Moos in the dark: After IHC orders, CDA takes over cattle market

Civic agency lacks manpower to manage area.

ISLAMABAD:

The Islamabad High Court did not grant any relief to the Capital Development Authority on Monday as it upheld a previous decision on the annulment of a lease agreement the authority had signed with a private firm for the temporary cattle market in Sector I-11.

Following the decision, the CDA has not only lost revenue to the tune of Rs21 million — the successful bid amount — but would also have to pay an additional Rs 18.5 million to the contractor against claimed expenditure on making arrangements at the site before the contract was nullified by the court.

It has also left the authority in an awkward situation amid shortages of staff and facilities which make it seem unlikely that the CDA would be able to properly manage control of the 25-acre market.

“The contractor has asked the authority for reimbursement of Rs 18.5 million it claims it spent on the provision of several facilities at the site,” said the CDA municipal administration director.

Who played what role

Two days before the authority received the Rs 21 million bid for the contract, bidding was held at the CDA building. The highest bid offered at that time was Rs5.6 million. After allegations of fixed bidding were raised however, the CDA rejected the bid and announced a new date for the process.

The Rs21 million bid offered two days later was a record for the specific contract.

The bid was accepted and it was also shown that contractors had attempted to manipulate the bidding process.

After the bid was accepted, the contractor was asked to mobilise its manpower and make arrangements at the site. In response, the contractor deputed workers at the site to install lights and make other necessary arrangements.

According to insiders, around the same time, some reporters covering the CDA and IHC, “aggrieved at not getting a piece of the pie” from the successful bidder, contacted a well-known livestock vendor and assured him of their “full support”.

Consequently, the court was moved against the successful bidder and finally it decided against the CDA and the successful contractor. The sources readily admitted that the CDA failed to effectively plead its case before the court.

Managing the market

After the court orders, the CDA expelled the contractor from the site and took over management of the market. Around 20 staffers have been deputed to manage the market, said Hamza Shafqat. The contractor had agreed to have 400 staffers at the 25-acre site.

When asked about the lowly figure, Shafqat said it represented all the manpower available with the civic agency at present.

On Monday night the contractor removed the large lights it had installed at the site, plunging the whole area into darkness and forcing vendors to shift their animals along IJP Road, leading to  a cattle-induced traffic jam on the road.

The CDA was still trying to restore lighting in the area when this report was filed.

Shafqat said the CDA had been facilitating buyers and sellers at the site in line with court orders.

He said entry of animals was totally free and vendors were not liable to pay anything to establish counters within the market.

According to the terms and conditions of the nullified contract, the contractor was allowed to charge Rs200 as entry fee per head of cattle and Rs120 for each goat or sheep. This rate was also validated by the CDA Board in a recent meeting on the exercise of powers granted to the body under the CDA Ordinance 1960.

Published in The Express Tribune, September 30^th, 2014.