MMRDA revokes bids for Metro Line 6 project due to compliance issues

In a recent development, the Mumbai Metropolitan Region Development Authority (MMRDA) has decided to cancel the bids related to the Metro Line 6 project, spanning from Swami Samarth Nagar to Kanjur Marg. This action primarily concerns the procurement of rolling stock and fire safety equipment tenders and has been attributed to the non-compliance with mandatory guidelines set forth by the Central Vigilance Commission (CVC).
A senior official, speaking on the condition of anonymity, confirmed this decision. The MMRDA, however, assures that the cancellation of these bids will not hinder the progress of the Metro Line 6 project, as new tenders will be promptly floated within the next 10 days, complete with standard conditions and policies.
This development has led to questions regarding the efficiency of MMRDA’s internal departments. The MMRDA had previously engaged a consultant for overseeing the tendering process for the Mumbai Metro Line 6 project, with an estimated cost of ₹6,700 crore. The tenders for rolling stock and other technical systems were issued a few months ago. Subsequently, MMRDA officials identified discrepancies in the tender documents, prompting a top MMRDA official to conduct a comprehensive review of the contracts. During this review, it became evident that the standard procedures had not been followed, and there was no provision for evaluating the process, which is essential for assigning accountability to the supplier for system warranties and any necessary repairs.
Following this discovery, MMRDA initiated an internal inquiry to examine the roles of the officers involved in the tendering process alongside the consultant. The outcome of this inquiry led to the ultimate cancellation of the tenders.
An anonymous MMRDA official explained, “The documents submitted revealed a failure to adhere to CVC guidelines and international procurement standards. Critical clauses concerning value engineering, asset replacement, and whole-life cost assessment were missing. Moreover, fundamental aspects of contract management, including document priority, maintenance, safety, and payment terms, required corrections. Notably, the absence of the commissioner of metro railway safety’s (CMRS) observation and corrective measures raised concerns. MMRDA is actively rectifying these shortcomings and establishing a policy to enhance transparency and clarity within the procurement process. Show-cause notices have been issued to the consultants and the officers responsible for this lapse.”