HC stays CETP set up for three months

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FE Report The process of setting up of Central Effluent Treatment Plant (CETP) and relocation of tanneries from the city's Hazaribagh to suburb Savar became uncertain, as the High Court (HC) recently issued a stay order for three months. A Division Bench comprising Justice AHM Shamsuddin Chowdhury and Justice Jahangir Hossain passed the stay order Sunday. The HC order directed the authorities concerned not to issue any notification of award or signing of the agreement or work order for the construction and implementation of the CETP for a period of three months. The Bench also issued a rule nisi upon the Industries Ministry secretary, Bangladesh Small and Cottage Industries Corporation (BSCIC) chairman, Technical Evaluation Committee chairman and project director of Tannery Estate, BSCIC following a writ petition filed by VA Tech WABAG, an Indian company and the second lowest bidder. Mr Sujoy Banerjee, chief manager (Legal), of the company filed the writ petition seeking a direction upon the respondents to implement the judgment of the Review Pannel-2 of the Central Procurement Technical Unit (CPTU) on October 5. Barrister Mahbub Shafique of Barrister Shafique Ahmed and Associates appeared for the petitioner VA Tech WABAG which lost in the bid. On December 5, the Cabinet Purchase Committee approved the Industries Ministry's proposal to award contract to a Chinese contractor - JLEPCL-DCL JV to set up the CETP at Savar Leather Industrial Park. JLEPCL-DCL JV emerged as the lowest bidder offering a price of Tk 4.7746 billion, while VA Tech WABAG became the second lowest bidder with its financial offer of Tk 5.2382 billion. Officials said the two foreign firms were primarily selected in April this year for the work after completing all formalities through floating a tender for the project. VA TECH of India and JLEPCL of China were selected out of 13 local and foreign firms that took part in the bidding. The BSCIC, the implementing agency, selected the company after evaluating its financial offers and recommendations of the technical committee. Earlier, the High Court directed the Industries Ministry to relocate tanneries at Savar from the capital but the High Court came up with the stay order. When asked, Industries Minister Dilip Barua told the FE, "We hope the High Court will come up with a judicious solution to the matter." He said the ministry will appeal on the stay order within one or two days. VA Tech WABAG brought an allegation against its rival of submitting forged bank guarantee but Islami Bank Bangladesh Ltd., local correspondent of Shanghai Pudong Development Bank, Nanjing branch, China authenticated the bank guarantee. As per proposal, the Chinese firm JLEPCL-DCL JV will execute the project on a turnkey basis.