Govt. appeals court decision to overturn GGMC award

Feb 06, 2014 News

Government has appealed a December ruling by which Chief Justice (ag) Ian Chang overturned a decision by the Guyana Geology and Mines Commission to award CB&R Mining a road contract.
The decision of December 5, resulted from an action brought by BK International against the Guyana Geology and Mines Commission (GGMC) to protest a contract for $385M.for the rehabilitation of Phase One of the Aremu Road in Region Seven (Cuyuni/Mazarui).
GGMC is represented by Ralph Ramkarran and supported by Minister of Natural Resources and the Environment, Robert Persaud, in the appeal which was filed on January 15.
Initially, GGMC had prequalified bidders including BK Intentional and CB&R, a mining company in Bartica, and advertised for bids since June 2013.
The advertisement had stated that the bidding will be done through procedures set out in the Procurement Act which demands that certain criteria are set out in the bid document. There must be compliance from the National Insurance Scheme (NIS) and Guyana Revenue Authority, (GRA) evidence of legal status experience in this type of work, human and financial resources, among other things.
When the bids were opened, BK’s bid was for $379.7M as against CB&R’s $385.5M. MMC had submitted a bid for $525.4M.
At the opening of the bid it transpired that CB& R did not submit its NIS or GRA Compliance certificates. Information regarding General and specific expenses nor equipment capabilities nor financial data nor did it provide any documentation proving its legal station a check at the various registries confirmed that there was no such existing registered entity as CB&R Mining.
An internal evaluation committee awarded the contract for the Aremu Road Phase One, Region Seven to CB&R despite BK protesting to Minister Persaud about the award.
The Minister retained Caribbean Engineering and Managing Consultants to review the matter
BK contended that CB&R was not a constitutional company and never did similar work before and did not comply with the requirements of the bidding documents.
BK also contended it was also the lowest bidder. Caribbean Engineering did not support the award of the contract to CB&R.
The matter went to court before the Chief Justice on September 13, last.
GGMC contended that it was not bound by the Procurement Act but the Judge found otherwise that Commission was indeed an agency of the executive Government and is therefore a “procuring entity” for the purposes of the Act.

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Govt. appeals court decision to overturn GGMC award

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