Contract, sub-contracts and AI-enabled cameras land Safe Kerala project in controversy, govt orders probe

Former opposition leader Ramesh Chennithala said public sector undertaking Keltron has misused its authority and sub-contracted the project to SIRT.

BySreerag PS

Published Apr 27, 2023 | 12:33 PMUpdatedApr 27, 2023 | 3:51 PM

The MVD has procured 726 cameras, of which 675 have AI capabilities.(Wikimedia Commons)

Six days after launching the Safe Kerala project, the state government on Wednesday, 26 April, ordered one more probe into the alleged irregularities in the procurement of Artificial Intelligence (AI)-enabled traffic cameras.

The Kerala government on Thursday, however, said that a project like the AI traffic cameras cannot be put on hold once it has been implemented, merely on the grounds of some allegations against it.

Chief Minister Pinarayi Vijayan launched the much-hyped project envisaged to check traffic violations and road accidents, on 20 April.

The Motor Vehicle Department (MVD) has procured 726 cameras of which 675 have AI capabilities.

Ever since the project was rolled out, the Opposition Congress has been alleging irregularities and corruption in installing the cameras.

Public sector undertaking Keltron (Kerala State Electronics Development Corporation Limited) has been tasked with manufacturing and maintaining the camera network.

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Work sub-contracted

However, Keltron sub-contracted the project to a Bengaluru-based firm, SIRT India Pvt Ltd.

It has been alleged that SIRT further sub-contracted and outsourced the work to two other companies, Lyte Master Lighting India based in Thiruvananthapuram, and Presidio Technology based in Kozhikode.

Former Opposition Leader Ramesh Chennithala fired the first salvo at the government, alleging that the project was mired in corruption.

On Wednesday, Opposition Leader VD Satheesan wrote to the chief minister, highlighting a lack of transparency in implementing the project.

Soon after Satheesan had shot the letter, Industries Minister P Rajeev ordered the principal secretary of his department to conduct a comprehensive probe into the alleged irregularities.

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Keltron misused its authority: Chennithala

Speaking to South First Chennithala accused Keltron of misusing its authority.

Ramesh Chennithala

Former Opposition Leader Ramesh Chennithala. (Twitter)

“Keltron has been given the contract to manufacture the required products as it is a PSU. But it misused its authority and transferred its duty to a third-party company called SIRT,” he said.

“SIRT does not have any expense in the ₹232.25-crore project. The other two companies, Lyte Master Lighting India and Presidio Technology, along with a third company called Al-Hind, formed a consortium. So, neither Keltron nor the government of Kerala has any expenses,” the Congress leader said.

Chennithala said Al-Hind as well as Lyte Master left the consortium as they lost the trust in Keltron.

“The products were purchased for ₹61 crore and they made a profit of ₹8-9 crore. The remaining amount was to be divided between Presidio Technology and SIRT India in a ratio of 60:40. I will share the details of this deal at a news conference on Thursday,” Chennithala said.

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Brainchild of Sivasankar

He alleged that Keltron’s managing director has not responded to questions.

“Who invested the money? Who invested the ₹232 crore? The government has not spent any money, then who gave it? They should answer these questions,” Chennithala demanded.

He also alleged the project was a brainchild of former principal secretary to the chief minister M Sivasankar.

“This is Sivasankar’s baby. This was planned and executed after discussions with the chief minister. Those who are related to the chief minister are getting the benefits. Keltron was made a scapegoat,” he stated.

Once a powerful bureaucrat, Sivashankar was arrested for a third time in the LIFE Mission scam in February.

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‘Shrouded in mystery’

The Opposition Congress alleged that the entire project is “shrouded in mystery”.

VD_SATHEESAN

Opposition Leader VD Satheesan. (Sourced)

In his letter to Chief Minister Vijayan, Satheesan claimed there was no information available in the public domain about the project contracts, the agreement between the Transport Department and Keltron, and the tendering process.

Satheesan alleged that the cameras were purchased at prices higher than the market rates and there was no transparency in the selection of the companies.

He further said that while the Transport Department commissioned Keltron to implement the project, the service agreement in this regard was not available in the public domain.

He alleged that Keltron acted contrary to the terms of the service agreement. It procured camera parts and assembled them at a higher cost and also added huge amounts to the contract for warranty and maintenance.

Satheesan claimed that several available AI cameras came with free warranty and maintenance.

The tendering process, too, was shrouded in mystery, he said. Furthermore, he alleged that Keltron subcontracted the work to SRIT for ₹151 crore.

He also claimed that SRIT, thereafter, formed a consortium with two other Kerala-based companies to implement the project which indicated that the Bengaluru-based firm had no technical knowledge.

“It needs to be investigated the basis on which a company with no technical know-how was awarded the contract. All this points to corruption,” he alleged.

He further claimed that Keltron was entrusted with the responsibility to implement the project despite the finance department’s objections.

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Government orders probe

On Wednesday, Minister for Industries Rajeev announced a probe into the irregularities. He said a vigilance probe was initiated in March as the government received a few complaints.

“Even before the Opposition raised the allegations, we had received some complaints regarding the MVD and issues about Keltron. We ordered a vigilance probe in March. We had also sought a report from Keltron,” the minister told reporters.

He also stated that the Industries Department principal secretary has been assigned to submit a report on the allegations.

Rajeev hailed the activities of Keltron and said it was one of the best-performing PSUs in the country and said the government has given total autonomy to all public sector companies, including Keltron.

South First’s calls to Keltron Chairman and Managing Director Narayana Moorthy went unanswered.

Project cannot be put on hold: Minister

Meanwhile, state Transport Minister Antony Raju said the trial run of the AI cameras was completed more than eight months ago and the vigilance probe against a Transport Department official in connection with the cameras was initiated last month.

“So we cannot put the project on hold for the completion of the vigilance probe or any other inquiry that has been initiated in connection with the cameras. No project has ever been stalled for such reasons and none will be in future,” the minister said while speaking to reporters in Thiruvananthapuram on Thursday.

(With PTI inputs)