2018 between Ilic audit learn and the Project Director, Stale Project Implementation Unit, Notional Cyclone Risk Mirigntion Project (Phasc-Il), Govt of West Bengal. Depanmem of Disaster Management wherein uudit objective, criteria and timeliness of audit was discussed. Audi tee unit assured extending full co-opermion lo audit. Exit conference: On completion of the audit. an exit conference was held on 27.12.2018 between the audit team and the Project Director. SPJU, NCRMP-11, Govt of west Bengal, Disaster Management Departmeru wherein the ob,crvution/lindin!!S poirucd out during current audit and present s10111s of outstanding parugraphs of previous Inspection Rcpons were discussed. s PART-II Audit Findings PART-U A - Nil - PART-IT B I. Liquidated damages for delayed completion not levied Rs.8.35 erore Wi1h u view 10 addressing cyclone risks in West Bengal(\VB), construction of 150 of Multipurpose Cyclone Shelters (Grouped into 14 packages) under Na\ional Cyclone Risk Mitigation Project (NCRMP) scheme was rakcn up with World Bank aided fund (75%) and Stale \.fP-11, \VB Fund (25%) by lite Project Director, S101e Project lrnplcmcntaticn Unit (SPIU), NCRi und the work was executed by various PWD divisions worked under Directorate of Disaster Management. State Project hnplcrneuteucn Unit, NCRMP - II. There were 14 packages consisting of several cyclone shelters in various blocks of North 24 Pgs .. South 24 Pgs, and Tamluk Divisions The total 14 packages were awarded to two agencies, 1.1:. Mis Bridge and Roof Co. (India) Ltd.(Packagc 1-10) and Mis Bill Infratech Ltd(Package 11-14) for construction of I 50 cyclone shelters at n project cost of Rs. 659.68 crore and payment of Rs, ~ 11. 77 crore was made till March 2018. The individual work order for commencement of work of each packuge was given to two agencies as per contract ngrecmcnt and they started the work for cyclone shelters on various dates. !\s per the Contract, the work was 10 be completed within IS months from the date of issue of notice with the following milestones us tabled below»- Milestone (for cnrh Physical work., to he eom11lcred puckugc) Period from lhe d1tte or issue or notice to proceed with the work Milestone I (40"/4) Structural fmmcwork upro the roor level of Nine months- the buildings I Mitcsrn11c 2 (70¾) Completion of all balance civil works of nll Four months the buitcling.s Milestone 3 ( 100¼) Completion of all rem•ining works Fiv~ months Tornt 18 (Elghtun, months) However. it was noticed in audit that the agencies could not start the work 'in-the scheduled date in various sites due 10 various problems like: non-handing over of'lan.~, by (!1c authority, local problems, etc. The Disaster Management Dcpanmcni,decided that since the. ngr,eemc.or was m.ad~ Packagc-wlse and each package consisted of several MPCS sites located at diffcren; places, the last starting date among the all MP CS sites within a package would be considered as the starti ng date of that particular package and accordingly, amended the date of commencement of work of each Package. Scrutiny of records revealed that after modifying the commencement date the work of all packages should have been completed within August 20J 8. But the agencies (ailed to complete the work within the scheduled time frame and sought for extension of time and were sulise'lucmly sanctioned by the executive engineer of the respective division. Further it was.found io a__µdit that though the extension of rime was allowed but some Executive Engineers (North :t4 Pgs(SS) Div, T:unluk Div and Tamluk SS Div), were not satisfied with the reasons mentioned by the contractors ' . . for granting extension of time. However, the authority had sanctioned time, extension to the agencies but not imposed liquidated damages applying the penally clauses as envisaged in the Contract Agreement, ibid. i.e. Rs. 15000 and Rs. 11000 per day in milestone (stages) I and 2 respectively and the maximum amount of liquidated damages for the whole works is IO ~r cent of final comract price. Out of 14 packages 13 packages have gol extension for several months and as per contract agreement Iiquidatcd dnmagi!S have been calculated in the table. For package 11, in South 24 Pgs. district the extension was given for six months as a whole and not Milcslone wise and hence the liquidated damages could not be ascertained. The details of package wise extension-along with non-imposition of liquidated damages 10 agencies arc tabled below; 7 ~1 I Aenc:ndouru SI •mGunl nf ~, o. Olurlct/block \\'orL Ordtr at of \\1orl.. Order Ml Ml Ml Ml -- Ml M2 (lu. lo ilkhl I and l rup,<11,·dyl Ml Ml llquldu,d dam,cu (Rsl I Soulh 24 l'gs/ 06.08 15 0.1,11,16 Augw~ 17 D«. 