The issue of a state government cycle distribution scheme's alleged scam has reached the Legislative Assembly.
Under the Saraswati Sadhana Yojana, SC, ST, and OBC girls have been deprived of cycles, with lakhs of them left in scrap condition.
Despite schools reopening in June and the admission festival being organised, the cycles are not distributed on time, delaying benefits to students who need them.
On Thursday, the issue of cycles was raised in the Legislative Assembly.
The opposition alleged, “The government is more concerned about its favoured agencies than the students. A well-organised scam is underway in cycle procurement. The cycles were purchased at a higher price than other states, leading to an undue profit of over ₹8 crore for suppliers. The procurement process has been delayed due to corruption and financial greed.”
For the 2023-24 period, the Social Justice and Empowerment Department and Tribal Development Department planned to procure 1.7 lakh bicycles under the Saraswati Sadhana Yojana.
The procurement authority was assigned to GREMCO. The cycle specifications and conditions were usually decided by the SPC committee, but this time, modifications were allegedly made to benefit selected companies.
A company supplying cycles for ₹3,857 in Rajasthan sold the same cycle for ₹4,444 in Gujarat.
This means an extra ₹500 per bicycle was paid, leading to an overall excess expenditure of ₹8 crore for 1.7 lakh cycles.
The opposition demanded a response from the government on this issue.
Opposition leader Amit Chavda alleged that the cycle procurement process should have been completed in May 2023.
Instead, it was delayed by 10 months, and work orders were issued in April 2024.
The cycles were delivered to GREMCO warehouses, where their quality was checked by the Electronic Quality Development Center (EQDC).
However, these cycles failed the quality tests. As a result, they remained in warehouses instead of reaching students.
During the tender process, concerns were raised that the bid price was ₹587 higher than in Rajasthan and ₹425 higher than in West Bengal.
Despite this, the government did not cancel the bid and continued with the same supplier. The opposition alleged that a massive scam had taken place in purchasing cycles for underprivileged girls and that the chief minister's office was directly involved in approving the deal.
On March 11, 2024, GREMCO wrote a letter to cancel the tender for the 2023-24 period, seeking government approval. However, the government did not approve the cancellation and proceeded with the same company.
Thousands of cycles have been left in the rain, rusting, and turning into scrap, as per reports. Repeated demands for investigations were made, and letters were written to the authorities.
Minister Rushikesh Patel had earlier announced an inquiry, but even after two years, no action has been taken. The opposition accused the government of protecting corrupt officials and companies involved in the scam.
During the assembly session, the opposition questioned the government on cycle quality and procurement irregularities.
Minister Harsh Sanghavi acknowledged saying, "Thousands of cycles were kept in the open. If heavy rain falls, rusting is natural. Since a large number of cycles had to be stored, where else could they be kept?"
His statement indirectly admitted that the government had no secure storage space for cycles.
The opposition claimed that rusted cycles were merely repainted and then distributed to students, proving their allegations right.
Sensing the potential for a major controversy in the assembly, Home Minister Bhikhusinh Parmar stepped in to respond instead of the concerned minister, indicating the sensitivity of the issue.
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