Maharashtra Opposition leader Vijay Wadettiwar alleges ₹1,400 crore scam in Kondhane Dam project

Congress MLA Vijay Wadettiwar. File
| Photo Credit: Vivek Bendre

On Tuesday (September 1, 2024), the opposition leader in the Maharashtra Legislative Assembly, Vijay Wadettiwar, accused the MahaYuti government of a ₹1,400 crore scam in CIDCO’s Kondhane dam project.

Mr. Wadettiwar claims that the government favoured Hyderabad-based Megha Engineering & Infrastructures Limited (MEIL), calling the company the ‘beloved contractor’ of the administration, and accused the alliance of using the project to raise election funds.

The Congress leader also demanded a thorough investigation into the Kondhane dam project works. “If our party returns to power, we will probe all alleged scams by the Mahayuti government,” he said.

Mr. Wadettiwar criticised the government for neglecting farmers while awarding large contracts to companies like MEIL. “While the government is busy lining the pockets of its favourite contractors, farmers are struggling to get fair prices for their produce,” he said, referring to the sudden drop in soybean prices.

“The government is more interested in helping Adani and Megha Engineering than in addressing the plight of the farmers,” he said.

He detailed the events surrounding the Kondhane dam project, accusing that CIDCO, one of the State’s most financially powerful entities, after paying ₹100 crore to the original contractor for 35% of the work, abruptly changed the project’s specifications, deciding to construct an RCC (reinforced cement concrete) dam instead of a soil-based dam. “The project cost then escalated from ₹700 crore to ₹1,400 crore to benefit Megha Engineering,” the Congress leader accused.

Mr. Wadettiwar further criticised the government for awarding multiple high-value contracts to MEIL, including the ₹18,838 crore Thane-Borivali subway project, approved at a recent cabinet meeting.

He questioned how the project cost surged from ₹14,000 crore to ₹18,000 crore. “This company is expanding into irrigation, transportation, and power sectors, and is being given projects in Nagpur, Pune, and other regions,” he said, suggesting that the company’s influence stems from its status as a major buyer of electoral bonds.

In the form of electoral bonds, the MEIL donated ₹584 crore to the BJP (60% of its donations) – the most by a donor for any single party. It also donated ₹195 crore to the Bharat Rashtra Samithi (20% of its donations), and ₹85 crore to the DMK (8.8%).