The Comptroller and Auditor General (CAG) has pulled up the Apparel Export Promotion Council (AEPC) for the tendering process adopted for leasing of a furnished office accommodation. CAG says the process was ‘flawed’ as it extended undue benefits to a private party, leading to a revenue loss of Rs 17.42 crores. The AEPC published advertisements (August/September 2007) in newspapers for leasing of furnished office premises measuring 23,382 sq. ft. at Bhikaji Cama Place, New Delhi.

Three bidders were short-listed and called for negotiation. The CAG said though Teesta Urja did not participate in the tendering process, their bid was considered one week after opening of bids. Meanwhile, E-Square International did not turn up for negotiations and IPM sought one day to give its best offer on September but finally they also did not turn up. CAG said it is clear the tendering process for leasing of furnished office accommodation was flawed as AEPC failed to maintain the sanctity of the process.