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PTF-PAC: CAC- Project Completion Report1

Name of the CSO: Transparency International India

Address: QUARTER NO-4, LAJPAT BHAVAN , LAJPATNAGAR 4, NEW DELHI-110024

Project name & PTF code: Supporting Activities of Integrity Pact Cell Under

Citizens Against Corruption Programme

Project Goal:

To improve the effectiveness, credibility and sustainability of the Integrity

Pact as a means for increased transparency and accountability on public

contracting processes and systems

2. Project Objectives:

As specified in the Approved

Project proposal

Status of achievement at completion

1 It is suggested that the Annexes be prepared first.

2

To increase the influence of

Integrity Pact through the

inclusion of more PSU’s as well

as governmental and private

sectors within the programme. .

� In this phase TII has signed MoU with

Tehri Hydro Development Corporation

Ltd (THDC)for adoption of IP.

� TII is also in touch with representative of

Odisha Hydro Power Corporation

Ltd(OHPC) and Andaman and Nicobar

Islands Integrated Development

Corporation Ltd (ANIIDCO Ltd) for

adoption of IP.

� TII has organized several meetings and

workshop(Delhi , Patna , Mumbai ,

Bengaluru ) for advocacy of IP among

Public and Private sector .

� TII has also written to various ministries,

Chambers of Commerce and gave

presentation on different forums for

adoption of IP.

To strengthen the

effectiveness of Integrity

Pact by monitoring Public

procurement of IP

signatories Public Sector

Undertakings (PSUs) and

other organizations and

also fine-tuning of IP

program .

• TII has taken various cases from

different PSUs including OIL ,

Power Grid Corporation , Coal

India , NALCO and effectively

resolve these cases .

• We have also engaged ourselves

with bodies like Comptroller and

Auditor General and Competition

commission of India for effective

monitoring of IP.

• TII has also done a study and

compiled cases related to

collusion in public sector.

• Cases related to Corruption in

various organizations like

NABARD , NALCO and TII’s effort

in highlighting cases of

whistleblowers have been widely

covered in various newspapers

like Hindu ,Economic Times,

Tribune, DNA and it has indirectly

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helped in monitoring process.

• TII has organized various training

programs for capacity building of

procurement officers

Fine tuning of IP program ,

in order to achieve desired

results as being highlighted

in the in the assessment

report published after

phase I

• Various Bidders meet has been

organized to make IP effective

among private vendors.

• Reaching out to state PSUs and

governmental departments for

advocacy of IP.

• Special focus has been given for

addressing issues related to

cartels and transparency in

Defence Procurement .

3. Project Area location: The project area embraces whole India (Annexure 1)

4. Project period: a) Original: 12 months b) Actual: 13 months and 15 days

5. Project Budget 14, 70, 000.00 INR (33,409USD)

6. Budget utilized as on (date) 14, 70, 000.00 INR (33,409USD)

7. Project Completion Summary (maximum five pages).

((Summarize project implementation and results achieved. This should include

achievement of objectives. It should include a brief description of: (i) the activities that

were carried out and the outputs that were produced due to the activities; and (ii) the

results that were achieved (referring to the log frame / results framework for the

project) and how the outputs and activities from the project contributed to

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accomplishment of each result. . In particular explain what impact the project had on

reducing corruption and provide quantitative and qualitative information in support of

the impact described. End this section with a self assessment of achievement of project

objectives, what main obstacles have been encountered, if any, and what actions have

been taken to overcome them and project efforts and experience with constructive

engagement.

Please note that PTF policy is to post the completion report on its website. So please

take extra care to ensure that your report is properly edited and is ready for

publication.)

7.1 Strategies used to achieve project goal and objectives

a. Engagement with Stakeholders

Integrity Pact has three important stakeholders

- Public Sector Undertakings

- Independent External Monitors

- Vendors/Bidders. Through various workshops, meetings, TII’s website and

communication material we have tried to get ourselves actively involved with all

stakeholders. This phase we have also reached out to agencies like Comptroller and

Auditor General of India , Competition Commission of India and State vigilance

Bureau and Lokayuktta office .

b. Assistance to stakeholders : TII as a facilitator

TII has taken cases of Bidders from various PSUs like OIL , Indian Oil etc and

effectively resolved them.

TII has also assisted PSUs for effective monitoring of IP.

