Kamineni denies irregularities in Vizag Medtech Zone works
By Express News Service | Published: 09th October 2017 02:15 AM |
Last Updated: 09th October 2017 07:46 AM | A+A A- |
VISAKHAPATNAM: Denying any irregularities in the construction works undertaken at the project site of the Andhra Pradesh Medtech Zone (AMTZ) in Visakhapatnam, Health Minister Kamineni Srinivas on Sunday said that the tender floated earlier had been cancelled with the bidder failing in complying with certain provisions mentioned in the agreement. Speaking to the media on the sidelines of the launch of the Indradhanush programme here on Sunday, the minister claimed that there were no irregularities in the works of Medtech zone and not a single rupee had been given to any company.
“To complete the project at the earliest, we are floating the tenders in phases. For the first phase works worth `400 crore, fresh tenders have been called for as the earlier one was cancelled with the bidder failing in complying with the agreement,” he said.
The tender for the first phase of the works was bagged by the Lanco Infratech, but it had failed to provide the details of the Escrow account, for which the tender was cancelled.
Sources said that Escrow account condition was incorporated in the tender from the beginning to ensure that the money paid to the construction company was utilised only for the construction purpose. However, the bidder did not furnish the details of the escrow account, a mandatory provision mentioned as in the agreement.
Indradhanush launched
Launching the Indradhanush programme, Kamineni said that the fifth phase of this programme had been launched in 173 districts in the country, including East Godavari and Nellore in the State. The programme aims at immunisation of children and pregnant women.
What went wrong
The govt floated the tender for the first phase of AP Medtech Zone works worth L4oo crore
Lanco Infratech bagged the tender in the bidding process
As per the agreement, the bidder needs to submit the details of the escrow account to ensure that the money paid to it is utilised only for the works
With Lanco Infratech failing to comply with it, the tender has been cancelled
