CBI inquiry suggested after Navy probe into Colaba allegations

A Central Bureau of Investigation (CBI) inquiry has been recommended after an internal probe into alleged financial malpractices at the high-profile Colaba Naval Officers Complex in Mumbai found grounds to take it ahead given the suspected involvement of civilians, including local political representatives.

The Western Naval Command, which conducted an inquiry into allegations that money was siphoned off from outsourcing contracts, completed the internal process in September last year, people aware of the matter said.

A go-ahead will be needed from the top level of the Military Engineering Service before the matter can be handed over to the CBI, in what could turn out to be a complex affair involving naval officers, civil contractors, the Military Engineering Service (MES) and possibly local politicians.


It is learnt that the internal probe was conducted after allegations surfaced that money was being siphoned off from civil contracts for the Naval Officers Residential Area in Mumbai, including in the hiring of water bowsers and contracting of lift maintenance deals for multistoried buildings.

As many as 40 officials could be involved in the matter, according to the internal probe. Given the nature of the scandal, the CBI inquiry was recommended last year but there has not been forward movement as the MES leadership has yet to give a go-ahead, said the people cited earlier.

The perceived loss suffered in the past five years due to alleged malpractices could exceed Rs 4 crore, according to internal calculations. While a detailed probe will bring out the details, it is alleged that almost 90 per cent of water bowsers hired to supply the complex were sold to private operators, with only 10 per cent being used for the assigned tasks.

The malpractices were first unearthed in 2016, following which a detailed internal probe was conducted by the Navy. The probe discovered that at the high-rise residential quarters, for example, only 15 per cent of the allocated strength of operators and maintenance staff were present but salaries were shown as paid for all. Similarly, it is believed that repairs contracts were carried out at times when they were not even required.