With the active intervention from TII , whistleblowers like Shri Ram Padhy (NALCO)

and Shri A.K Jain (DVC) got relief

c. Engagement with TI’s National Chapters.

Issues related to Non signing of IP by foreign bidders has been taken by TII with

respective TI Chapters.

TII with support from TIUK organized a conference on “ Transparency in Defence

Procurement “ it was attended by Executive Director TINepal and TI Srilanka.

d. Monitoring: Apart from advocacy of IP TII has been actively involved in monitoring

of IP in IP compliant PSUs and private bidders all complaints or issues related to IP

and other , were forwarded to concern officers and maximum cases were resolved .

e. Constructive Engagement with Central Vigilance Commission, Comptroller and

Auditor General and Competition Commission of India

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CVC has been a great supporter of IP, it has issued various circulars, directing PSUs

for proper implementation of IP.TII has kept CVC informed about IP cell activities.

Representatives from CVC , CAG and CCI has been present in all IP related meetings

and workshops. The cases related to violation of IP or others, have been referred to

CVC for necessary action , the activities of IP cell has been widely covered by CVC

newsletters

f. Networking with Media.

Events and activities related to IP has been widely covered by major national dailies

including Economic Times, Times of India , Business standard etc. Few links

http://www.dnaindia.com/india/1704219/report-dna-investigation-how-pranabs-sullied-family-

run-iip-fixed-psu-recruitments.

http://www.dnaindia.com/india/1703768/report-dna-investigation-theres-a-blot-on-pranabs-

impeccable-cv

http://articles.economictimes.indiatimes.com/2013-02-18/news/37160612_1_integrity-pact-

defence-ministry-vendor-contract

http://www.dnaindia.com/india/1763467/report-govt-is-behind-cvcs-delay-in-acting-against-38-

officials.

g. Engagement with Chamber of Commerce and other private players In order to

promote IP among private sector , we have been actively involved with CII. Few

focus group meetings have been organized with representatives from CII and

private sector representatives , till date we haven’t got any breakthrough .

h. Peer learning (knowledge sharing)

The activity report, success stories and challenges faced have been shared with

stakeholders and these are also uploaded on our facebook page.

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7.2. Project activities (Details in Annex 2).

• Conference /workshop at Delhi , Bengaluru ,Patna and Mumbai.

• Development and dissemination of IP related communication material like

quarterly newsletter, training manuals.

• Training programs have been organized for procurement officers.

• Address complaints received from IP stakeholders.

• Quarterly monitoring of progress of the project by Coordination Committee

for IP cell .

• Management of staff, finances and other logistics of the IP cell, at TII office.

• Field visits to the PSUs.

• Manual for Independent External Monitors.

7.3 Project outputs (Details in Annex 3)

Output as listed in logical framework :

a) Quarterly Newsletter

b) IEC material

c) Quarterly Progress report

d) Training Manuals (including write up on identifying red-flags in e - procurement)

e) Case Study on Cartel and Collusion in Indian Industries

7.4 Project Impact on Corruption (Outcomes /Results) (Details in Annex 4)

1. One more PSU have adopted IP , extending the regime of transparency in public

procurement to total 45 PSUs.

2. All complaints received were reviewed and marked to IEM , CVC for possible action.

3. TII has also actively helped whistleblowers.

4. The various workshops , discussions in different part of the country has helped in

advocacy of IP .Now stakeholders are more aware of various provisions of IP.

5. Trainings sessions especially on e procurement has helped a lot to the officers from

the PSU, it will surely benefit them in identifying red flags in procurement.

6. The Manual for IEMs will certainly help them to resolve issues related to IP speedily

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Self-Assessment of Project Progress:

Include aspects of your team’s capacity and contributions, community involvement and

support; any significant impact seen and external factors affecting project success – positively

or negatively for the project period.

• Team Capacity and Contribution:

IP cell staff with active support from volunteers , having domain knowledge of the

subject has helped in making a positive impact on the project . Team has

streamlined the flow of IP related information from one PSU to the other . Given the

vast geographical extent of the PSUs , activities of IP cell is a small beginning which

has to be accelerated with time by engaging more and more people from different

domain.

The various training programs organized on transparency in procurement has

helped in capacity building of the organization

• Community Involvement and Support:

Various whistleblower groups like of PSUs of DVC , NALCO NABARD has helped in

dissemination of issues related to transparency in their organization and helped us

in exposing various cases of corruption

• Impact:

The activities of IP cell has exposed few mega corruption cases in the country eg in

Recruitment in PSUs, NABARD loan disbursement , victimization of whistleblower , it has

given a positive impact , now the cases reported to IP cell has been increased to many

fold . IP cell has started working as pressure group , which is very well appreciated by

many .

