AHMEDABAD: The recent construction work allotment of multi-crore LIG housing project of the Ahmedabad Municipal Coprortaion (AMC) led to a controversy on Wednesday. The leader of opposition in the corporation accused the standing committee of helping contractors form a ring to get a large chunk of the Rs 759-crore project. The AMC would construct more than 4,500 houses for the lower income group under the scheme.
Leader of opposition Bhadruddin Sheikh claimed that in a recent similar project , the AMC paid contractors and developers Rs 12,000 per square metre. In the present tender, the AMC is offering to pay the selected developers Rs 24,000 per square metre - almost double the last payment rate.
"That's not all. There are several contractors who have quoted two different rates for the same job. For instance,one contractor was noticed quoting a rate 0.14% less in one set of LIG construction contract, while in another similar housing construction project work he has quoted 12.04% less. Similarly, there are several such major and minor contractors who are constructing the same set of houses but quote different prices for the same work. This clearly shows that the contractors have formed a ring," Sheikh said.
"The dimensions of the LIG houses are the same, they are being built using the same material and the packages of houses are also same. How is it then the AMC is paying contractors different money at two different places."
A senior AMC official replied, "In some places the construction activity will take place in the night, where the contractors pay a higher rate to the labor involved. In other areas we have found that some foundation strengthening activity has to be carried out, which costs more. It is for this reason that we have quoted two different prices," says the AMC