Arihant pays guarantee for Princess

PANJIM, FEB 15 Arihant Ship Breakers, the Mumbai-based company engaged for breaking the grounded M V River Princess off Candolim beach, on Tuesday paid the performance guarantee of Rs 10 crore, thus paving the way for signing the agreement between the State Government and the former.

To sign pact with Govt shortly

PANJIM, FEB 15
Arihant Ship Breakers, the Mumbai-based company engaged for breaking the grounded M V River Princess off Candolim beach, on Tuesday paid the performance guarantee of Rs 10 crore, thus paving the way for signing the agreement between the State Government and the former.
Director of Tourism Swapnil Naik on Tuesday evening confirmed that the company had paid the performance guarantee and the Government was expected to a sign formal agreement with the company shortly, but after obtaining the necessary clearance from the Customs.
Naik said they were likely to get the customs clearance this week notifying Britona jetty as the notified Customs Point as required under law. Broken parts of the vessel will be moved via sea to Britona jetty to be transported elsewhere.
The Government has also got clearance from Goa State Pollution Control Board today allowing the company to carry out the work of the ship breaking. However, clearance from the Coastal Regulation Zone (CRZ) authority is yet to come.
The issue of removal of the grounded ship has seen many a storm within the State administration. In 2005, Crosschem International Pvt Ltd, the UK-based company which was awarded the contract to remove the vessel, failed to carry out the salvage operation. The company had also not submitted a bank guarantee and the contract was later terminated as it kept delaying the work.
Then came Jaisu Shipping, a Gujarat-based company, which was awarded the contract in 2006. It too failed to complete the work within the stipulated time. The bank guarantee of Rs 5.5 crore submitted by the company was forfeited. The company remained in possession of the vessel for almost three years blocking the removal of the vessel.

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