AI subcontracts issued in violation of norms to makeshift companies

Thiruvananthapuram: Bengaluru-based private firm SRIT India, which bagged the controversial AI camera deal under the Safe Kerala Project from implementing agency Keltron, further outsourced the work to shell companies formed at the last minute solely for the purpose of bagging the contract, it has been revealed.

The SRIT, which claims to have implemented 140 projects in 20 years, subleased the AI deal to a total of five companies. Out of them, two were formed only at the time when the project to install 726 cameras across the state under the Safe Kerala scheme was mooted. Another one had found itself in the soup for misusing the name of a German company, sources said.

With the AI camera deal turning into a controversy, the websites of all three companies suddenly stopped functioning.

It’s the same person who is the director of SRIT, which bagged the contract, and one who helms the Trois Infotech, which provided the ‘Manufacturer Authorization’ to get the deal, the sources said.

Also, why Keltron, which published all other ‘safe’ documents in connection with the deal on its website, stopped short of revealing the Technical Evaluation Bid, which shows the technical expertise of SRIT, raises suspicion, they pointed out.

In the ‘Sub-contract section’ of the tender document, it is being clearly mentioned that it’s the authority of Keltron whether to recognize the subcontract deal and the subcontracting company. This is in clear violation of norms that key works like data security, data integrity, and equipment configuration shouldn’t be outsourced. However, the Industries minister and Keltron reiterate that the company that won the bid (SRIT) only needs to inform the Keltron of its further subcontracting of the project.

It was clearly mentioned in the administrative sanction issued by the State Government on April 27, 2020, a technical committee presided by the Transport Principal Secretary should closely monitor that every stage of the project implementation. The same is also stated in the Service Legal Agreement, signed between the Transport Department and Keltron on May 28, 2020. However, the violation of tender norms and the setting up of shell companies for just bagging the contracts make it clear that the monitoring exercise by the technical committee was not carried out at any stage.