The decision of the Vijayawada Municipal Corporation (VMC) to allow a bidder to pay the tender amount in four instalments for a parking facility at NTR Complex has given rise to a controversy.
The Corporation authorities received just two tenders in the bidding called for the facility. Incidentally, one tender form was found to be ineligible, as the bidder had not enclosed the requisite demand draft. Subsequently, the VMC authorities decided to award the contract to the other bidder.
Meanwhile, the Opposition parties accused the Telugu Desam Party (TDP) of violating norms by not opting to invite fresh tenders. The VMC estate section officials, however, taking shelter under rules, defended their decision, maintaining that the bidder had quoted more than the off-set price fixed. The VMC clarified that it had set an off-set price of Rs. 43 lakh, while the bidder quoted Rs. 45 lakh.
According to rules, the successful bidder has to pay the entire amount at one go. But, he had requested the corporation to allow him to make the payment in instalments, which was against norms. “The ruling party has thrown rules to the wind. How can the Corporation agree to the bidder’s plea for instalments?” asked CPI(M) city secretary Ch. Babu Rao. There are several instances, wherein bidders do not pay the entire amount after accepting the proposals. The corporation has incurred losses up to Rs. 60 lakh in those cases, he said.
VMC Commissioner C. Hari Kiran said that the corporation would take measures to recover the tender amount evaded by previous bidders. The VMC has already attached properties of a bidder who has evaded payment pertaining to Kaleswara Rao Market. The VMC is also on the lookout for other evaders too, he said.
“On the NTR Complex issue, we have asked the bidder to give post-dated cheques. The bidder promised to pay the amount in instalments soon after the contract was awarded,” he said.
