Corruption in India (TI’s Global Corruption Barometer survey-2010)

1. About 54% Indians paid a bribe in the past year. Extent of corruption in India is at levels comparable with Cambodia, Nigeria, Afghanistan, Senegal, Uganda and Liberia.

2. India is the ninth most corrupt country in the world, in a ranking of 86 countries, with 54% of people reporting having paid a bribe. War-torn Iraq (56%) and Afghanistan (61%) suffer worse levels than India, as do nations such as Liberia (89%), Uganda (86%), Nigeria (63%), Sierra Leone (71%), Senegal (56%) and Cambodia (84%).

3. The world average is 25%, while the Asia Pacific average is 11%. The European Union enjoys an average of 5%, as does North America (Canada is marginally less corrupt than the United States), while Latin America and North Africa reported an average of 36%. Sub Saharan Africa has an average of 56%, compared with India’s 54%.

4. ndians perceived political parties to be the most corrupt, ranking them 4.2 on a scale of one to five. Political parties are followed by Police (4.1), Parliament/legislature (4) and civil servants (3.5). Private sector, NGOs and judiciary are all seen to be similarly corrupt (3.1), with the media enjoying a marginally better rating at 3. Military (2.8) and religious bodies (2.9) enjoy better public confidence.

5. Seventy-four percent Indians believed that levels of corruption has increased during the last three years, compared with a world average of 56% and Asia-Pacific average of 47%.



Corruption in India (TI 2010 report)

1. India this year is ranked at 87 among 178 countries, down three spots from 84 in 2009.

2. Marginal decline in India's integrity score to 3.3 in 2010 from 3.5 in 2007 and 3.4 in 2008 and 2009 on a scale from zero (perceived to be the highly corrupt) to 10 (low levels of corruption).

3. Somalia is considered the world’s most corrupt country with a score of 1.1 followed by Myanmar and Afghanistan, while Denmark, New Zealand and Singapore are perceived to be the least corrupt with scores of 9.3.

4. China is at the 78th position, indicating it is less corrupt than India. While Pakistan is shown as just a notch worse off than India, the US ranks fairly high at 22nd and is perceived to have relatively low levels of corruption. In Asia, Bhutan is perceived to be the least corrupt country.

5. India’s ranking has consistently dipped since 2006 when it was ranked 70 among 163 countries.


Corruption in India (TI 2009 report)

1) Global Corruption Perception Index: India has been ranked 84th in the list of 180 countries in terms of public-sector corruption, which is perceived to be highly corrupt.

2)India's integrity score this year is 3.4, same as for the year 2008.With the exception of Bhutan, which has a score of 5.0, India with 3.4 is still at the top of all the South Asian countries. Nearly half out of 180 countries have scored three or even lower points; a clear indication that corruption is perceived to be rampant. Haiti, Iraq, Myanmar and Somalia have recorded the lowest score of less than 1.5.


Most corrupt in India (TI-2009 report):
1.Political Parties
2.Public officials/Civil Servants
3.Parliament/ Legislature
4.Business/Private Sector


1. Bribe paid by BPL families in Jharkhand in 2008 was around Rs 16 crore.

2. The finding shows that corruption was highest in basic services which are free for BPL families like health, school education and water supply.

3. Corruption is also rampant in police department and schemes under NREGA, land record and banking.




Respected Madam / Sir
Subject : Tenders for Construction of Underground Water Supply Tunnel From Gundawali to Bhandup Complex.
The Municipal Commissioner ,Municipal Corporation of Greater Mumbai , Mahapalika Marg, Fort, Mumbai – 400001

I take reference to afore subject tenders invited by MCGM. I have come to know there has been no competition involved in this tender due to the typically monopolistic qualification norms put in Gundavali Tunnel

1. The Gundavali to Bhandup Tunnel is a part of Prestigious ”Middle
Vaitarna” Project to bring 455 MLD water into the Mumbai city.

