BMC oxygen supply scam: Income Tax department conducts searches in Mumbai, including premises linked to contractors | Mumbai News

BMC oxygen supply scam: Income Tax department conducts searches in Mumbai, including premises linked to contractors | Mumbai News



MUMBAI: The Income Tax (I-T) investigation wing is conducting searches on several premises in Mumbai and other locations in connection with BMC’s Covid scam during the pandemic, mainly supply of oxygen at inflated rates.
I-T officials included the premises of the contractors in the search.
It was alleged that BMC had paid Rs 140 crore to a contractor for oxygen procurement and supply during the pandemic but less than half of the money used for the actual work. The remaining money was siphoned off.
Earlier, the Enforcement Directorate (ED) had investigated the oxygen supply contractor, Romin Chheda of Highway Construction, for money laundering in connection with the Covid scam.
Chheda is one of the politically influential contractor working in the BMC since long through his company and was involved in renovation work of civic run zoo in Byculla.
During the pandemic, the BMC awarded the oxygen procurement and supply work to Chheda. He was asked to supply oxygen in hospital and field Covid centres during the pandemic, as the city was facing acute shortage of the oxygen.
It was alleged that Chheda sub-contracted the work to his another company, a paper company, which eventually had purchased the oxygen and required equipment from Delhi-based supplier.
It was found that the Delhi-based supplier raised the bill in the name of the paper company, which subsequently raised inflated bill in the name of the company through which Chheda bagged the contractor from the BMC.





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