KOCHI: The stalemate over the construction of the proposed 2.60-km Mulavukad service road parallel to Container Terminal Road has put Kerala State Construction Corporation Limited (KSCCL) in a fix, with the contractor threatening to take the agency to court for compensation in the event of cancellation of contract.
With local residents protesting against the phased construction of the road, the contractor, M.D. Mahffos, could not start work even three months after the work order was issued by KSCCL. The agreement was to complete the work within nine months.
“Local residents want the road to be constructed at one go for which Kitco has prepared an estimate of ₹23 crore, whereas we were roped in for the first phase alone for ₹4 crore. Unless there is headway, we plan to scrap the contract by next Wednesday,” KSCCL sources told The Hindu .
But that is easier said than done as the agency, besides refunding over ₹63 lakh deposited as security and additional performance guarantee by the contractor, will also be susceptible to compensation claims.
“I have taken a bank loan of ₹75 lakh for executing the project entailing a monthly repayment of ₹1.52 lakh. Besides, I have given advance for materials. If KSCCL cancels the contract, I will definitely sue them,” said Mr. Mahffos.
At a recent meeting convened by the District Collector, KSCCL made it clear that in such an event, the National Highways Authority of India (NHAI) should provide for compensation, which was shot down by the latter who maintained that it had no provision to pay except for the work done. On the demand for construction of the road at one go, NHAI officials told the meeting that they would reply within a week.
The NHAI had entrusted KSCCL with raising the stretch of the proposed road by four to five feet using soil. The idea was to construct a pukka road in the second phase after giving the elevated stretch a settlement period of one year through vehicular movement.
Meanwhile, Mulavukad Janakeeya Vikasana Samiti insisted on constructing the road in a single phase, arguing that the NHAI had done so in the case of Container Terminal Road and other service roads. “Also, the pipe culverts proposed along the stretch should be replaced with concrete culverts to fortify the service road and avert water-logging,” said Samiti convener M.F. Fahad.