<p>The Comptroller and Audit General (CAG), in yet another unraveling of decrement of public money, has hauled out the erroneous spending incurred by Nagpur Improvement Trust (NIT), which allegedly spent Rs. 1.6 crore on an erecting an IT complex that has stood non-functional for almost a decade.</p>
<p>CAG has pointed out that the alleged structure had been constructed without proper assessment of the commercial viability of the complex. Nagpur has, so far, failed to attract IT companies and commercial spaces developed for the same have been rendered barren or facing a loss. There are just a handful of software companies that occupy the software park in MIDC, just like the Mihan SEZ that has failed to attract IT players towards Nagpur. NIT, CAG has accused, developed the IT complex without taking into consideration the trend in IT industry in the region.</p>
<p>CAG has also red inked NIT for lack of establishment of upset price considering the land cost and expenditure incurred on earlier construction work. The alleged project was set to be deployed in phase wise manner. The first phase was contracted at Rs. 2.89 crores in 2006, set for completion in February 2008. Following many sundry repair works that had to be carried out due to persistent damaging of drainage system, the completion date was pushed to August 2008. CAG reports that following the delay in the process, NIT sought to complete the complex as per design build operate and transfer (DBOT) basis. In a pre-bid meeting organized a few months ago, Baba Nanak Infrastructure attained the bid at Rs. 5.78 crores, which has now been cancelled by CAG. This bid was almost Rs. 8 crore short of the minimum preset bid of Rs. 14 crore, rendering the project in huge loss.</p>
<p>CAG has slammed the NIT body for lack of proper planning and execution of the project that has led to heavy loss of time and money.</p>
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