8. Lessons learnt and their replicability:

Difficulties faced and measures adopted to overcome the same:-

Successes met:-

Operational issues within the organisation that were favourable / not so favourable :-

Operational issues with other stakeholders like government, community,

panchayat/municipality etc. and how were they resolved:-

Explain where and how your experiences can be replicated:-

• Difficulties faced and measures adopted to overcome the same:-

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� TII IP cell has a very small three member team and engaging with PSUs working

in different domain namely oil, mining , gas etc was challenging task . To achieve

desired results we took help of volunteers both in and out of TII , some of these

volunteers are Independent External Monitor of PSUs.They have helped us in

resolving various issues related to implementation of IP

� The stakeholders are located in different part of the country , so organizing

advocacy programs was a challenge , as we had limited grant from PTF . In order

to met expenses we explored possibility of getting funds from the companies and

we got sponsorship for the event.We have also raised money from other sources

like TAF

� Getting feedback from few PSUs was tough as officials were not willing to

cooperate, so we have to file RTIs in these companies.

� Many Bidders were skeptical to give there feedback in writing, they feared that

they can be penalized for their action, a confidentiality clause was added and

maximum feedback were orally taken.

• As in many PSUs bidders have formed cartels and no complain has been registered

to IEM , so it became very difficult to measure utility of IP in these companies .

Successes met:-

� Memorandum of Understanding with THDC,Public Sector Undertakings Exposing

corruption in recruitment in various PSUs

� Selected cases studies on collusion in Indian Industries .

� Registration of various complaints in CVC.

� Compilation of success stories, feedback from stakeholders.

� Protection and support to whistleblower Shri Rampadhy, Shri A.K. Jain and others.

� Operational issues within the organization that were favorable / not so

favorable :-

� Volunteer force of TII has been asset for us but we felt need for more paid staff ,

who has exposure of working in public sector undertakings.

� In case of non compliance of IP by any Multinational Bidders .We have engaged

our national chapters and TI-S , to peruse such cases at their level.

� Constraints like limited core funding have affected expansion and advocacy of IP

among private players.

� Discouraging response from state PSUs.

� Discouraging response from Private companies

• Operational issues with other stakeholders like government, community,

panchayat/municipality etc. and how were they resolved:-

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� The PSUs have signed MoU with TII , so getting information from them was not

tough but in many cases we have filed RTI

� Many of the bidder companies , maximum of them are private companies , are

not aware of provisions of IP , so we don’t get desired support from them , so we

have proposed to all companies to organize vendors/bidders meet every year.

� We have got desired support from Central Vigilance Commission , and

Independent External Monitors.

• Explain where and how your experiences can be replicated:-

� Community Engagement and Empowerment

We have used social media like facebook , engaged with engineering and mba

students who will be future managers and employees of the organizations, they

have helped a lot in advocacy of IP and also assisted us in carrying out our

impact Assessment Survey. The help provided by TII on complaint received from

whistleblowers Mr A.K.Jain, Shri Padhy has encouraged others also to approach

us highlighting corruption in their respective organization.

� Constructive Engagement and Support

TII model of signing MoU with the Government agencies can be replicated by

other CSOs also . Because once you sign MoU , you are morally and legally bound

to share information related to project . Focus Group Discussion with

stakeholders are very effective in engaging all in achieving common goals and

objective

� Systematic Challenges and Change

The main challenge we faced during this phase was getting cooperation from

different stakeholders, for getting honest feedback about IP as being implement

in the PSU. Verifying the complaints forwarded to us was also a major challenge.

Workshops meetings and survey has helped in constructive engagement and this

has brought a positive change in some of the PSUs officials and bidders , now

they are more upfront and in case of any issue pertaining to IP they readily

approach us.

Policy level corruption and collusive corruption is hard to detect , a strong

relation between stakeholders is required .

9. Constructive engagement:

Please include instances of useful interactions and constructive engagements with other

stakeholders (government officials, media, CSOs, NGOs including other CAC partners etc.) and

how they have helped further project success. Please name specific officials, offices that you

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have interacted with.

• Government officials

We have got desired support from officials from PSUs CVC, CAG and Others .

