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GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
LOK SABHA
UNSTARRED QUESTION NO: 5497
ANSWERED ON:  27.04.2015
CATERING CONTRACTS IN RAILWAYS
UDIT RAJ
VIJAY KUMAR S.R.
Will the Minister of



RAILWAYS be pleased to state:-




(a) the details of new catering contracts were given during the last three years across the country;

(b) whether any policy have been formulated in this regard;

(c) the number of complaints received regarding poor quality of food supplied by the contractors and action taken by the Railways in this regard;

(d) the number of the catering contractors who have deposited sales tax and the number of those who have not deposited sales tax and service tax; and

(e) the action taken by the Railways against those contractors who have not deposited sales tax and service tax?


ANSWER

MINISTER OF STATE IN THE MINISTRY OF RAILWAYS (SHRI MANOJ SINHA)

(a) and (b): A Catering Policy was formulated in 2010 according to which whenever there is a requirement of additional catering/vending facilities at any railway stations, zonal railways award the same (depending upon the category of stations and nature of units), by calling application/inviting tender through press notification based on the eligibility criteria and merits of the applicants. 333 contracts for mobile units (pantry car) have been awarded during the last three year (i.e. 01.04.2012 to 31.03.2015).

(c): About 2,986 Complaints have been reported regarding poor quality of food supplied by the contractors during the last year (01.01.2014 to 31.12.2014) and penal action has been taken on the defaulter licensees including imposition of fines in 1115 cases.

(d) and (e): Deposit of all applicable taxes is the statutory obligation of the contractors. The issue of applicability of sales tax/ VAT and /or service tax on catering services is subjudice before Hon’ble Supreme Court of India.

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