From cancelling contract awarded to a company said to be close to former Minister S.P. Velumani to cancelling tenders, the Coimbatore Corporation under Commissioner Raja Gopal Sunkara continued its expenditure trimming exercise.
In the latest round of the exercise, the Corporation cancelled the contract awarded to KCP Engineer Pvt. Ltd. and three other firms for maintaining street lights in the old city areas of 60 wards as they violated the contractual obligations.
The Corporation had awarded the contract worth ₹1.10 crore to KCP Engineer Pvt. Ltd. to maintain 16,932 LED street lights and 1,022 control switches in East Zone, contract worth ₹86 lakh to R.V.G. Metal Industries to maintain 8,319 lights and 586 switches in West Zone, contract worth ₹1.59 crore to R&N Electricals to maintain 14,837 lights and 1,016 switches in North and South Zones and contract worth ₹1.05 crore to Sabari Electricals to maintain 12,627 lights and 803 switches in Central Zone.
At the end of the three-month observation period ending May 31, 2021 the Corporation found the contractors failed to ensure that 98% of lights glowed. They could ensure only less than 90% lights functioned. They had failed to establish control room, provide grievance redress mechanism, employ sufficient number of workers and failed to attend to the complaints within 48 hours, the Corporation said and added the contractors’ failure tantamount to violation of contractual obligation.
Therefore, the civic body had cancelled the maintenance contract given to them.
In continuation of the expenditure trimming exercise, the Corporation cancelled tenders worth ₹9.92 crore for works proposed in Central Zone, tenders worth ₹7.71 crore for works proposed in South Zone, tenders worth ₹7.55 crore for works proposed in East Zone and tenders worth ₹13.74 crore for works proposed in West Zone.
In the last two months the Corporation had similarly cancelled tenders saying to cut down cost it was cancelling the tenders as the contractors had not started work or it had not issued work orders or it was yet to complete a few formalities.
In cancelling the tenders the Corporation had also cited the ₹120 crore it was yet to pay contractors for works completed.
In yet another move to cut down cost, the Corporation had reversed its decision to buy a multi-purpose amphibian vehicle. Sometime towards the end of 2020 the Corporation had floated a tender worth ₹7.86 crore to buy the vehicle to clean water bodies under the Swachh Bharat Mission.
Though the Central and State governments were to bear 90% cost of the vehicle and it had to pay only ₹78 lakh or 10%, the Corporation cancelled the tender saying it felt the machine was unnecessary at this point in time and could not afford the money.
