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Home Ministry did not seek support of Physical Infrastructure Ministry
The ongoing government crackdown on non-performing and under-performing contractors is the sole doing of the Ministry of Home Affairs (MoHA) and other ministries have no part in it, a senior official at the Ministry of Physical Infrastructure and Transport (MoPIT) said.The ongoing government crackdown on non-performing and under-performing contractors is the sole doing of the Ministry of Home Affairs (MoHA) and other ministries have no part in it, a senior official at the Ministry of Physical Infrastructure and Transport (MoPIT) said.
The official told the Post on Friday that the MoHA had not sought any coordination from the Ministry of Physical Infrastructure and Transport (MoPIT) when it decided to take action against errant contractors, even though infrastructure development projects, such as roads and bridges, fall under the latter’s scope.
The official, however, said that the MoPIT had no reservations whatsoever against the MoHA’s move.
“We have our own procedure of taking action against non-performing and under-performing contractors. The Home Ministry has its own,” he said.
The convention is that contractors who fail to deliver on projects are prosecuted under the Public Procurement Act, or as per the terms set in the contract.
Under the Act, the concerned government agency could levy a fine, confiscate security guarantee, or terminate the contract and blacklist the firm that fail to deliver on its contractual obligations.
The Home Ministry, however, has been arresting the delinquent contractors under the Local Administration Act, citing that their negligence has affected the general public.
Home Minister Ram Bahadur Thapa and his ministry have certainly won plaudits from the hoi polloi, but the builders and contractors have a differing opinion.
It is a general consensus among contractors that the MoHA has gone beyond its jurisdiction. They have said that companies that do not honour contracts should be punished under the Public Procurement Act or the terms set in contract papers.
They also claimed that projects were not being delivered in time due to the government’s failure to make timely payment for the completed works and obstruction from locals, among others.
The government is also facing criticism for not taking action against those under-performing contractors who have political connections.
Newly appointed Minister for Urban Development Mohamad Istiyak Rai said he supported the move to punish delinquent contractors.