TEAM HERALD
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PANJIM: Admitting that malpractice might have existed in the sale of M V River Princess scrap, the Goa government Monday assured the Legislative Assembly that it would initiate inquiry into the allegations of fraud.
“Prima facie, there seems to be malpractice in the sale of scrap. Give me the details, we will inquire,” Chief Minister Manohar Parrikar said replying to a starred question by BJP legislator Michael Lobo on the status of the infamous River Princess.
Lobo sought an assurance from the government that it would file a Vigilance complaint against M/s Arihant Shipping Company Private Limited for misguiding the government by submitting that the ship wreckage was completely removed last year.
Arihant Shipbreakers, a Mumbai-based company which was entrusted with the work of breaking and removing the grounded vessel, had claimed in June 2012, that the grounded vessel was totally removed.
Interestingly, Lobo, a BJP MLA, was visibly upset with Tourism Minister Dilip Parulekar for not ordering inquiry against Arihant. Parulekar insisted that Lobo should provide some documentation against Arihant and agreed to give all the relevant files.
The minister clarified that the tender to Arihant was issued during the Congress-regime. “Arihant blundered by not removing it fully, although the tender was to remove the remains of the ship completely. Our monitoring committee is meeting on April 5, you place your grievances before it,” he told Lobo.
The discussion between the two BJP legislators resulted in heated verbal argument. Lobo also raised objection as to why the government was continuing with the same company for salvaging the wreck lying beneath the sea bed. He demanded immediate suspension of the agreement signed by the government with Arihant.
“Inquiry has to be conducted… the company sold the scrap worth Rs 14 crore. It sold at undervalued rate,” he reiterated in an apparent angry tone.
Lobo was supported by Independent Fatorda MLA Vijai Sardesai who questioned the tourism minister and asked what was the guarantee that Arihant would not cheat the government again.
The chief minister, intervening in the discussion, assured to institute an inquiry into the matter related to selling of the scrap. He also assured that the contract with the company was on the basis of “no cure no pay”.
“As far as removal of the ship is concerned, the company would not be paid the money till they clear the entire wreck from the sea bed. So if they fail to remove the entire ship, they won’t be paid,” he said adding the monitoring committee will take a final call. “It is not a new contract but we are telling Arihant to complete its contract. It is a continuing contract.”
Parulekar in a written reply in the House confirmed that a substantial portion of the wreck or debris of M V River Princess has remained at the sea bed, as per magnetometer and diving report received from the National Institute of Oceanography.
“The debris is approximately 180 metres in length and 40 metres in breadth and un-estimated whole mass is still lying at the sea bed. The department has requested Additional General Manager (SR&GES), Goa Shipyard Ltd to appoint an agency having expertise in the field of salvaging to assess the weight of the wreck,” the reply read.
Vessel owner draws govt ire
PANJIM: The company that chartered M V River Princess ~ Salgaonkar Mining Industries Pvt Ltd, has attracted government ire with Tourism Minister Dilip Parulekar announcing action against the owner.
“When the vessel arrived at Panjim port, it was insured. However in 1999, the insurance certificate had expired. The government will initiate necessary action against the owner as per provisions laid down by law,” Parulekar told the House responding to an unstarred question by Calangute MLA Michael Lobo.
Lobo had questioned the government whether the company that brought the vessel in the Indian waters would be made to pay the damages to the environment in Candolim-Calangute beaches. The vessel was chartered by SMIL on bareboat cum demise charter.

