The Mumbai Police’s Economic Offences Wing (EOW) has initiated an FIR concerning the questionable purchase of Remdesivir injections at inflated rates.
Civic officials from the central purchase department of the Brihanmumbai Municipal Corporation (BMC) and the contracting firm responsible for supplying the injections are facing charges of fraud.
The FIR highlights a potential fraud of Rs 5.96 crore, with the possibility of the amount increasing as the investigation progresses, according to a senior EOW official. The case, registered at Aagripada police station, has been transferred to the EOW for further scrutiny. The EOW will also explore any potential links between these financial irregularities and political figures or intermediaries.
The complainant in this case is Nitin Unavane, an officer from the EOW Sales Tax unit. The BMC’s central purchase department officials and Mylan Laboratories’ directors have been named as the accused, charged under sections 406, 409, 420, 120, and 34 of the Indian Penal Code.
During the COVID-19 pandemic, Remdesivir injections, originally priced at Rs 650 per vial, were purchased at an elevated rate of Rs 1,568 per vial. A total of 65,000 such injections were acquired at these inflated prices. The EOW plans to interrogate the concerned BMC officials soon.
Mylan Laboratories had secured a contract to supply 28,000 vials of Remdesivir, awarded by the Municipal Corporation on April 7, 2021, with a bidding price of Rs 650.75 per vial. However, only 19,000 vials were provided, with no records indicating the supply of the remaining 9,000 vials. Subsequently, the same company was given another contract at the higher rate of Rs 1,568 per vial.
The irregularities in Remdesivir procurement came to light during the Enforcement Directorate’s investigation into money laundering within BMC, particularly in the COVID-19 jumbo centers. The ED identified irregularities worth Rs 4,000 crore and reported them to the EOW, leading to a subsequent FIR after preliminary inquiries.
The ED is expected to register an Enforcement Case Information Report (ECIR) to delve into potential money laundering associated with the Remdesivir procurement at inflated rates. Kirit Somaiya, a BJP leader, previously reported that 10,000 Remdesivir injections went missing, alleging non-transparent practices by the BMC’s purchase department and inadequate records of the injections’ distribution.