Chennai Metro Rail (CMRL) on Saturday said allegations that undue advantage was provided to France-based Alstom Transport during the procurement of rolling stock way back in 2010 for Phase I project are totally false and factually incorrect. Fair process was followed, which resulted in CMRL saving hundreds of crores to the public exchequer, the company said in a clarification statement.
It was alleged that undue advantage was provided to Alstom Transport by an addendum issued on the applicability of customs duty on the trains procured, after the financial bid. There was also allegation that the selected bidder, Alstom, had faced penal action in various countries for bribing to obtain government projects, including CMRL, through shell companies. BJP Tamil Nadu president Annamalai has made the allegations pointing fingers at the DMK and Congress governments that were in power in 2010 in Tamil Nadu and the Centre, respectively.
