Tender scrutiny for Dharmadom tourism project was fixed to favour one bidder, reveals RTI copy

Tender scrutiny for Dharmadom tourism project was fixed to favour one bidder, reveals RTI copy

Kannur/Kozhikode: Vested interests likely intervened in awarding a consultancy contract for a Rs 14.5 crore tourism project in Kerala chief minister's legislative assembly constituency, Dharmadam, in Kannur district.

It is alleged that a committee comprising higher-ups in the state tourism department gave more marks to one consultancy, while ignoring agencies with experience in developing infrastructure while scrutinizing the tender bids.

The project is about developing tourism infrastructure on beaches at Dharmadam and Muzhapilangad localities.

Documents accessed by way of the Right to Information Act reveal that an agency which had quoted the highest amount walked away with the contract for the Dharmadom-Muzhapilangad beach tourism project even as WAPCOS Limited, a Mini-Ratna Company, which quoted the lowest rate in the tender was rejected.

The evaluation committee comprising high officials apparently managed the marks deftly in their report while turning a blind eye to the guidelines, reveals a copy of the report obtained by way of the RTI.

At the first evaluation meeting held on February 19, 2019, the experts examined the technical tender and declared four agencies eligible. In the meeting held on February 22, the committee gave high marks to just one agency on three of the four aspects that were considered. WAPCOS was declared ineligible after giving fewer marks. While the committee had given high marks to the project conceived by this agency, when all the marks of all aspects were considered the company which was vested with the contract came first.

WAPCOS was even sanctioned Rs 50 lakh based on its 60-page report which was submitted earlier. (WAPCOS Limited was earlier known as Water and Power Consultancy Services Limited.)

Kerala Chief Minister Pinarayi Vijayan represents the Dharmadom legislative assembly constituency.

Commission share breaches cap

The consultancy commission for the tender winner was also fixed violating the existing cap on it. The lucky contract-winning consultant has been promised 6.35 percent commission, whereas WAPCOS had sought just 4.7 per cent commission.

As per the KIIFB guidelines for a project costing between Rs 100 to Rs 250 crore the maximum commission to be given is just 3.5 per cent. In this case more than double the amount will go as commission.

There is mystery behind the manner in which the final consultancy report was considered without the approval of the Kerala Infrastructure Investment Fund Board.

The consultancy was chosen through a global tender though the tourism department has a list of empanelled consultants.

The execution of the project, being implemented using the KIIFB funds, was first entrusted with the Infrastructure Kerala Limited (InKEL). But it was later given to the Kerala Irrigation Infrastructure Development Corporation (KIIDC).

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