Cement bought at higher price than MRP
TURA: The Federation of Khasi-Jaintia and Garo People (FKJGP) and the Garo Students’ Union (GSU) have found irregularities in MGNREGS projects in east Garo Hills.
The groups said price of cement meant for MGNREGS projects in Rongjeng Development Block of the district was approved at a higher rate than the MRP on the pretext of VAT.
FKJGP and GSU acted after receiving complaints from rural job card holders and went through work orders of different projects where they found that the prices of Virgo and Topcem cement brands have been approved at Rs 450 and Rs 480a bag, respectively, when the market rate was Rs 390 and Rs 400, respectively.
On further inquiry from the retailer, it was found that Virgo and Topcem brands are sold to VECs/AECs at the actual market rates of Rs 390 and Rs 400 and that the outstanding amount neither goes to the retailer or AECs/VECs.
The groups have questioned why this unaccounted amount has been deducted and where the money goes to.
When asked about VAT, the NGOs pointed out that the same would have already been paid by the retailer to the company manufacturing agent at the time of the purchase of goods.
“How many times can VAT be levied on the commodities? The price of cement at the market rate is inclusive of all taxes with the MRP )already printed on the product. There is no question of extra VAT on such commodities,” the groups said.
They pointed out that that the deduction from the fund sanctioned by the Government for development of backward areas has led to a huge loss as well as affected the quality of work.
FKJGP and GSU, in their letter to the Deputy Commissioner, have urged the official to take serious note of the matter and initiate appropriate action against errant officials.