BJP seeks CBI probe into Bengaluru's ₹36,500 crore ISWM tender, alleges ₹10,000 crore kickbacks
Synopsis
Key Takeaways
Karnataka Assembly Opposition leader and senior Bharatiya Janata Party (BJP) leader R. Ashoka on Wednesday, 10 June demanded a time-bound, independent probe into alleged irregularities in the tender process for Bengaluru's Integrated Solid Waste Management (ISWM) project, claiming the scam was worth ₹36,500 crore with kickbacks of ₹10,000 crore. The charges mark the first major corruption allegation levelled by the BJP against the Congress-led state government of Chief Minister D.K. Shivakumar.
BJP Delegation Meets Governor
A BJP delegation led by R. Ashoka met Governor Thaawarchand Gehlot and submitted a memorandum urging a Central Bureau of Investigation (CBI) inquiry into the entire tender process. The delegation simultaneously demanded the dismissal of the D.K. Shivakumar government, citing alleged large-scale financial impropriety in the project.
Addressing a press conference, Ashoka alleged that the project had been structured to benefit select private entities and accused the state government of burdening Bengaluru's taxpayers. 'This is a programme to loot the taxpayers of Bengaluru,' he said, adding that the absence of elected representatives in the Greater Bengaluru Authority (GBA) had allegedly been exploited to push through the award.
Key Allegations Against the Tender Process
Ashoka alleged that the tender, floated by Bengaluru Solid Waste Management Limited (BSWML) — an arm of the Bruhat Bengaluru Mahanagara Palike (BBMP) — showed signs of a predetermined outcome favouring the Hyderabad-based Ramky Group. He claimed that Delhi MSW Solutions Limited, reportedly a wholly owned subsidiary of Ramky, emerged as the lowest bidder after tender conditions were allegedly relaxed to allow previously disqualified bidders to qualify.
According to Ashoka, no bidder participated in the first tender call; three bidders participated in the second but were declared technically disqualified; the same bidders were subsequently declared technically qualified in the third round — a sequence he said raised serious questions about the integrity of the evaluation process. He also alleged that Ramky entities had previously drawn scrutiny over management of the Mavallipura landfill project, including concerns around environmental compliance.
The Opposition leader further alleged that the contract had been awarded to a blacklisted company, though he did not specify which entity carried that designation in official records.
Tipping Fee Revisions Under Scrutiny
Ashoka questioned a series of upward revisions to the tipping fee — the per-tonne charge for waste processing. RITES Limited, which originally prepared the Detailed Project Report (DPR), had estimated the tipping fee at approximately ₹1,398 per tonne. This was subsequently revised to ₹2,151 per tonne on the recommendation of consultants — an increase of more than 53 per cent. BSWML ultimately approved tipping fees of ₹2,565 per tonne for the North Package and ₹2,151 per tonne for the South Package, against the original DPR estimate of ₹2,998 per tonne inclusive of all charges.
Ashoka alleged that a fresh consultancy procurement under the Karnataka Transparency in Public Procurements Act should have been initiated before revising the DPR, rather than engaging a separate consultant to recommend new rates. He also alleged that tender premiums of around 19 per cent above estimated costs were approved, contrary to government guidelines that ordinarily favour cancellation and re-tendering in such cases.
Land Acquisition and Legacy Waste Concerns
The BJP leader raised objections to the acquisition of land belonging to Terra Phasma Biotechnologies for the project. He claimed the Finance Department had objected to compensation fixed at ₹1.50 crore per acre, arguing it exceeded valuations under the applicable legal framework. Despite those objections, Cabinet approval was reportedly granted for direct purchase, and compensation was later enhanced to ₹1.57 crore per acre, according to Ashoka.
He also warned that the proposed project site contains an estimated four to five lakh metric tonnes of legacy waste requiring biomining under the Solid Waste Management Rules, 2016. Handing over the site without resolving this issue, he said, could trigger additional contractor claims and impose further costs on the state exchequer. Notably, a review committee's reporting timeline was reportedly cut from 15 days to seven days, raising questions about the adequacy of due diligence.
What Ashoka Has Demanded
Ashoka urged Governor Gehlot to direct the CBI to examine the legality of tender condition relaxations, DPR and tipping fee revisions, approval of tender premiums, and land acquisition decisions. He also sought a stay on any final contract award until investigations are complete. 'The officers responsible for these irregularities must be held accountable and face legal action,' he said. The Congress government had not issued a formal response to the allegations as of the time of this report. With the ISWM project carrying a 65-year contract tenure — which Ashoka described as unprecedented in the waste management sector — the political and financial stakes are set to keep this controversy at the centre of Karnataka's legislative debate in the weeks ahead.