KMC's development works: Sindh government accused of favouritism in awarding contracts

03 Feb, 2015

Sindh government is allegedly involved in granting contracts of Karachi Metropolitan Corporation's (KMC) various development projects to its favourite people through its works and services department, it emerged on Monday. Terming such an act on behalf of Sindh government a violation of Sindh Public Procurement Regulatory Authority's (SPPRA's) rules, sources in KMC's engineering department alleged that the provincial government in the last two years had awarded contracts of as many as 200 development projects to its favourite people.
The cost of the projects amounted to around Rs 5 billion, or some 70 per cent of total fund allocated under the annual development programme (ADP) of the district, they added. "The contracts have been issued without publishing tender notices in newspapers," the sources said, adding that the details of such tenders were not even available on the official website.
Quoting SPPRA rules, they said that advertisement of such works are required to appear in at least three leading dailies of English, Urdu and Sindhi languages. They also accused KMC's finance and planning department of its involvement in issuing administrative approval (AA) against two per cent commission from contractors.
Getting perturbed over the violation of the SPPRA rules, KMC's chief engineer in a letter written to the Corporation's administrator has stated that presently majority of the development schemes of KMC, being funded under the ADP, are being carried out `unlawfully' by the education, health, road transport and works and services departments of Sindh.
The letter further said that with the revival of Sindh Local Government Ordinance (SLGO)-1979, Sindh chief minister has notified that all the development works within the limits of Karachi shall be carried out by the KMC. However, the said orders have not been implemented as KMC's development works were still being undertaken by different departments of Sindh government.
Meanwhile, sources opined that such a situation was causing frustration among professional contractors and engineering staff of KMC. They said though the provincial government has transferred few schemes to KMC, still more than 70pc schemes are yet to be transferred.
City Contractors Association's (CCA) chairman Kamran Narenja said that majority of KMC's contractors have been facing financial crisis as the contracts of the civic agency's development works were being issued through Sindh government's works and services department. He also accused KMC officials of minting money by `arbitrarily' awarding contracts under emergency laws, although there is no emergency-like situation in the city.
Elaborating, he said: "Emergency means war-like situation, natural calamities, disastrous accidents, or when plant, machinery and engineering framework, which may give rise to abnormal situation, requiring prompt action to limit or avoid damage to persons or property or the environment." "Some officials of KMC, particularly those belonging to its finance, planning and works & services departments, are involved in execution of these schemes against heavy commission," he alleged.
"Almost all sector-wise construction works, including roads, streets, drainage works, playground and parks, falling under the jurisdiction of KMC/DMCs, are being carried out by Sindh government," he claimed, saying that such an act on the part of Sindh government amounted to open interference in the affairs of KMC. He urged the investigation agencies of the country to conduct an impartial inquiry into the matter and expose the culprits involved in such illegal practices.

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