Mechanical Orgnisation has a large fleet of H.E.M machineries, workshop machineries & inspection vehicles which over a period of usage becomes unserviceable due to age, wear & tear, accidents, obsolete due to unavailability of spares by design changes, etc. Also a huge amount of Mild steel, brass & other scraps are generated time to time from the fabrication & machining activities carried out at various workshops of Mechanical Orgnisation. These unserviceable machines & scrap generated are written-off the record by selling them in public auctions held from time to time.

Each item proposed to be auctioned, is studied carefully so as to estimate its proper realization value. A Sanctioning Authority will approve the proposal for auction only after satisfying itself about the need, present condition of the item, realization value, etc. of the item. Presently Mechanical Organisation has fixed contracts with professional auctioneers & the disposal of unserviceable items is done through them by arranging public auctions time to time. A list of items, proposed to be auctioned is sent to the authorised auctioneer. This list has a brief description of the items such as make, model, capacity, quantity, location, etc. The auctioned items are handed over to the successful bidders after receipt of the full value & appropriate taxes.

For auctioning and disposing the unserviceable machineries, tools, plant and absolute spares scrape materials in the Water Resources Department. M/s. Shankar Ramchandra Auctioneer, Pune-411037 have been appointed as Government auctioneer w.e.f.14.5.2010 to 13.5.2012 vide order no. MS&DD/ SB/TN No.2 2001- 2010/1224 of 2010 dated 14.5.2010