Govt considering to cancel NTPC's Rs 2K-cr order to TPE

Govt considering to cancel NTPC`s Rs 2K-cr order to TPE New Delhi: In the face of alleged multi-crore rupee kickback, which is being probed by CBI, the government is considering cancelling power PSU NTPC's Rs 2,000-crore contract with a Russian equipment firm.

When asked whether the contract for importing equipment to Russian firm Technopromexports (TPE) would be cancelled, Power Minister Shushilkumar Shinde told an agency, "I can not comment as the matter is with the Cabinet."

NTPC had given the contract to TPE in 2005, when the PSU was headed by CP Jain, for supplying equipment to a power project in Bihar.

Sources in the know, however, said that the Ministry of Power has sent a proposal to the Cabinet for cancelling the contract.

The CBI had registered a case in 2006 against unknown officials of NTPC, TPE and unknown others, a CBI spokesperson said when asked if the issue is being probed.

The three-year-old CBI investigations into the alleged irregularities in awarding of the contract is yet to be completed as the agency is still awaiting information from the UK and Latvia.

"The CBI has issued Letters Rogatory (LRs) through the competent courts for investigation and information to the UK and Latvia.

"Since the complete information has not been received from abroad, the investigation is yet to be completed," CBI spokesperson Harsh Bhal told an agency.