Contractors delayed or abandoned works due to poor monitoring & supervision by Meghalaya PWD: CAG

Syllad | The Rising MeghalayaApril 9, 2023

The Comptroller and Auditor General (CAG) has pointed out poor monitoring and supervision of the works by Meghalaya PWD resulting in undue delay/abandonment of works by the contractors.

“Delay in completion of projects not only resulted in unnecessary locking up of capital, but also denied the citizens of the economic benefits of these projects,”according to CAG report.

As per CAG report, audit conducted a test check of records of Chief Engineer (PWD) roads, to ascertain possible causes for delays.

Scrutiny of the records (November 2022) revealed that five works/projects which were sanctioned in March 2015 and scheduled to be completed by March 2018 are lying abandoned till the date of audit (November 2022). All these works were awarded to M/s CCL International Pvt. Ltd. which specialised in Evocrete CCL (German)/Geocrete Soil Stabilisation technology.

Out of the total tendered cost of Rs 712.00 lakh, an expenditure of Rs 251.00 lakh has already been incurred by the Department.

However, there was no physical progress of the projects till the date of audit (November 2022).

Out of the five works, three works have already been overlapped with other schemes (PMGSY, SPF and RIDF) and in remaining two works, the contractor has not resumed work despite repeated reminders.

The above three overlapped works are still incomplete till the date of audit (November 2022). Scrutiny of records (October 2022) revealed that two works which were sanctioned in September 2006 and scheduled to be completed by 2009 remained incomplete till 2012 after incurring an expenditure of Rs 99.86 lakh due to demise of the contractor (2012).

The incomplete portion of these works were re-tendered in July 2013 and work order was issued (September 2016) to M/s R.B. Corporation, Tura after a delay of three years.

The cost of works had been revised to Rs 316.40 lakh and Rs 252.11 lakh respectively on 14 February 2022.

However, these two projects are still lying incomplete even after lapse of 13 years from their scheduled date of completion (September 2017) after incurring an expenditure of Rs 531.05 lakh (March 2022).

In respect of the test checked incomplete works, Audit observed that the PWD Department, apart from issuing routine reminders to the contractors, never imposed penalty clauses like levying liquidated damages, recovery of cost-escalations due to abandonment of works and blacklisting of contractors for commencement/ resumption/completion of works.