Margao Sopo contractor owes over Rs 45 lakh to MMC: SCM

Accuses MMC of resorting to ‘mischievous fraud’ by approving Rs 32 lakh waiver; Demands recovery of penalties from the defaulter

MARGAO: The issue of the illegal waiver of Rs 32 lakh of Sopo Contractor’s dues by the Margao Municipal Council (MMC) gets murkier everyday. The Shadow Council for Margao (SCM) has alleged that the sopo contractor owes over Rs 44 lakh to MMC as it has paid to the council only Rs. 31,76,705 instead of Rs. 76, 24,098 as on March 24 during the agreement period. 

The actual amounnt owed by the contractor to MMC is a whopping Rs. 44, 47,393 plus penalties, at the time when the council decided to waive 32 lakh on March 24. 

In a representation to the Chief Officer of MMC, SCM   delegation brought to fore certain facts gathered through RTI information, and made a strong demand for the recovery of all outstanding dues from the Sopo Contractor, along with penalties for the delay payments. 

Speaking to media persons SCM charged that the council has resorted to a very mischievous fraud, with a planned intent to defraud the Municipal treasury, and cause loss of revenue to the public exchequer. 

Citing that in spite of the fact that the sopo contractor was heavily in default of paying the dues as per the Agreement signed by the Council with the sopo contractor, yet a resolution dated March 24, 2022 was passed, approving Rs 32 lakh waiver. 

Savio Coutinho, Convenor, SCM  said as on March 24, the day when the Council approved the huge waiver, the sopo contractor had paid only five instalments out of the 12 monthly instalments payable. 

The sopo contractor did not fulfil the condition as per clause No 3 of the said agreement, whereby it was mandatory on the part of the sopo contractor to deposit with the Council -an amount of 9,53,012 and an irrevocable Bank guarantee of Rs. 19, 06,025 as security deposit, immediately after the Sopo Contractor was declared the successful bidder at the Auction held on February 26, 2021.

The sopo contractor apart from failure to pay the very first instalment of Rs. 6,35,341 which was due for payment on May 5,  2021, has made the first payment of 19,06,023 (being 3 monthly instalments) only on November 25, 2021, i.e. after more than eight months. As such necessary penalties are recoverable from the Sopo Contractor as per clause No 2 of the said Agreement, SCM stated.

SCM demanded penalties need to be recovered from the Sopo contractor. 

SCM further cautioned the Chief Officer that in whatsoever manner the waiver of any part of the dues payable by the sopo contractor are sought to be justified, all the penalties recoverable from the defaulting contractor should also be taken into account.

Coutinho charged stating that the Council is deliberately causing delay in furnishing information sought under RTI Act, pertaining to the sopo issue.  

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