Mumbai: The BEST administration faced sharp criticism from members of its committee over the premium bus contract awarded to private operator Chalo, with several members alleging financial irregularities, lack of transparency in ticket collections and improper use of public funds. The committee has sought an independent inquiry. BJP member Ajay Singh demanded a probe by the Economic Offences Wing (EOW) at the committee meeting on Tuesday.During a heated discussion, members questioned the subsidy extended under the contract. Committee member Ramakant Gupta alleged that BEST was paying Rs 50 crore in subsidies for 100 buses, amounting to around Rs 50 lakh per bus, despite the undertaking facing financial stress and struggling to clear employee gratuity dues. Concerns were also raised by panel chairperson Trushna Vishwasrao over weekend cash ticket collections, with members claiming there was inadequate documentation of revenue generated through such transactions.Chalo officials defended the arrangement, stating that the premium electric bus service operates under the Gross Cost Contract (GCC) model followed across India, under which government subsidies of Rs 50 lakh to Rs 70 lakh per electric bus are paid directly to manufacturers. The company said the premium service is profitable for BEST, which earns a 4% share of revenue from operations. Chalo also pointed out it has fulfilled all contractual commitments and that the service now records nearly three lakh passenger rides every month, reflecting strong commuter adoption. Sources said Chalo is yet to receive a subsidy of Rs 9 crore which is pending.Sena (UBT) member Nitin Nandgaonkar urged BEST to invest in and operate its own buses instead of depending on private operators. Vishwasrao said the demand for an inquiry has been forwarded to the BEST General Manager for consideration.
