The 1.3-kilometre stretch redeveloped, inaugurated in 2021 by former Chief Minister Arvind Kejriwal, noticed its undertaking value swell from an preliminary estimate of Rs 65.6 crore to Rs 145 crore.
In response to paperwork reviewed by officers, the preliminary value for civil and electrical works — estimated at Rs 27.79 crore — escalated almost fourfold to Rs 105.93 crore.
“As per established norms, revised sanction have to be obtained when undertaking prices exceed permitted limits. However PWD continued spending past the sanctioned Rs 99.68 crore with out acquiring the obligatory revised approval,” officers stated.
To keep away from cupboard scrutiny, PWD is alleged to have submitted solely an extra preliminary estimate of Rs 40 crore, somewhat than a revised estimate of Rs 145 crore as required for initiatives exceeding Rs 100 crore, added.
As per the PWD's inner report, “it has additionally been discovered that the undertaking was executed by way of the identical contractor with out issuing contemporary tenders, a direct violation of procurement norms”. The report additional reveals that over Rs 70 crore — of the overall Rs 145.72 crore spent — was used for additional objects and deviations not a part of the unique scope. In whole, irregularities regarding deviations and unapproved expenditures amounted to greater than Rs 370 crore throughout varied parts of the undertaking. One other important violation concerned the diversion of Rs 30 crore from the PWD upkeep head to the Shahjahanabad Redevelopment Company (SRDC) with out obligatory concurrence from the finance division.
“Then engineer-in-chief straight submitted the file to the minister-in-charge, bypassing each the secretary in cost and the finance division — a severe breach of guidelines and laws,” an official stated.
These lapses level to deep-rooted deficiencies in planning, estimation, and monetary management.The undertaking is being described by officers as a case examine in fiscal mismanagement.
“The Chandni Chowk Redevelopment Venture stands as a textbook case of how public cash might be mishandled when guidelines are bent and procedures bypassed. In 2019, underneath the then Minister-in-Cost, prices spiralled, tenders have been ignored, and crores have been diverted — all with out obligatory approvals. Delhi deserves higher,” PWD minister Parvesh Verma stated.
“Below my watch, PWD won't be a playground for irregularities however a fortress of transparency and accountability, the place each paisa serves the individuals — not private pursuits,” Verma added.
Responding to the allegations, AAP stated in assertion, “The individuals of Delhi know very effectively that for the final 10 years, vigilance and the ACB have been underneath the BJP's LG, and it was the LG's responsibility to make sure that corrupt officers have been punished. It was the BJP's LG who was appointing officers to numerous positions. Opening enquiries into previous instances solely exhibits the incompetence of their LG.”