ED to scan contract given to foreign firm

The contracts awarded to a foreign firm by the organising committee of the Commonwealth Games 2010, led by Suresh Kalmadi, for the opening and closing ceremonies of the Games are now under the scanner of the Enforcement Directorate.

According to sources, several contracts, awarded by the organising committee involving foreign contractors will now be probed by the ED.
Apart from probing international monetary transactions pertaining to the contracts awarded to a London-based firm for the Queen’s baton relay, the ED has also decided to investigate the contract awarded to an Australian firm for the opening and closing ceremony worth several crores of rupees, sources said.
“The ED has decided to collect all the papers related to the correspondence between the Australian firm, which has got the contract for the opening and closing ceremony, and the organising committee. Besides, investigating officials will also scrutinise the contract agreement signed between the organising committee and the Australian firm,” sources said.
There are reports that certain clauses were allegedly included later in the contract agreement on the basis of the preference of the foreign firm, sources said, adding that financial transaction will also be scrutinised by the ED, if it has taken place. The email accounts of certain members of the organising committee are also under the scanner of the ED, sources added.
Sources further said that certain guidelines had also been violated by both members of the organising committee as well as representatives of the foreign firm while signing the contract, sources said.
The alleged violations were in connection with the laser show and fire works, sources said.
“The opening ceremony will begin with aerial fireworks. This will culminate in a 30-second display. There will be up to eight segments of fireworks during the performance at the opening ceremony. Besides, there will be a five-minute display above and around stadium at the end of the opening ceremony. For the closing ceremony, a similar display is being planned,” sources said. The investigating officials will scrutinise the documents to ascertain which segments were deleted and which were included later in the contract. Also, their financial implications would be looked into, sources said.
Sources further said, “The fireworks will be triggered by a time code. The firm will start installing the rigging and firing points from September 13. There will be two full dress rehearsals on September 29 and October 1 before the actual events”.

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