• Officials closely associate with this project

(It’s difficult to list name of all officials , few name are)

List of officials

a) Shri M.B. Sagar I.P.S , CVO Shipping Corporation of India Ltd

b) Shri Paul Thomas Nodal Officer (IP) SAIL

c) Shri A.K. Jain Senior Engineer , DVC

d) Smt Vismita Tej I.R.S. CVO CCL

e) Shri M.N. Buch IEM NCL

f) Shri Reetesh Ramal Assistant Manager Vigialnce SCI

g) Shri V Murali Dy CS HPCL

h) Smt Neena Singh Pandey CVO KVIC.

i) Shri V.K Gupta IEM GAIL

j) Shri R.C Agarwal IEM OIL

k) Shri R Srikumar VC , CVC

l) Shri Ram Padhy DGM NALCO

• Civil society organizations (Coalition Against Corruption)

TII has kept informed other NGOs like CUTS , Chetna , SOFAR etc about activities of

IP cell.

• Media

Coverage of important reports , events, like workshops , signing of MoU , release of

IP report has been widely covered by all major dailies they are :

• The Times of India .

• The Economic Times

• Business Standard

• MINT

• DNA

• Hindustan Times

• Prabhat Khabar

10. Community Empowerment:

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Explain the specific interventions that led to community empowerment. Also explain

Community Organizations Developed or Supported through this Project. Please list and

comment on quality of CBO contribution to the objectives of CAC.

• Community Engagement

We have engaged our self in meaningful dialogues with employees’ association,

students organizations. This has helped us into two ways on one hand it has

helped us in advocating IP to them, on other hand we have also got feedback on

implementation of IP in many PSUs . The employees of PSUs have helped us in

monitoring of IP.

• Community Empowerment Specific sessions were devoted in our workshop

and meetings , on identification of red flags in procurement , these sessions have

been attended by representatives from CSOs.

Quality and contribution of CBO’s

� Advocacy of IP

� Active participation in all workshops meetings conducted

� Regular meeting and interaction

� Knowledge sharing

11. Peer learning:

Please comment on the peer learning experiences in terms of:

1. your organisation under review and

2. you reviewing other organisations and

3. comment on the quality of such exercise and contribution to success of CAC project

• Your organization under review and (N/A)

• You reviewing other organizations and

� Better interaction between CSOs

� Exposure to new methods of tackling corruption.

� Help in improving documentation process.

� Gives an opportunity to collaborate with likeminded organization on

common agenda.

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• Comment on the quality of such exercise and contribution to success of

CAC project

� Helps in sharing and learning from others

� CSOs are linked in a network , it is beneficial in longer run

� In longer run CAC partner can act as potential nodal points for advocacy

of IP at grass root level.

12. Project sustainability:

Technical: • What measures have been taken to ensure sustainability of project

processes like knowledge generation, constructive engagement and

community empowerment adopted in the project?

> Formed a IP committee consisting of people having domain

knowledge , it has helped us a lot in case of resovling compaints

from a stakeholders.

> MoU that has been signed between TII and the PSU, helps us in

engaging us with officials from PSUs.

> Representatives of various CSOs have been invited to all workshops

and meetings ,it will surely help them to identify redflags in

procurement process..

> Facebook and IEC material has helped us ensuring flow of knowledge

between stakeholders.

> Manual has been prepared to identify redflags in Public Procurement

• What plans for upcoming initiatives to ensure sustainability of

project outcomes?

> Training sessions for representatives from PSUs , CSOs

> Advocacy of IP at state and grass root level.

> Ensuring regular interaction between stakeholders though meetings

, social media etc.

> Dedicated website for IP

Social: • How much ownership does the community have of the process?

> A common man’s life is indirectly affected by corruption in

procurement , though it is not directly hit by it in many cases but in

longer run corruption in PSUs like of oil, gas &coal sector ,

contribute to the inflation, we are trying to educate masses about

repercussions of corruption in industries .

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• How far the community is independent in dealing with the

corruption issues on their own?

• Identifying red flags and dealing with corruption in public procurement

and e procurement in PSUs is a technical matter .Representatives from

Whistleblower Groups has to be trained before they deal with

corruption issues on their own. They have the potential to deal

independently, we need to train them.

• How far the community can independently organize the road shows

or protests for their rights and curbing corruption?

> The community has potential to independently organize the road

shows or protest.

Institutional: • What are the organizational plans to continue the project on your

own?

