YP Construction fined millions for failure to build bridge

BY RAJU LAMICHHANE, Rukum West, Feb. 10: Nepal government has decided to fine Rs. 85 million to YP Construction Pvt. Ltd, the company entrusted with the construction of a bridge over the Bheri River, connecting Rukum West and Jajarkot under the Mid Hill Highway Project. 

According to the Mid Hill Highway Project Dailekh office, the government had decided to refund the advance amount and confiscate a collateral amount of Rs. 7.2 million along with the fine after the company had neglected and delayed the construction of the bridge for 10 years. Senior division engineer Yuvraj Pokharel, head of the project office, informed that the contract was cancelled on December 15 and after that advance money of 2.6 million rupees was taken back and the collateral money deposited in the bank was also confiscated. 

The government has fined the company with Rs. 85.8 million under the Public Procurement Regulations 2007. According to the regulation, there is a provision to recover the amount of the project from the construction company if the contract is terminated.  Pokharel informed that they were in the process of recovering the money for the new project for the construction of the bridge from YP Construction Pvt. Ltd. after preparing the cost estimate. He said that if the company did not pay the amount, it would be recovered through the Central Arrears Recovery Office. The construction company needs to pay interest in advance, additional amount and compensation amount as well.

According to the Project Office, the construction company had undertaken the construction of a bridge across the Bheri River connecting Adhera in Chaurajahari Municipality-2 of Rukum West to Kudu in Bheri Municipality-13 of Jajarkot. The construction company has only erected ordinary pillars on both sides till today, the office informed. 

Since the bridge could not be built, the road section from Rukum West to Jakarkot of the Mid Hill Highway could not be opened for the vehicles. Even locals are forced to walk for hours and cross by suspension bridge under Matela and Nakhira villages. 

Pokharel said that the new cost estimate for the project had been prepared and sent to the department. As soon as the department approved the cost estimate they would call for a new tender for the project.