Cash-strapped CITCO loses ₹85L, thanks to official apathy
A private telecom company, which has installed a tower at Hotel ParkView, Sector 24, has not been paying rent for the past 11 months but officials seem to be doing precious little
Already reeling under financial crisis, the Chandigarh Industrial and Tourism Development Corporation Limited (CITCO) has suffered an additional loss of ₹85 lakh in the last one year thanks to official apathy.
Telecom firm fails to pay up ₹15 lakh dues
A private telecom company, which has installed a tower at Hotel ParkView, Sector 24, has not been paying rent for the past 11 months but officials seem to be doing precious little. Records show that the contract for the mobile tower expired in May 2023, but CITCO extended it for another year with a 10% increase in the existing rent of ₹1.20 lakh a month. The company had, however, indicated last year itself that the fresh terms and conditions are not acceptable to it. Following this, CITCO issued fresh tenders for the site.
The company paid the rent till September 2023 but refused to make further payments. Thereafter in February this year, CITCO issued a fresh tender but only the same telecom company participated. The matter was then brought up in the board of directors meeting. An official suggested lowering the rent to ₹80,000 a month from ₹1.20 lakh due to the single bid. However, the board outrightly rejected this proposal, leading to a loss of nearly ₹15 lakh.
Chaat shop at Sukhna Lake lying vacant for 8 months
Additionally, CITCO failed to float tenders for a ‘Chaat shop’ in the Sukhna Lake complex, which has been vacant for eight months, thus resulting in a loss of ₹64 lakh to the corporation. The shop previously generated ₹7.8 lakh a month.
Moreover, a coconut-water kiosk at Sukhna Lake has also turned into a loss-making venture. Previously, this site generated ₹2 lakh a month but for the past three months, it has been vacant. For the past one week, CITCO has taken over its operations, employing three people for a monthly salary of ₹30,000 each.
CITCO managing director Hari Kallikkat was not available for comments despite multiple attempts to reach him via calls and messages.
No regular MD for last 2.5 years
CITCO has been operating under makeshift arrangements since March 2022, after Punjab-cadre IAS officer Jaswinder Kaur Sidhu returned to her parent cadre. The post is held by a Punjab-cadre IAS officer. Since then, additional charge was given to then-UT cadre IAS officer Purva Garg. Since March this year, the charge has been with another UT cadre IAS officer, Hari Kallikkat.
Federation of Sectors’ Welfare Association (FOSWAC) chairman Baljinder Singh Bittu said in the absence of regular officers, efficiency and accountability are taking a hit.