Stop advance payment and subletting works

Noida (UP)-based firm M/s Kaho has been blacklisted and debarred from participating in any tender process/notice inviting quotation, etc, for lifetime by the for failing to execute a project involving “supply and installation of 100 numbers of 6×40 watt solar high-masts in different parts of the state.” The work had been awarded to the firm in November 2021 and the APEDA has alleged that, despite being given advance payment, the firm failed to complete the work. It is unfortunate that such an important project has failed due to the failure of the Noida-based firm to execute the project.

The project could have immensely benefited the people of the state. However, this is not the first and also will not be the last time that a firm based outside the state has failed to complete projects in Arunachal Pradesh. When inviting tenders, the departments should strictly scrutinise the credibility of the firms participating from outside the state. Also, as far as possible, advance payment should not be made. Also these days, increasingly, the firms from outside the state while participating in the tenders, especially for major highway projects, quote a very low rate just to win the tender. It is seen that after winning the bid they do not take up the projects and sublet the projects to local contractors. They charge commission. This directly impacts the quality of work. This practice also needs to be checked.