Assam: Rs 20 lakh canteen dues spark allegations of administrative lapses at IOCL-AOD

By Laxman Sharma

Digboi: Serious questions are being raised over the role of senior officials of the Indian Oil Corporation Limited (IOCL), Assam Oil Division (AOD), after nearly Rs 20 lakh in payments to local suppliers remained unpaid for months despite repeated representations.

Several businessmen from Digboi have alleged that the prolonged non-payment of dues linked to the AOD canteen points to gross administrative negligence and possible irregularities involving both the canteen contractor, M/s Vidya Caterers, and certain officials of the AOD management.

The affected vendors, many of whom are small and medium-scale local entrepreneurs, have now demanded a high-level independent inquiry to identify those responsible, fix accountability, and ensure immediate release of all outstanding payments.

The unpaid bills relate to supplies of vegetables, groceries, meat, and packaged drinking water made to the AOD canteen. Among the affected businesses are Shanti Traders, Organic Point, Gautam Enterprise, and Samsuddin Mutton Shop, all of which claim they supplied materials in good faith after receiving orders from canteen authorities and representatives of Vidya Caterers.

The vendors allege that while the supplies were received and consumed without objection, payments were either partially made or withheld altogether. Many say the pending dues have crippled their cash flow and forced them into severe financial hardship.

Simanta Deori of Organic Point said he supplied vegetables to the AOD canteen between January and October 2025. According to him, his total bills amounted to nearly Rs 10 lakh, but he received only Rs 6 lakh.

“My total bills were close to Rs 10 lakh, but I received only Rs 6 lakh. The remaining Rs 4 lakh is still unpaid,” he said. Rocky Agarwal of Shanti Traders stated that approximately Rs 8 lakh remains unpaid out of supplies worth Rs 10.5 lakh. “We are being made scapegoats. The management blames the contractor, and the contractor blames the management. Meanwhile, local businessmen are suffering,” he said.

Samsuddin Ali of Samsuddin Mutton Shop said he is still awaiting Rs 21,300 towards meat supplies made to the canteen. Kanhaiya Prasad Jaiswal of Gautam Enterprise has claimed the largest outstanding amount. He alleged that Rs 6,54,509 remains unpaid for supplying packaged drinking water to various AOD units during 2023–24.

Jaiswal further alleged that when he repeatedly sought payment of his pending dues, former canteen in-charge Dipak Bhuyar threatened him with “dire consequences” and used abusive language involving members of his family. He said he has preserved an audio recording of the telephonic conversation and is willing to submit it to the appropriate authorities as evidence.

The controversy has intensified following allegations that AOD management continued to accept supplies from local vendors despite being aware that Vidya Caterers had already expressed its inability to bear further costs. According to an AOD official, speaking on condition of anonymity, the contractor had informed the management by email that the contractual quota of 7,000 twenty-litre Bisleri cans had been exhausted and that any additional procurement would be financially unviable.

Despite this clear communication, the management allegedly did not alert local vendors and continued to place and receive orders. Vendors argue that this raises troubling questions regarding under whose authority supplies were accepted without guaranteed payment.

They also question why some payments were reportedly made in cash rather than through traceable banking channels and whether any officials exceeded their administrative powers. The vendors allege that the conduct of certain officials suggests more than simple negligence and warrants a thorough investigation.

The aggrieved vendors maintain that both IOCL-AOD management and Vidya Caterers are jointly responsible for removing the confusion. They argue that AOD management should clarify who authorized the purchases and why supplies were accepted despite the contractual dispute.

The affected businessmen of Digboi have demanded that IOCL and the Ministry of Petroleum and Natural Gas order a high-level inquiry into the matter. They want the investigation to determine the exact amount of unpaid dues, identify the officials and contractor representatives responsible for the lapse, and examine allegations of threats, abusive behaviour, and cash transactions.

The vendors have further urged the authorities to fix accountability for any administrative or financial irregularities and to ensure immediate payment of all legitimate dues, along with interest if deemed appropriate. They have urged the authorities to protect local entrepreneurs who support major industrial establishments and to take strict action against anyone found responsible for the alleged irregularities.