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CAG's CWG Audit Report - Chapter - 10 (2011)

CAG's CWG Audit Report - Chapter - 10 (2011)

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Published by The Canary Trap
The Comptroller and Auditor General's (CAG) report on the 2010 Commonwealth Games has indicted the Prime Minister's Office (PMO) for the appointment of Suresh Kalmadi as the Organising Committee Chief. The report also indicts Delhi chief minister Sheila Dikshit for irregularities in the preparation of the Games.
The Comptroller and Auditor General's (CAG) report on the 2010 Commonwealth Games has indicted the Prime Minister's Office (PMO) for the appointment of Suresh Kalmadi as the Organising Committee Chief. The report also indicts Delhi chief minister Sheila Dikshit for irregularities in the preparation of the Games.

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Published by: The Canary Trap on Aug 05, 2011
Copyright:Public Domain

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10/30/2013

 
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Ceremonies
ThemainceremonialeventsofCWG-2010weretheQueen'sBatonRelay(containingamessageofQueenElizabeth-/I)whichwastobecarriedthroughtheCommonwealthcountriesanddifferentpartsofIndialandtheopeningandclosingceremonieswhichweretobesignatureeventsshowcasingIndiancultureandheritage.Wenotethattheceremonieswerewidelyappreciated;inparticulartheopeningceremonywasaspectacularsuccess.OtherceremonialeventsincludedtheDelhicapsuleatthepreviousCWG
I
andtheceremoniesatCYG-2008
1
Pune.WefoundsignificantirregularitiesintheappointmentofbothMaxxamInternationalastheconsultantforQBRandJackMortonWorldwide(JMW)astheeventmanagementagencyfortheQBRLaunchCeremonyinLondonon
29
October2009.Further,thescopeofworkforJMWwasinexplicablyreducedinOctober2009(withanincreaseincost],andthe
OC
madehighlysuspectpaymentsof
£
386
1
237totwolittleknownentities-AMFilmsUKLtdandAMCarandVanHireLtd-fordiverseandunconnectedservicesfortheQBRLaunchceremony.Theassignmentofworkandpaymentsthereforewerehighlyquestionable;associatedapprovalsandclearanceswereobtainedandpaymentsmadewithuncommonhaste,andlargeamountswerealsopaidincash,perhapstoavoidleavingatransactiontrail.TheroleofShri
TS
DarbariandShriSanjayMahindroolwhowereunrelatedtoOC'sCeremonyFunctionalArealintheQBRLaunchCeremonyisalsoquestionable.Wefoundthatplanningfortheopeningandclosingceremonieswasinordinatelydelayed.Further,amultiplicityofagencieswereengaged-ShriBharatBalaasCreativeDirector/CreativeConsultant
I
SpectakProductions(Mr.RicBirch)asInternationalConsultant,WizcraftastheEventManagementFirmand
17
otherconsultants.Therewasconsiderableoverlapbetweentherolesandresponsibilitiesofthesemultipleagencies.Further,theeventagencychargesofRs.16.09crorepaidtoWizcraft(inadditiontoafixedceremoniesmanagementfeeofRs.5.40crore)are,inouropinionnotjustified.WealsofoundthatSpectakProductionsandWizcrafthadtiedupwithotherexpertswellinadvanceoftheawardofthecontracts.Theengagementoftheadditionalconsultants(atacostofatleastRs.
6.12
crore)bythe
OC
amountedtoaclearfinancialbenefittoWizcraft.Therewerealsomajorirregularitiesinprocurementofaccessories/specialitems.Theconsultantforthebandstand,Mr.MarkFishe~gothisfullfeeofUS$514
1
000
1
eventhoughtheideaofthebandstandwasabandoned.Mr.Fisherthenpresentedadesignforanaerostat,whichwasaccepted;thefactthatSpectakProductionsandtheaerostatvendor
PerformanceAuditReportonXIXCommonwealthGames(CWG-2010)
155
 
Chapter10-Ceremonies
werepartofthesamegroupwasconcealed.Therewerealsoseriousirregularitiesinthetechnicalevaluationandawardofthelightin
s/
searchlightcontract,aswellastheawardofthecontractforvideocontent.ContractsforRs.
16.49
croreforartdirectionandpropsfortheopeningandclosingceremonieswereirregularlyawardedtoBlueLotusProductions,evenwithouthavinganapprovedlistofpropsactuallyrequired.Hugequantitiesofpropsremainedunutilised.Somepropswerenotevenreceived.Manyofthesepropswereexorbitantlypriced.DCwentinformultipleformsofgroundprotection(groundprotectiontiles,groundcloth,andgrassturfreplacement)atacostofRs.
17.84
crorefortheopeningandclosingceremonies,which,inouropinion,wasnotadequatelyjustified.Thereweremajortenderingirregularities;thequantitiesrequiredwerefixedandreducedarbitrarily
I
andlargequantitiesofgroundprotectiontilesandgroundclothremainedunutilised.
156
PerformanceAuditReportonXIXCommonwealthGames(CWG-2010)
 
10.1Overview
ThemainceremonialeventsforCWG-2010were:A"capsule"attheClosingCeremonyofMelbourneCWG-2006,showcasingthenextGames;TheopeningandclosingceremoniesoftheCommonwealthYouthGames-2008(CYG-2008),Pune,whichwasasub-eventofCWG-2010;TheQueen'sBatonRelay(QBR)-Thiswastheceremonialcarryingofthebaton(containingamessagefromtheHeadoftheCommonwealth,QueenElizabethII)throughtheparticipatingCommonwealthcountries,andthroughdifferentpartsofIndiaculminatingintheOpeningCeremonyofCWG-2010.Theopeningandclosingceremonies-TheseweretobethesignatureeventsChapter
10-
CeremoniesoftheGameswithlargescaleworld-widecoverage,whichwouldshowcaseIndiancivilisation,historyandculturaldiversity.Otherminoreventsandlaunches-e.g."1500daystogo"and"1000daystogo".Organisingsuchceremonialeventswouldnormallyrequiretwoplayers-aconsultanttorenderadviceonthecreativeconcept,andaneventmanagementfirmwhichdeliverstheceremonyinlinewiththeapprovedcreativeconcept.However,theOCendedupappointingamultiplicityofagenciesforthesetasks.TheoriginallOAbidofMay2003indicatedanamountofRs.30croreforceremonies.AcomparisonofthebudgetandexpenditureoftheOCforceremoniestilldateisgivenbelow:
Table
10.1-
Budgetandexpenditureonceremonies
Event
CapsuleforMelbourneCWG-2006#
(Rs.inCrore)
30
Expenditure(December2010)Originalbudget(March2006)
OpeningandClosingCeremoniesforCYG-2008,Pune
RevisedBudget(July2008)
7
29.7827.5622.0621.7651
*
26.00106'240.0015.0415.04
223.88330.36
85
Queen'sBatonRelayOpeningandClosingCeremonies122OthersTotal
Notes:
#
PaidforbyGNCTD;thiswasnotpartofDC'sbudget
*
WhiletheoverallQBRbudgetwasreducedfromRs.Slcrore
to
Rs.26crorethroughre-appropriationintheDC,thebudgetfortheQBRLaunchceremonyatLondonwasenhancedfromRs.2.20crore
to
Rs.12.77crore
A
Thiswasincreased
to
Rs.300crore,throughadditionalbudgetofRs.
193
croresanctionedinSeptember2010.
PerformanceAuditReportonXIXCommonwealthGames(CWG-2010)
157

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