> Continue engagement with the PSUs , CVC

> Knowledge and experience sharing with stakeholders

> Capacity building of staff .

> Raising funds from other sources.

• How far the CBOs formed/strengthened can work on their own?

> CBO can advocate IP on their own.

> Monitoring of implementation of IP needs training and at this stage

CBO are not in position to do so.

Financial: Does the community financially contribute to the project? NO

• How much financial support can your organisation mobilize on its

own from other donors?

> We have raised funds in form of sponsorship for our events.

• Have any other donors expressed interest in supporting such

initiatives?

> Till date No

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Annexes to be attached to the Completion Report

1. Geographical Spread of Project Area

2. Activities (Inputs) table (see the suggested format below).

3. Outputs Table (Plan vs actual –see the suggested format below).

4. Outcomes/Results (update log frame)

5. Financial Progress Report (see the suggested format below)

6. Success stories (include photos if possible) and case studies (a soft copy has been attached)

7. Materials/reports/toolkits published/disseminated and/r posted on the website.

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Detailed Map of the Project Area (Geographical Spread)

The project area embraces whole India. The card below shows the geographical location of the

headquarters of the PSUs, which have already signed MoU. The plant location of these PSUs are

located in different part of India, e.g. National Mineral Development Corporation Limited

headquarter is at Hyderabad but have its plant in Chhattisgarh and Madhya Pradesh.

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List of PSU’S who have adopted Integrity Pact

Sl. No. Company Head Quarter

1 Oil & Natural Gas Corporation (ONGC) New Delhi

2 Rashtriya Ispat Nigam Limited (RINL/VIZAG) Vishakhapatnam

3 Hindustan Petroleum Corporation Ltd (HPCL) Mumbai

4 Coal India Ltd. (CIL) Kolkata

5 Gas Authority of India Ltd. (GAIL) New Delhi

6 Hindustan Steelworks Construction Ltd. (HSCL) Kolkata

7 MECON Ranchi

8 Metal Scrap Trading Corporation Ltd (MSTC Ltd). Kolkata

9 National Mineral Development Corporation (NMDC) Hyderabad

10 Ferro Scrap Nigam Ltd (FSNL) Bhilai

11 Steel Authority of India Ltd (SAIL) New Delhi

12 Kudremukh Iron Ore Company Ltd. (KIOCL) Banglore

13 Bharat Refractories Ltd. (BRL) Bokaro

14 Manganese Ore (India) Ltd. (MOIL) Nagpur

15 Oil India Limited (OIL) Noida

16 Container Corp. of India (CONCOR) New Delhi

17 Neyveli Lignite Corporation Ltd –Tamil Nadu Neyveli

18 Bharat Petroleum Corporation Ltd. (BPCL) Mumbai

19 Indian Oil Corporation Ltd. (IOCL) New Delhi

20 Airports Authority of India

New Delhi

21 Mahanagar Telephone Nigam Limited New Delhi

22 Northern Coalfields Limited (NCL) Singrauli

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23 South Eastern Coalfields Limited (SECL) Bilaspur

24 Mahanadi Coalfields Limited (MCL) Sambalpur

25 Western Coalfields Limited (WCL) Nagpur

26 Central Coalfields Limited (CCL) Ranchi

27 Central Mine Planning Design & Institute Ltd. (CMPDI) Ranchi

28 Telecommunication Consultants India Ltd (TCIL) New Delhi

29 Hindustan Copper Limited Kolkata

30 BHEL (Bharat Heavy Electrical Ltd.) New Delhi

31 National Thermal Power Corporation (NTPC) New Delhi

32 Eastern Coalfield limited ( ECL) Burdwan

33 Bharat Sanchar Nigam Limited (BSNL) New Delhi

34 Bharat Coking Coal Limited (BCCL) Dhanbad

35 RITES Gurgaon

36 Chennai Petroleum Corporation Limited (CPCL) Chennai

37 Shipping Corporation of India Ltd (SCI) Mumbai

38 National Hydro-Electric Power Corpn Ltd. ( NHPC Ltd) Faridabad

39 Power Grid Corporation of India Limited Gurgaon

40 S J V N Limited Shimla

41 Numaligarh Oil Refinery Numaligharh

42 Engineers India Ltd New Delhi

43 Pawan Hans Helicopters New Delhi

44 Orissa Power Generation Corporation Bhubaneswar

45 THDC India Ltd. Rishikesh

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Annex 2: Accomplishment of Activities:

Project Activities Planned

(Please reproduce what was in the

Approved Proposal).