17 Jon. 18 M•y.18 5 5 '619.53 22.S0.000 16.$0,000 3900000 Basono 2 S 24 P,cs/S>g,u 27,07 15 29.07.16 April. 17 I ,..,..... 11 Mmh.18 July. 18 II II lJH.18 <9.50.000 )6,30.000 8S3000 0 J S 2·1 Pr,11:olcd"iP 27.07.15 21.11 16 Aug..... 17 Dre .. 17 M•)', IS Sep, 18 9 9 2<52.•• 40.50,000 29,70,000 7020000 4 S 14 Pu/Nomkh1n, 17.07,15 22 07.16 April, 17 Aug,111. 17 A1>1il, I~ Ausu,,. ti 12 Jll).90 54.00.000 39.60.000 9J6000. 18 June, 18 0<1. 18 g 8 1629.19 J6.00,000 26.40,000 6140000 P.,llwpnti;m 6 s 24 ras 27.07 15 29.06 16 March. 17 July. 17 Ap,11. 18 Auguu. 13 IJ lJI0.79 SS..S0.000 42.90,000 IOln. 18 Feb. 18 D<<, IB s II 2179.81 22.50.000 36.30,000 ssaoooo Khduri-11, R1mn11ga,.. lf 10 N H Pp'lliunab1d. 07,0'J.IS 29.08.IG May, 17 ScpL, 17 l.n.. 18 May, 18 a 8 1220.95 36.00.000 26,<0,000 6l-. one set, ft; of;des.ign, for lo, .. ~ ') # ~ ·t J • MPCS and the shape .is rectangular. However, square or rectangular- ,rriay.- be·,'!5~~ fro,vjdcd,il)ie peripheral corners arc rounded for improving the aerodynamics of.the structur~. ~ • 11 . '"' Though in reply it. is stated that suucrure of MPCS was vetted by- \\l,orld 'Bank but the gurdetines ot'NMDA were not followed. Guidelines of NCRMP provided for monitoring of implementation of the ,p.rojcct by State Project Steering Corruniuec (SPSC). The SPSC was headed by the Chief Secretary of the State who had to review the implementation ofNCRMP-U as frequently as required. SPSC had-conducred one meeting on August 2015 a11J1e initial stage of implememation of the project. Thereafter no review ~ per records made available lo audit. In absence of review meeting was held till November 2018 a. of'the project by SPSC, the implerncnuuion of the project at apex level had not been monitored. Titus, due 10 delayed handing over of the sites and non-completion of the work by the ., • l,..l • agencies within the scheduled time frame even after extension ofumc resulted in,dcprivotion of the beneficiaries of the project. 3. Delayed cnmplerien or MPCSs led to excess e:giendiiure towards TPQ,\- Rs l 80.87 lakh The Govt of Indio initiated a project financed by World Bank called the 'National Cyclone Risk Mitigation Project' (NCRMP-11) along with the Stale Govt of West Bengal for protection of life and livelihood of coastal communities, conservation of ecological resources in the coastal and marine area of South 24 Parganas, Nonh 24 Parganas and f!urba Medinipore. Department of Disaster Management (DM~, Govt of \VB was entrusted with the work of construction, operation and maintenance of the Multi-Purpose Cyclone Shelters (MPCS) which would cater the need especially the disadvantaged sections of the population by minimising the loss oflives, property and livestock by providing shelter during cyclone calamity. For implementing the project, a State Project lrnplcmcruaucn Unit (SPTU) has been sci up and the Pr Secretary, Department of Disaster Management heads the SIPU as Project Director. A separate technical wing was opened in the SIPU, headed by n Chief Engineer. PWD, who would co-ordinate and monitor the implementation of the project by the Public Works Deportment for ensuring timely completion of the construction work of MPCS 81 the desired quality level. To maintain the quality standard of works nn agency, Arkitcchno Co!),sultants. (Indio) Pvt Ltd was appointed as 'Third Porty Quality Auditor' (TPQA) by the Disaster Mnnngem~nt Department for independent usscssment/audlt of quality of works at various stages of construction such as i) Prc-construcuon stage ii) construction stage iii) commissioning, trial .run 'and (Csting- ' .: . stage. The contract was entered into for an amount of.Rs 52,1.07 !~1 in,Fcbru_ary_2016,.f~JPC~~d ,. ... ':J of 18 months. TI1c consultants would submit the inspection reports relatc;d to shQrtfalJ/ uality ,ll 6 I 0 6 ~ 11.\mA,"',I s ~:- 2 2 I•' J ... :; 7 36,9] 4662 ~ ,I ' ":l.l;W MI f). 0 l 3 -;;- "1 'ii l'llrbA s M1dri11r,orc s COflUIJ• I 9 26.36 33.SI I 2 7 o'I ,-- 6 ~hcJun· 11 7 I 2 s o; ~ 'o 0 9 26..52 JJ.38 - " ,a • Ramnag.u•tl 2 0 0 2 olI ... eo t: "'onh 2•1 H•vubod J 0 0 J 0 10 10 ZS. 73 "' ::; , f'upnl4.> Ml~ 4 29.96 - ,....i.. 10 0 0 4 0 South Z4 52.67 7 7 J 0 II II 42.28 Pusaniu: .. - 12 ,. Kul:all S>ndnll>ld 2 I I I 01 :ii Sm4:lhth>JI. 14 14 s .,. I 1l 44.M H,96 0 ·4 7 I I . TOTAL 150 537.0) 659.6? 18 4J 103 4 . ,}' ~~~~f~;; . :}~f, 1 . ,;;> 1S : ,:; ~1-~~-~-;, •i~ . .11!" . , - ~.l ;;,,\Pl ii~ 3 ;· . f1 : - ,-~:t'~f 4' .do, ~·ii~'·'[:'" t,~ hnps://mn il.gov.in/iwc_s1a1ic/13yout/shc 11.htm l?lnng=cn · 3.0.1.2 .... ';) Subfect Extarnal Audit Roport 2017,18 To Asnol< kumor sar~ar Cc Gltoosh Kumnr , PE Nanayanan Dato: OJ/14/19 06:37 PM From· SanlCSh 1<1Jmor NCRMP-11 E.<1emol Au