Reliance Infrastructure built Mumbai Metro threatened with audit by CAG

The Comptroller Auditor and General of India (CAG) said that it may start an audit of Mumbai Metro One Private Limited (MMOPL) by issuing detailed list of requisitions. It also said that it may enter MMOPL’s premises as and when the date for requisition of records is over.

The Reliance Infrastructure-led MMOPL built and runs the city’s first Metro line between Versova and Ghatkopar.

This comes after the Mumbai Metropolitan Region Development Authority (MMRDA), that holds 26 per cent stakes of Metro-1, claimed that MMOPL denied CAG audit citing it will not serve any public interest. The MMRDA and MMOPL are caught in a tussle over the actual construction cost of the Metro-1 corridor to be over Rs 4,000 crore, while MMRDA claims it to be around Rs 2,300 crore.

However, MMOPL, in a statement on Thursday, said, “We have not received any such communication, either from MMRDA or from CAG.”

DNA had reported on April 27 on MMRDA refusing MMOPL’s claim of not conducting CAG audit and had written to CAG for conducting an audit of all MMOPL accounts.

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Soon after, a meeting was called between CAG officials and the Metropolitan Commissioner of MMRDA. The minutes of the meeting (MoM) between the above mentioned two parties states, “We may start audit by issuing detailed requisitions to MMOPL and enter MMOPL’s premises as and when the said date for requisition of records is over. It is possible that they will challenge the same in court and then the matter will be decided by high court.”

The MoM also assures MMRDA of being kept abreast of the action taken by the auditors in this regard.

By Mehul R Thakkar, DNA India