New Delhi: Delhi`s Tourism Minister Kapil Mishra on Wednesday alleged fraud by the private security contractor in the state-run DTTDC.
Mishra alleged that the contractor was paying each security guard Rs 8,000 a month against the mandated Rs 13,000 even as it collected Rs 22,000 per security guard every month from the Delhi government.
"The total loss to the exchequer works out to over Rs 5 crore," Mishra told IANS.
The minister recommended termination of the security contract on charges of violating labour laws and indulging in financial fraud.
"I have directed the concerned authorities to terminate the contract and register a FIR against the contractor. I have also recommended blacklisting of the company from government security contracts."
He alleged that the security guards supplied to the Delhi Tourism and Transportation Development Corp (DTTDC) worked 12 hour a shift as per the re-negotiated contracts but were being paid for only eight hours.
The components of the fraud, he said, include underpaid Provident Fund contributions and underpayment of Rs.5,000 per employee per month.
"The Delhi government is firmly committed to eliminate corruption. This is just another example of our action against those working against the interests of the people. We will ensure that the interests of the helpless security guards are not ruined by corrupt contractors," Mishra said.