Multi-million rupee fraud in GAIL says RSP leader Abani Roy

New Delhi, July 26 (UNI) Revolutionary Socialist Party (RSP) leader and Rajya Sabha member Abani Roy today urged Prime Minister Manmohan Singh to look into the alleged misappropriation of funds worth billions of rupees in the public sector Gas Authority of India Limited (GAIL) and asked for a CBI probe into the affair.

In a letter to the Prime Minister, Mr Roy said the UPA government must order a judicial probe and a CBI investigation into the misappropriation which involved GAIL's HBJ Pipe Line Upgrading work.

''In order to ensure faie and transparent enquiry, (GAIL) Chairman and Managing Director P Bannerjee should be immediately removed so that he may not influence the probe. The government must also dissolve the Board of Directors of GAIL,'' he said in the letter.

The letter stated that the CAG Audit officer allegedly unearthed a misappropriation of Rs 300 crore in the purchase of pipelines in the 610 Km long Dehaj-Vijaipur Gas Pipeline project alone.

''It has been reported that the GAIL did not sell 20,000 tonnes polymer and chemical waste in order to benefit an influential polymer producer in 2004-05''.

On the other hand 20,000 tonnes polymer valned at Rs 10,000 crore remained stocked in GAIL petrochemcial factory, Mr Roy said.

Mr Roy also quoted from the memorandum of the GAIL Officers Association (GAO) to drive home the point of fund misuse.

GAIL was also involved in purchase of pipes at high prices in violation of terms and conditions of the tender.

According to the GAO, the Petroleum Ministry also sent a letter to GAIL objecting to the increase of 71 per cent in price of pipelines.

Also the Vizag-Secunderabad LPG pipeline was assesses at rs 36 crore by Engineers India Limited.

''Surprisngly, a tender was given tender for Rs 59.23 crore which was denied by GAIL,'' the letter to the PM pointed out.

UNI/RT CS PC1621