Latest update December 11th, 2024 1:33 AM
Nov 04, 2017 News
Contractor, BK International has denied he was overpaid on a contract for a four-lane road extension
between the Timehri Police Station and the Cheddi Jagan International Airport.
The denial would affect any plans by the administration to recoup monies it says it is owed by the contractor.
A performance audit report released on Thursday was highly critical of the project; saying that the contractor was overpaid by $76M.
The People’s Progressive Party/Civic (PPP/C) government had initiated the project to complement the expansion of the East Bank Demerara public road as well as that of the Cheddi Jagan International Airport (CJIA).
However, the project was fraught with problems. Not only did the government not conduct any feasibility study or needs assessments, but the Ministry of Public Works failed in its mandate to properly monitor the project being undertaken by BK, the report said.
According to the report, after five years, only 1.7km of the 2.5km of the roadway was completed, with barriers, signs and other safety markings still missing.
Yesterday, in response to the report, prepared by the Auditor General and covering the period January 1, 2011 to September 15, 2016, Chief Executive Officer (CEO) of BK Group of Companies, Brian Tiwarie, refuted allegations that he was overpaid.
“The reports are not correct,” said Tiwarie in the statement. “We categorically deny any claim of our company being overpaid. In fact, up to now the Ministry of Public Infrastructure owes money to the BK International Inc. for the said road project.”
BK said that the road diversion caused serious disruptions with GTT cables and, in an attempt to have the work completed at an early date, damage was caused to the cables.
An offended telephone company took BK International to court.
“This caused the company a sizable amount of money as BK had to involve two sets of lawyers to defend the case. It is regrettable that up to the time of writing, the Ministry of Public infrastructure and GTT were unable to have this matter settled.”
The statement noted that the access road was supposed to connect directly to the new terminal building.
“BK International was awarded a contract for $618.4M, with the project expected to start in July 2011 and finish a year later. Contrary to the audit report and the “sensational” news items, because of the diversion, the delays and the interruptions…the Ministry of Infrastructure and the government now owe BK International Inc.”
BK stressed that in 2014, it had taken media outlets on a tour of the access road project.
“BK had complained then that the delay was because GTT was still to remove some cables and poles. B.K had lamented that the utility company was to be blamed for the slow work.”
BK also pointed out that it was the Chief Roads and Bridges Officer who acknowledged that the contractor completed all other works in the last week of December 2016.
“Further, he explained that GTT has since given consent to remove the pole, but the contractor has to pay the company just over half a million dollars to remove the pole.”
The issue of monitoring of contracts and the completion, according to the terms and conditions as well as the quality of work has all been a critical one for consecutive administrations.
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