Documents never lie. Government files contain the truth, waiting to be unveiled. New Delhi Post has accessed official records related to the Purvanchal Expressway, which expose shocking irregularities. These documents serve as undeniable witnesses to a scam that challenges the clean image of Chief Minister Yogi Adityanath.
This is the story of how financial manipulations in the name of early completion bonus resulted in a massive financial loss for the state treasury.
What is the Scam?
The Purvanchal Expressway was one of CM Yogi Adityanath’s flagship projects. The construction was monitored closely by him. However, an audit report by the Principal Accountant General (A&E) Uttar Pradesh reveals a shocking financial mismanagement amounting to ₹104.01 crore.
According to the CAG report, the Uttar Pradesh Expressways Industrial Development Authority (UPEIDA) violated rules and granted early completion bonuses without following proper norms. The report further highlights that the project was marked as “completed” before the actual completion, allowing contractors to claim additional funds fraudulently.
Understanding the Early Completion Bonus Manipulation
Early completion bonuses are meant to reward contractors for finishing projects before the deadline. The National Highways Authority of India (NHAI) has strict guidelines for these bonuses, which should be around 0.03% of the project cost. However, in the case of Purvanchal Expressway, the bonus was raised to 0.04%, inflating the payout to ₹104.01 crore.
Moreover, the government sanctioned an additional ₹92.95 crore under the pretext of “early completion.” When 12% GST was added, the amount surged past ₹104 crore.
Bigger Financial Loss: ₹540 Crore Impact
This overpayment is not the only financial blow. The inflated bonus rate led to an overall loss of ₹540 crore to the exchequer. The CAG report explicitly mentions that UPEIDA failed to adhere to the standard EPC Agreement (Engineering, Procurement, and Construction), which governs financial transactions in such projects.
Mismanagement in Toll Plaza Allocations
The scam is not limited to construction bonuses. The CAG report (Reference No: OBS-331054, Para 2) also exposes irregularities in the allocation of toll plazas. The government undercharged stamp duty by ₹35.59 crore, leading to another financial loss for the state.
What Does the CAG Report Say?
The official CAG findings highlight:
- Excessive bonus payments: ₹104.10 crore paid in violation of government norms.
- Unjustified bonus rate increase: From 0.03% to 0.04%, leading to a ₹540 crore loss.
- Violation of NHAI guidelines: Bonus granted before actual project completion.
- Undercharged stamp duty: ₹35.59 crore loss due to misallocation of toll plazas.
Conclusion
The Purvanchal Expressway scam is a major financial scandal under the Yogi Adityanath government. While the expressway was projected as a milestone in infrastructure development, the financial irregularities highlight a systemic failure in governance.
Will the government take responsibility and ensure justice? Or will this scam be buried under bureaucratic silence?
Stay tuned with New Delhi Post for further updates on this unfolding scandal.