Actual Project Activities.

(Please Describe what was actually

done

Status of completion2

and (Description of

any major change in

the activity with

explanation as

needed.)

Objective – 1: To increase the influence of Integrity Pact through the inclusion of more PSU’s as well as

governmental and private sector within the programme.

• Regional workshop at Lucknow Bengaluru and Mumbai.

• Inclusion of more PSU’s/

government departments/ municipal corporations and

expansion of the program to

include private sectors within the

ambit of public contracting

• Capacity building of nodal officers, monitors and Chief Vigilance

Officers (CVOs )through organization of training and

workshops and collaboration with

civil society organizations and other like-minded individuals

� Regional Workshops were held in Bengaluru on Ethics

in Governance, Forensic

Audit and Transparency in

Public Procurement on 23rd September, and in

Mumbai on Making

Integrity Work for Business on 19th Dec. Workshop in

Lucknow was not

conducted instead of

Lucknow it was done at Patna 29 September

� THDC has signed MoU with

TII for implementation of

IP. Talks are going with

Other PSUs and CII for

adoption of IP

• Various workshops,

meetings , focus Group

Discussions have been

organized in different part

of the country, namely

Muzaffarpur

• C=fully

completed

• C=fully

completed

2 C= fully completed, NC = very limited or no completion, D= Deferred to Phase 2, IP=In progress.

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/organizations.

• Creation and distribution of a

newsletter, reports , brochure.

(27th June’12), Delhi(22-

23rd Aug’12, 17th Oct’12,

23rd Jan’13), Bangaluru

(23rd Sep’12), Patna (29th

Sep’12), Mumbai (19th

Dec’12), in these

Conferences a session was

devoted on identifying red

flags in procurement ,

experts gave their views on

the subject. Experts

included CVOs, CMDs, IEMs,

Nodal officer, Govt officials,

CSO representatives etc.

• A very comprehensive

manual for Examination of

Public Procurement Process

has been produced. The

manual is meant for the

IEMs, CVOs, Procurement

officials and all other

individuals who concern

about transparency in

public procurement.

• IP Quarterly Newsletters

have been prepared.

• Minutes of the meetings,

issues related to IP and

progress report were

compiled and soft copy was

circulated through mail.

• C=fully

completed

• C=fully

completed

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Objective – 2: To strengthen the effectiveness of Integrity Pact by monitoring public procurement of IP

signatories Public Sector Undertakings (PSUs) and other organizations.

• Address complaints received from IP stakeholders

• Review meeting with stakeholders

• Conduct an evaluation study to

assess presence of cartels and collusive corruption in Coal Oil

and Gas sector.

• During phase II we have received petition

/complaints relating to

NALCO, OPGC, NABARD,

DVC, THDCIL, etc from bidders/vigilance

officers/whistleblowers/ot

hers, after due diligence

complaints were forwarded to CVC and matter was

pursued by TII, the

complaints have been registered with CVC and

enquiry is going on in these

cases, progress can be

monitored on CVC website.

• IP cell held Review Meetings along with

representatives from PAC

Shri Srikanth and CUTS Shri

Madhusudan with Mr. Sunil Kaul, General Manager

(C&P), Engineers India

Limited; Mr. Parvez Hayat, CVO, Power Grid

Corporation of India; Shri

Selva Kumar, CVO, TCIL;

Mrs. Upma Srivastav, CVO, AAI; and Mr. D. Satija, Nodal

officer, ONGC.

IP Cell has framed the

questionnaire. It has conducted a

Round Table discussion on “The

presence of cartels and collusive corruption in Indian Industries”

and has received inputs from

various Stakeholders. The 9 case studies have been

complied

• C=fully completed

• C=fully completed

• C=fully completed

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Objective – 3: Fine tuning of IP program, in order to achieve desired results as being highlighted

in the in the assessment report published after phase I .

The activities have been guided by the

observations and findings of Assessment

survey done in Phase I.

GENERAL OBSERVATIONS AND

SUGGESTIONS

General:

1) Sub-contractor must be a part of IP

process and program

2) In case of any default in various

provisions of IP including bribery by

sub-contractor, the contractor has to

be held responsible and accountable.

3) Every IP compliant PSU should also

sign IP document of Principal while

participating in bidding process.

