Patna, July 28: The city is stinking for sure after A2Z Infrastructure Private Limited, the agency assigned the task of carting garbage from select parts of the state capital, suspended its services over non-payment of its dues. A whiff of irregularities in the way the civic body sealed the deal with the Gurgaon-based firm is also in the air.

The skeletons have started coming out of the closet after the verification of the bills produced by the firm. A departmental investigation by some PMC officials has pointed out fudging of bills and breach of contract by the private company.

PMC spokesperson said the report had been submitted to the urban development department and vigilance bureau, which are now scrutinising the agreement between the private firm and the PMC.

Just the private firm is not at fault. There are several glaring irregularities on the part of the corporation and Bihar Urban Development Authority (Buda) as well.

A2Z Infrastructure Private Limited was awarded the contract without the consent of the corporation board, an internal vigilance probe report said.

A PMC insider said: “The contract was signed between the two parties in January 2010 and the work was assigned to the private party without prior approval of the corporation board, which is major violation of norms.

“The contract was signed between the two parties when K. Senthil Kumar was the PMC commissioner. Accused of several financial irregularities during his tenure in the civic body, he has been recently put under suspension. Questions were raised over the agreement but the private firm continued with the sanitation work on nine major streets and nine wards of the city,” he said.

It is being speculated that the PMC commissioners after Kumar could also come under the scanner for continuing with the agreement with A2Z Infrastructure Private Limited.

“Between the present commissioner, Divesh Sehara, and Kumar, three others held the post. It is surprising that none of them noticed anything wrong in the way the contract was signed and later the work was being carried out,” the source said.

The investigations carried out by a six-member committee pointed out glaring loopholes in the process of awarding the contract. No open tender was floated. “

The officers went ahead with the deal without the approval of the corporation board or the empowered standing committee. The report mentions that neither the empowered standing committee, nor the corporation board had authorised the PMC commissioner then to enter into the agreement with A2Z Infrastructure Private Limited.

“The approval was taken by the board only in December last year but the firm had started its services in January, 2010. The agreement alsoclearly states that no payment can be made without solid waste accumulated by the firm is weighed using a weigh bridge at the dumping spot in the presence of officials deputed by the corporation. That bridge was never installed. Hence, on what basis the payment can be made?” the report asks.

The report also suggests that payments be made for the company’s services after January 15, 2011, when an amended agreement came into effect.