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Gasifier crematorium: Corpn. terminates private firm’s contract

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The Hindu       01.09.2016  

Gasifier crematorium: Corpn. terminates private firm’s contract

The City Municipal Corporation has terminated ed the contract given to a private company for establishing a modern gasifier crematorium at a cost of Rs. 1.50 crore at the burial ground in Erumapalayam, for failing to complete the work on time.

The crematorium was proposed to have modern facilities, including generators and sanitary complex and also place for performing rituals.

Under the Infrastructure Gap Filling Fund 2013-14, the subsidy from the government would be Rs. 1 crore while the civic body would contribute Rs. 50 lakh from its general fund.

Tenders were floated in January 3, 2014 for establishing the crematorium and the contract was awarded to the company in February 12, 2014.

The project was proposed to be completed in 190 days. However, only 30 per cent of the work was completed while no work was carried in the past two-and-half years.

With the Commissioner of Municipal Administration coming down heavily on Corporation officials for failing to monitor the work, the civic body through its four letters in 2014 and 2015 had asked the company to complete the work.

Also, since funds were sanctioned in 2013-14, the civic body should submit reports on projection completion and utilisation of funds. But the company in its letter dated December 7, 2015 had informed the Corporation that their industrial unit in Chennai suffered massive damage due to flood and they were not in a position to execute the project.

The company promised to start the work in May 2016, but failed.

Hence, the civic body decided to cancel the contract awarded to the company.

Corporation officials told The Hindu that the company’s security deposit would be forfeited for failing to complete the work as per the agreement.

They added that the project cost would be revised and re-tender would be floated soon.