Question : FINANCIAL IRREGULARITIES IN KOLKATA PORT TRUST



(a) whether instances of irregularities have been reported in Kolkata Port Trust (KoPT) and if so, the details thereof including the loss of revenue incurred therein;

(b) whether the matter has been inquired into and if so, the details thereof including fixing of responsibilities; and

(c) the steps taken by the Government to prevent such irregularities in future?

Answer given by the minister



MINISTER OF STATE IN THE MINISTRY OF SHIPPING (SHRI KRISHANPAL GURJAR)

(a)to(c): A Statement is laid on the Table of the House.

STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (c) OF LOK SABHA STARRED QUESTION NO. 430 TO BE ANSWERED ON 7TH AUGUST, 2014 RAISED BY SHRI JYOTIRADITYA M. SCINDIA REGARDING FINANCIAL IRREGULARITIES IN KOLKATA PORT TRUST.

(a) to (c): Complaints have been received regarding the system of licensing cargo handling agents in Kolkata Port Trust alleging the following:

(i) The Cargo Handling Agents are charged only nominal license fees and there is no revenue sharing arrangement;

(ii) The system of engagement of Cargo Handling Agents should be under auction / tender to ensure maximum revenue realization to the Port with revenue sharing with the Port;

(iii) The tariff charged by the Cargo Handling Agents from the exporters / importers to be regulated by the Tariff Authority for Major Ports (TAMP).

The Ministry of Shipping had constituted a Committee under the Chairmanship of Development Advisor (Ports) in June 2013 to examine the existing Stevedoring Policy and make suitable recommendations to strengthen the policy framework and make it more effective and purposeful. The Committee has submitted its Report. Subsequently, a Committee under the Chairmanship of Chairman, Indian Ports Association and with four other Port Trust Chairman as Members was constituted to study the recommendations of the Development Advisor (Ports) Committee and also the representations received regarding collection of royalty / revenue sharing from Stevedores and Cargo Handling Agents.

In case of Kolkata Port, Kolkata Port Trust (KoPT) had sent a proposal seeking permission to evolve a scheme for collecting royalty / user fee from Cargo Handling Agents. After due examination, Kolkata Port has been instructed to formulate a scheme for collecting royalty / user fee from Cargo Handling Agents based on an open and transparent auction process. Accordingly, the Board of KoPT has passed a Resolution on 18th July, 2014 and floated a tender for granting Handling Agency License on 21st July, 2014. The last date for opening of tender is 20th August, 2014.

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