4) There are various instances, where

bribes are routed through sub-

contractors, big bidder companies,

including MNCs.

5) No cases of Bribery have been

reported.

6) Almost all respondents feel that there

is a need of IP like tool in India, and

this tool is to be further fine tuned by

taking feedback from them.

7) Almost all respondents feel satisfied

with role played by CVC and TII. Major

chunk of the bidders feel that TII has

to be more proactive in terms of

advocacy of IP and complaint

redressal.

8) Almost all PSUs feel that they are not

All the TII activities in

phase II has been guided in

keeping findings of phase 1

• C=fully

completed

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overburdened with expenses on IEMs.

9) No PSU and CVO feels that IEM(s) is/

are duplicating the work of vigilance

department.

10) Some PSUs are changing

nomenclature of External

independent Monitor for Independent

External Monitor (IEM), TII suggest a

common nomenclature of

Independent External Monitor should

be used by all.

11) Interactive meetings with IEMs

should be conducted more frequently

and at regular intervals for speedier

review of cases

PSUs:

Minutes of IEM-Management meeting,

annual report submitted by IEMs,

action taken report on complaints be

uploaded on the PSUs website.

CVCs:

Since maximum IEMs are retired

bureaucrats, there is a need to

diversify them among persons of

impeccable integrity and having

domain knowledge. They may be from

private sector, academics, NGOs,

Media, PSUs etc.

IEM(s):

IEM must submit annual report

pertaining to implementation of IP to

the concerned CMD, with a copy to

CVC and TII.

Private Sector:

• Private sector is no more

23

victim of corruption. Instead

they are instrumental and

hand-in-gloves with public

officers.

• Bribery among officials of

private firms is rampant.

They pay bribes to others to

get deals successfully done.

• Government must bring a

strong deterrent tool to curb

corruption in private sector.

Multinational and World Bank:

• A few PSUs have reported

that World Bank doesn’t

allow its funded project to be

a part of IP program. TII and

TI-S can take up this matter

with WB Officials.

TI India:

• List of all bidding companies

which are not signing IP,

must be displayed on

concerned PSUs’ and TII’s

website. In case of a foreign

multinational, TII may raise

and pursue this matter with

their counterparts located in

the countries concerned.

24

Annex 3: Planned and Actual Outputs

Outputs Planned

(Please reproduce what was in the

Approved Proposal).

Actual Project Outputs

Status of completion3

(Description of any

major change in

the outputs with

explanation as needed.)

• Quarterly newsletter.

• Manual on Examination of

Public Procurement

Process.

• Quarterly report on

progress of the project.

• Quarterly newsletters containing

highlights of all events, meetings,

complains handled, queries asked,

and major activity have been

prepared for each of four quarters of

the session.

• With technical inputs from Shri S. Z.

S. Tabish engineer from CPWD and

Shri Jitendra Kohli, Managing

Director, Electronic Tender we have

prepared a manual as a guide to help

Independent External monitors and

other stakeholders in public

procurement process, and also to

identify red flags in procurement. We

have received sponsorship for the

manual from ONGC, THDC, and SCI.

• Progress report has been shared with

all stakeholders .

• C=fully completed

• C=fully completed

• C=fully completed

3 C= fully completed, NC = very limited or no completion, D= Deferred to Phase 2, IP=In progress.

25

• Survey on "Presence of Cartels in Indian business

environment".

• Survey has been done selected case

studies have been compiled and

submitted to TII Board for

publication

• C=fully completed

26

Annex 4: Project Outcomes/Impact

Project Impact

Indicators

Baseline Value

End of Phase I

End of project Value Sources and evidence to

verify the results

• Level of satisfaction of

different

stakeholders.

• Findings from

Survey on

"Presence of

Cartels and

collusion in

Indian business

environment".

• 87% of the

respondent

from PSUs are

satisfied with

role played by

the TII.

• 84% of the

CVOs from IP

complaint

PSUs are

satisfied with

the role played

by TII.

• Can’t be assigned as no

such evaluation/stu

dy has been

carried out before the

present study.

As we have not done any

survey so we don’t have

any quantifiable data as

was there in phase I ,

but qualitative feedback

shows that level of

satisfaction is the same

• IP Cell has

conducted a Round

Table discussion on

“The presence of

cartels and

collusive corruption

in Indian

Industries”

• We have received

inputs from

various Stakeholder

s.

