AMC suspends 4 engineers, orders FIRs over storm water drainage fraud in Ahmedabad

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AMC suspends 4 engineers, orders FIRs over storm water drainage fraud in Ahmedabad

Synopsis

Ahmedabad's civic body has suspended four of its own engineers and ordered FIRs after a Vigilance audit caught contractors and PMC firms allegedly falsifying measurement books and duplicating billing entries in storm water drainage projects — with recoveries of over ₹2.34 crore in a single contract alone. The AMC is also moving to blacklist PMC firm TUV Rheinland India, a rare escalation that signals the corporation is under pressure to demonstrate accountability over public infrastructure spending.

Key Takeaways

The Ahmedabad Municipal Corporation (AMC) has ordered FIRs and crore-plus recoveries following a Vigilance Department audit into storm water drainage contracts in the East Zone .
Four officials suspended: Additional City Engineer Rajesh Rathwa , Deputy City Engineer Utkarsh Bhabhor , Assistant City Engineer Ramesh Baria , and Assistant Engineer Alpesh Makwana .
A recovery of over ₹2.34 crore has been proposed from Vist Construction alone; a separate case in Vastral ward involves recoveries exceeding ₹81 lakh .
PMC firm TUV Rheinland (India) Pvt.
Ltd. faces blacklisting for alleged supervisory and documentation failures.
No new contracts will be awarded to implicated agencies until investigations are complete.
The AMC has issued a revised measurement book protocol and stricter pre-audit checks via an official circular.

The Ahmedabad Municipal Corporation (AMC) has launched a sweeping crackdown on alleged financial and procedural irregularities in storm water drainage projects across the city, suspending four senior engineering officials, ordering criminal proceedings, and directing recoveries running into crores of rupees after a Vigilance Department audit uncovered manipulation of measurement records and billing discrepancies in the East Zone.

What the Vigilance Audit Found

The preliminary investigation examined multiple contracts in the East Zone, where auditors allegedly found alterations in measurement books, duplicate entries, copy-pasted records from earlier projects, and mismatches between actual site work and billed quantities. Statements were recorded from several agencies, including Vist Construction, Meeral Infrastructure, Dhruvi Buildcon Pvt. Ltd., Ro-Gold Waste Management Pvt. Ltd., and Vincenzo Projects Pvt. Ltd., as well as project management consultants (PMC) TUV Rheinland (India) Pvt. Ltd. and I.R. Class System and Solution Pvt. Ltd.

Key Cases and Recoveries Ordered

In one of the more significant cases, storm water drainage work in Ramol-Hathijan ward under Draft TP Schemes 107, 108, and 115 — awarded to Vist Construction with TUV Rheinland (India) Pvt. Ltd. as PMC — allegedly involved duplication of measurement book entries and unauthorised subletting. The project, originally valued at ₹7.33 crore with approved costs of ₹6.68 crore, had already seen payments of over ₹5.81 crore at the time of the audit. Investigators found that pages of the original measurement book were allegedly altered prior to scrutiny.

Duplicate measurement entries were also identified between Vist Construction and Meeral Infrastructure for adjacent pipeline stretches, leading to a proposed recovery of over ₹2.34 crore from Vist Construction alone, with additional recoveries flagged for measurement discrepancies. An FIR has been ordered in this matter.

In a separate case in Vastral ward involving Dhruvi Buildcon Pvt. Ltd. and Bhagirath Construction, investigators found alleged copying of measurement data from works executed in 2024, resulting in payments being processed without corresponding on-ground execution. Recoveries in this case have been calculated at over ₹81 lakh, including interest, with additional losses identified due to discrepancies in manhole construction measurements.

Officials Suspended and Departmental Action

Acting on the audit findings, the municipal commissioner has suspended four East Zone engineering officials with immediate effect. Those suspended are Additional City Engineer Rajesh Rathwa, Deputy City Engineer Utkarsh Bhabhor, Assistant City Engineer Ramesh Baria, and Assistant Engineer Alpesh Makwana. A formal departmental enquiry has been initiated against all four.

Blacklisting of PMC Firm and System Reforms

The AMC has also moved to blacklist TUV Rheinland (India) Pvt. Ltd. for alleged supervisory and documentation lapses, including failure to maintain mandatory registers such as MPR records, carting logs, pipe-laying registers, and daily progress reports. Authorities have stated that no new contracts will be awarded to any of the agencies under investigation until proceedings are concluded.

The corporation has further announced system-wide corrective measures, including a revised protocol for maintaining measurement book records and stricter pre-audit checks for bill processing. These changes have reportedly already been circulated through an official circular, signalling that the AMC intends the reforms to extend beyond the immediate cases.

Point of View

Ordering FIRs, and moving to blacklist a multinational PMC firm in the same sweep. But the more telling detail is that the alleged fraud involved copy-pasting measurement entries from 2024 works into new bills, a method so basic it raises questions about whether supervisory checks existed at all. The real accountability test is not the suspensions but the recovery: whether the ₹2.34 crore and ₹81 lakh directed amounts are actually realised, or quietly settled at a fraction. India's municipal infrastructure spending is chronically vulnerable to measurement-book manipulation precisely because pre-audit checks are thin; the AMC's new circular is a step, but systemic reform requires independent third-party audits at the measurement stage, not after the money has moved.
NationPress
4 Jul 2026

Frequently Asked Questions

What irregularities did the AMC Vigilance audit uncover in storm water drainage projects?
The audit found alleged alterations in measurement books, duplicate billing entries, copy-pasted records from earlier projects, and mismatches between recorded quantities and actual site work across multiple East Zone contracts. In one case, measurement entries reportedly matched work executed in 2024, yet payments were processed as if fresh execution had occurred.
Which AMC officials have been suspended and why?
Four East Zone engineering officials — Additional City Engineer Rajesh Rathwa, Deputy City Engineer Utkarsh Bhabhor, Assistant City Engineer Ramesh Baria, and Assistant Engineer Alpesh Makwana — have been suspended with immediate effect. A departmental enquiry has also been initiated against all four following the Vigilance Department's findings.
How much money is the AMC seeking to recover?
The AMC has directed a recovery of over ₹2.34 crore from Vist Construction in the Ramol-Hathijan contract, with additional amounts flagged for other discrepancies. In a separate Vastral ward case involving Dhruvi Buildcon and Bhagirath Construction, recoveries exceeding ₹81 lakh including interest have been calculated.
Why is TUV Rheinland India being blacklisted by the AMC?
TUV Rheinland (India) Pvt. Ltd., which served as the project management consultant on the Ramol-Hathijan storm water drainage contract, faces blacklisting for alleged lapses in supervision and documentation — specifically, failure to maintain mandatory registers including MPR records, carting logs, pipe-laying registers, and daily progress reports.
What corrective measures has the AMC announced to prevent future irregularities?
The AMC has introduced a revised protocol for maintaining measurement book records and stricter pre-audit checks before bills are processed. These measures have reportedly been circulated through an official circular. Additionally, no new work will be awarded to any agency under investigation until proceedings conclude.
Nation Press
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