Hyderabad: Anti-Corruption Bureau (ACB) has registered a case against former officials of Regional Centre for Urban and Environmental Studies (RCUES), Osmania University campus, for awarding contracts to non-existent firms, resulting in a loss of 1.4 crore to the institute. RCUES, a premier institution in research and training in the field of urban, housing and environmental studies, is sponsored by the Union ministry of housing and urban affairs.
The accused named in the case include former director Y Pardhasaradhi, office superintendent V Gangaiah, members of the purchase committee; Dr M Rama Rao, former programme coordinator; contractors associated with RCUES and other employees of the centre. ACB acted based on a complaint filed by research scholars, who turned whistle-blowers. After completing a regular inquiry, ACB secured permission from the competent authority under Section 17A of the Prevention of Corruption Act to register the case.
Violation of Procedures, Loss to Exchequer
Investigators, along with engineering staff from Osmania University and the ACB’s engineering wing, found that RCUES had bypassed established norms by executing works based on the governing council resolutions instead of following the procedures outlined in the MoU with the ministry of urban affairs and employment. RCUES, lacking its own engineering wing, failed to involve the OU building division, R&B department, or CPWD for work execution, violating mandatory protocols.
The works were split into 97 sub-works and assigned on a quotation basis, circumventing e-procurement and violating the PWD D-code. Many quotations submitted were found to be fake or from non-existent firms. Letterheads of legitimate firms were also allegedly forged to produce fraudulent quotations. The purchase committee, chaired by Y Pardhasaradhi, approved fake quotations and awarded contracts worth 18.82 lakh to contractor Mahesh Narayana, despite discrepancies.
Private Firm Benefited Using RCUES Infrastructure
Dr M Rama Rao, who served as programme coordinator between 2010 and 2021, has been accused of misusing RCUES infrastructure to benefit his private firm, Skyline Archon (Hyd) Pvt Ltd. He allegedly submitted inflated project proposals and used RCUES assets for private work, causing a loss of 1.45 crore. Project files showed evidence of unauthorised use of institutional resources and data by his associates.
ACB noted that devices issued to Rama Rao’s team during their tenure were not returned, even after multiple reminders.