2. The Tunnel starts from outskirts of Thane City and ends at Bhandup Complex (in Mumbai). (Outside City Limits)

3. The Diameter of the Tunnel is 6.25 mtr and is to be drilled around 120 mtr below ground level using specialized Tunnel Boring Machines.

4. This is a highly specialized work involving extreme engineering. In India only limited companies such as Patel Engr, HCC, Gammon, Dwvidag, Soma etc have experience of these kind of projects involving Shaft and Tunnel Boring Machines.

5. The Total Length of this Tunnel is around 15 Kms. MCGM had floated this tender in two packages of 8.8 Kms & 6.5 Kms each for a estimated cost of Rs 750 Cr & Rs 670 Cr. Respectively.

6. The combined estimated cost of this project is around 1200 Cr.

7. MCGM in the past has already successful executed similar tunneling projects which involved companies like HCC, Patel Gammon, Pratibha.

8. All the earlier tenders were floated on “International Competitive Bidding (ICB)” concept in which a platform was created for number of International players to either associate with Indian Companies or Bid directly.

9. Since such large diameter have never been bored in India(max dia bored in India is 4 Mtr), hence the consultants (M/s Motts) had earlier proposed
a “Tri-partite JV” which involved the bidder to bring atleast one International Tunneling company who had experience of carrying out similar diameter work. Reasons being….

a. The Cost of the TBM is very high (close to 100 Cr). Hence it was preferred that the company should have the machine in procession. Such machines are available with European and Japanese companies.

b. Volume of Escavation, Concreting etc is very high, hence
infrastructural built up required is huge.

10. Currently, certain vested interest have once again interfered with the standards norms set by MCGM.

11. The new set of proposed qualification in the tender allowed only Indian companies to form JV and bid. In this JV, the lead partner is expected to be once again fulfill all qualifying criteria and is expected to be a tunneling company while the role of support partner is not defined at all. The support partner can be any “Indian Construction Company”.

12. This JV can form a MOU with a International Company who has done similar projects but in URBAN Environment. It is clarified that a project which is being executed 100 Mtr below ground has no relevance of Urban or any other condition.

13. In short, the qualification are formulated to trade off the projects to subcontractors. Current Status post receipt of Bids
Inspite of repeated requests from the bidders (approx 18 Tenders were sold), the department refused to re-consider the stringent criteria. Repeated plea from the bidders that why was the department stressing on the condition of the work having been done in urban environment when the work of Tunneling was to carried out about 100 mtr below ground and that to almost outside city limits.

This resulted in only receipt of Two bids in favor of a. M/s Unity-IVRCL JV and M/s Soma. Both these companies have no previous experience in TBM based tunneling and have intended to qualify based on qualifications of the associated specialized agency (Common party viz – Shanghai Tunneling Corporation has been proposed by both)

These bids received are almost 65% above the department estimate
Sr. noPackage NoEstimated CostQuote received (Lowest Bidder)
1Package 1750 Cr1078 Cr
2Package 2680 Cr950 Cr
1430 Cr2028 Cr
(Excess – 600 Cr over and above dept estimate)

As per the tender condition, each bidder shall receive only a maximum of one package. As a result, both these bidders are assured of one package each.

There were only two bidders in this tender who are inexperienced to carry out tunneling with TBM have been qualified with a backup support from the same Chinese company who was meeting the technical criteria for tunnel boring activities and joined hands together to drain the Corporation revenue by quoting nearly double the estimated cost. This is a clear case of misuse of powers by certain officials of MCGM in framing the qualification criteria with malafide intentions with vested interests.
Besides, MCGM is risking its own people and the labors at large to any malfunction in the performance of such high-tech underground project at the hands of such inexperienced contractors.
I request your immediate intervention in the matter and ensure that any further process on this tender is cancelled and the bids are re-invited with competitive qualification criteria so that experienced construction companies can actively participate.