Mining royalty contract: Both sides agree to let bidding continue

Constitutional petition filed by the successful bidder who fears some other party may be favoured.

KARACHI: A constitutional petition has been filed by Raza Hassan Channa, the successful bidder of a mining royalty collection contract who fears some other party may be favoured.

The petitioner moved the court through his counsel, Abrar Hasan advocate, maintaining that he is paying Rs200,000 every day to the Sindh government although there is no income due to the recent floods.

He referred to the re-tendering of the royalty collection contract and submitted that he was worried that now the contract would be awarded to a “blue-eyed bidder”.

Additional Advocate-General Sarwar Khan opposed the request for an order to maintain the status quo and stall the tender and bidding.

On Wednesday, a division bench of the Sindh High Court, comprising Chief Justice Sarmad Jalal Osmany and Justice Salman Hamid, sought comments from the Sindh mining and mineral development department and other official respondents named in the petition.

Both sides later agreed that the bidding process be allowed to continue but the final awarding contract would be subject to the order of the bench.

The bench, passing a consent order, adjourned the hearing till December 23, the last working day for the courts before the winter vacation.

Published in The Express Tribune, December 16^th, 2010.