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Norms followed in awarding contract: official

By Our Special Correspondent

HYDERABAD, OCT. 28. A. Raghothama Rao, Special Chief Secretary, GAD, has given a clean chit to the contract awarded to Nagarjuna Construction Company for construction of a permanent residence and camp office for the Chief Minister at Somajiguda here.

Mr. Rao was appointed by the Government to inquire into allegations of irregularities in construction of the complex.

He held that the prescribed procedures were "correctly followed" in calling tenders, scrutiny and finalisation and that no irregularities were committed in awarding the works to the company.

The officials concerned followed the short-tender procedure by calling quotations from six short listed firms on the lines of the pattern used for construction of `D' and `H' blocks in the Secretariat, he said.

Technical evaluation

According to these findings, tenders received within time were technically evaluated by a committee, which recommended the lowest tender quoted by Nagarjuna at 10 per cent excess over the estimates, and the Chief Engineer, R & B was "within his competence" when he had accepted the bid.

The panel held that the allegation regarding the cost of demolition of the two buildings was a result of misunderstanding.

The write-off value of the two buildings were confused with the cost of demolition which was Rs. 99,995 rather than the alleged amount of Rs. 1 crore.

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