Nepal

Signing of pact with China firm stayed

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KATHMANDU, DECEMBER 21The Supreme Court has stayed the execution of a letter written by Kathmandu-Madhes Fast Track (Expressway) Project on December 12 asking China First Engineering Highway Company to come within 15 days to sign an agreement for one section of the expressway project. Supreme Court orders govt to set Charles Sobhraj free Graft watchdog moves Supreme Court against Special Court's decisions A single bench of Justice Tanka Bahadur Moktan stayed the expressway project office's letter till December 23 when the apex court will hear arguments from both sides to decide whether or not the court should continue its stay order.

The order was passed in response to a writ petition filed by Afcons Infrastructure Limited.

The bench also issued show cause notices to the defendants telling them to furnish their written replies within 15 days. Kathmandu-Madhes Fast Track (Expressway) Project had called international tender on June 1 to award one section of the expressway project.

Thirteen companies responded, including petitioner Afcons Infrastructure Limited, India, which is a construction company.According to the details of the writ petition filed at the SC by the Indian infrastructure company, the project office gave a notice on September 1, saying that five companies, including the petitioner company, could take part in the final tender process.On September 15, the Public Procurement Review Committee wrote a letter informing of a notice to extend time for opening of financial proposal, following which the Kathmandu-Madhes Fast Track Project wrote to bidders saying that the opening of proposal deadline was extended.The bidders were informed again that the proposal would be opened on November 7.The petitioner has stated in the petition that despite being declared initially technically unfit due to conflict of interest, China First Highway Engineering Company Limited was given an issuance letter of intent to award the contract which was issued on November 11 by the Public Procurement Review Committee saying the Chinese company quoted the lowest bidding price for the project.The petitioner has filed a writ petition seeking annulment of the letter issued by the Public Procurement Review Committee to the Chinese company.According to the petition, after the Chinese company was declared technically unfit, it filed a petition at the Public Procurement Review Committee which decided to include it in the tender process.On December 12, the Chinese company was notified about awarding of the contract and was asked to deposit Rs 2,310,776,800 as work performance deposit.It was asked to sign the project agreement within 15 days.The petitioner has asked the court to nullify the December 12 letter issued by the project.The petitioner has argued that the expressway project erred by awarding the contract to the Chinese company at a time when the issue was sub judice in the Supreme Court.A version of this article appears in the print on December 22, 2022, of The Himalayan Times. .

This article first appeared/also appeared in https://thehimalayantimes.com 




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Category: Nepal


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