Mohammed Ali to remove a total of 146.47 metric tonnes (MT) of scrap, valued at ₹21,41,684 at an arbitrary price of ₹1.5 lakh. The CBI maintained that the yard had decided last year to dispose of 1,000 MT of ship repair steel scrap from its quay-1 by e-auction through MSTC, Bangalore. The yard’s reserve price fixing committee had fixed the reserve price of the scrap at ₹18,500 per MT and a subject-to-approval price of ₹17,575 per MT. The CBI alleged that following a conspiracy with Mr. Ali, Mr. Ajith Kumar allowed removal of scrap from the yard without payment of advance as per the laid out schedule. The CBI maintained that Mr. Ajith Kumar showed undue haste in favouring the agency removing the mixed material and the contract was awarded to the agency arbitrarily for ₹1.5 lakh.

Source: The Hindu October 06, 2017 13:30 UTC