CDA terminates garbage collection contract

ISLAMABAD:The Capital Development Authority (CDA) had terminated the garbage collection contract, terming it faulty and being awarded in a fraudulent manner.

The CDA board headed by Chairman Amer Ali Ahmed took the decision after receiving an inquiry report which pointed out that the contract had been awarded to an ineligible contractor in a fraudulent manner and on the basis of fake documentation.

However, the board members said the civic agency had finalised temporary arrangements to collect garbage.

“Since the inquiry report pointed out corrupt practices, we decided to discontinue the contract otherwise we can face inquiries in future,” said a CDA official.

He said the workforce engaged with the contractor would be asked to continue working under the CDA instead of the contractor till the new contract was awarded.

The CDA board also decided to refer the case to Federal Investigation Agency (FIA) to probe the alleged fraudulent contract.

The sanitation directorate was part of the Metropolitan Corporation Islamabad (MCI) and handed over to the CDA in October last year.

However, a month before its shifting to the CDA, the MCI then headed by Mayor Sheikh Anser Aziz awarded the contract against Rs 650 million per annum to a contractor.

The sources said in the inquiry report it transpired that the contractor could not arrange machinery as per the agreement and started the work on the basis of a letter of intent.

Besides, he was awarded contract on the basis of experience letters which were allegedly fake.

The CDA ensures cleanliness of the city through its own employees and a contractor. The contractor manages G-6, G-7, G-8, G-9, G-10, G-11, I-8, I-10 and highways while other parts of the city are handled by the civic authority’s own employees.

The contractor is supposed to have 1,290 workers and his own machinery. The contract was only for urban areas. However, sources said the board was told that the contractor did not have his own machinery rather in violation of the terms and conditions was using rented ones.