• Selected cases have

been compiled

• Feedback form filled by the officials of the PSUs ,

CVO and Bidders .

Survey documents on the study

on Cartelization and collusion

27

Improvement in India’s ranking

according

Corruption Perception

Index(CPI)

CPI rank of India in

2011 95th .

• CPI score of

India in 2012 is

36 (out of 100)

and rank is - 94th

Corruption Perception Report

Released by Transparency

International .

Number of MoU

signed between

PSU

(organization) and

TII.

• Increase

the domain

knowledge

of the

Independe

nt External

Monitors

(IEM) and

their

capacity to

identify red

flags within

the

tendering

process.

• 44 PSUs have

signed MoU

with TII.

• Can’t be

assigned as

no such

evaluation/st

udy has been

carried out

before the

present

study.

• One more PSU

THDC India Ltd

have signed MoU

, so total number

has increased to

45.

• It was difficult to

measure how their

presence in our

meeting has added

or enriched their

knowledge base , but

still there are

instance like in OIL,

GAIL. India , where

monitors have

acknowledged the

assistance of TII in

resolving issues

related to

procurement

• Copy of the MoU

• Participants list of

the meetings,

workshop.

• E mail from the

monitor.

28

• Satisfaction

of

aggrieved

party.

• Measure

the

effectivene

ss of the IP

program

implement

ed within

individual

IP principal

stakeholde

rs

• Can’t be

assigned as

no such

record has

been

maintained

before phase

I.

• Can’t be

assigned as

no such

evaluation/st

udy has been

carried out

before the

present

study.

process.

A majority of the

parties who had

approached TII

in relation to

implementation

of IP in the PSUs

were satisfied

with role of TII.

• There are PSUs

where IP has

been properly

implemented at

same time there

are PSUs where

implementation

of IP is below

our expectation.

Communication from the

Parties.

Feedback from stakeholders

Name of the CSO: Transparency International India

USD INR

Total Budget of the Project $ 33,409.00 14,70,000.00

Total Expenses incurred $ 35,492.00 15,61,631.00

PTF Contribution to the Project $ 25,000.00 11,00,000

PTF Grant received so far $ 22,500.00 9,90,000

PT Grant Spent so far $ 25,000.00 11,00,000

Last tranche amount receivable from

PTF

$ 2,500 1,10,000

29

Budget Category* Budget (INR)**

Actual

Expenses

(INR)

Sources of Funding Used

PTF Organisation

(currency) (USD) (INR)

A Humar Resource Cost

1 Project Director 4,80,000 5,34,120 376675 $ 8,561.00 1,57,445

2 Regional Coordinator 1,80,000 2,02,800 80,400 $ 1,827.00 1,22,400

3 Stipend to members

of Coordination

Committee & Interns. 50,000

93,633 18,633 $ 423.00 75,000

Total A 7,10,000 8,30,553 4,75,708 $ 10811.54 3,54,845

B Office Expenses

1 Internet &

Communication, and

other miscellaneous

expenses including

administrative

expenses by

collaborating civil

society organisations

at State Level 1,60,000

2,25,668

1,30,268

$ 2,961

95,400

Total B 1,60,000 2,25,668 1.30,268 $ 2961 95,400

C Project Activities

1 Expenses for three

regional workshops

for capacity building

of stakeholders,

including expenses

on documentations

1,10,000.00

50,128

19,628

$ 446

30,500

2 Expenses on

orientation session

for Monitors,

Vigilance Officers

including civil society

organisations

90,000.00

90,000

67,500

$ 1,534

22,500

3 Field Visits to Public

Sector Undertakings

(PSUs)

1,00,000.00

1,31,560

76,160

$ 1,731

55,400

4 Survey for Impact

Assessment including

collection of data

2,00,000.00

1,76,377

1,26,377

$ 2,872

50,000

5 Printing of

Newsletters, reports

1,00,000.00

57,345

57,345

30

and distribution,

stipend to the editor

Total C 6,00,000 5,05,410 2,89,665 $ 6583 2,15,745

D Workshop on

Transparency in

Defiance

Procurement held on

15 May 2013

2,06,000 $4682

Total D 2,06,000 $4682

Total (A+B+C+D) 14,70,000 15,61,631 11,01,641 $ 25037 6,65,990

* These categories are reproduced from the original project budget.

** Use data from the original budget.

# 1 USD = INR 44 ( as per the conversion rates used at the time of Project Approval and as per the agreement

signed)