Friday, September 11, 2009

BBMP bonanza for a defaulter

BBMP bonanza for a defaulter
K Jayaram gets Brigade Road parking contract while still owing Rs 22.26 lakh to the City Civil Court; he is yet to acquire automated parking machines

When it comes to awarding projects, the Bruhat Bangalore Mahanagara Palike (BBMP) doesn’t seem to do a background check. At least, that is the inference one could draw from the Brigade Road parking contract saga: For the BBMP has entrusted the task of installing an automated parking system to R J Enterprises owner K Jayaram, who owes Rs 22.26 lakh to the city civil court!
Worse is that the parking contract on the upscale road has been awarded to him by the BBMP despite being aware of the fact that he does not own automated parking machines. Jayaram is all set to take over the parking system on Brigade Road from Oct 1 after the term of the current contract holder (Brigade Road Shops and Establishments Association - BSEA) ends on Sept 30.
Into the parking contract business for over a decade, Jayaram has reportedly defaulted on payments to the tune of Rs 22.26 lakh for the period between April 1, 2008 and March 31, 2009 in connection with the parking lot maintenance at the court complex. The High Court’s registrar-general too had ordered officials to recover the money from him.
But the BBMP chose not to verify his background before awarding him the Brigade Road parking contract.
BBMP additional commissioner (west) Venkatramana Nayak said “RJ Enterprises was the highest bidder and we have asked him to install the automated machines before Sept 30. My office has the power to provide some time to contractor to fulfil the requirement. If he fails to install the machines, then we will take action against him. The contract has been given on the shared revenue of 50:50 basis. He will be bound to pay Rs 3.39 lakh per month to BBMP.”
Meanwhile, Jayaram said, “I had asked for one month’s time to install the machines. I have spoken to three Indian companies to provide the machines. I am just verifying the rates. Soon, I will be ordering eight machines and from Oct 1, I will start collecting parking fees from Brigade Road. Before that, all the eight machines will be installed in the stipulated time.”
After the installation of the automated machines, the contractor has to pay Rs 3.39 lakh per month to the BBMP. But Brigade Road has 85 bays and the vehicles parked for 12 hours can generate Rs 3.06 lakh per month. So how would Jayaram generate another Rs 33,000 is the question left unanswered by the BBMP officials.


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