The cash-strapped Capital Development Authority is facing catch-22 situation to decide the fate of Rs 1.1 billion cultural complex project that had been lying unaccomplished since last three years.
The Authority had launched the project in 2007 and was to be completed last year but the financial crunch impeded the construction activity leaving the CDA between hard and a rock place. No construction activity could take place since 2009. Recently, the project faced another blow as the contractor moved to the court for seeking nullification of the contract as the CDA could not resume construction activity. The Islamabad High Court had sought from the CDA complete report as why work on the project could not be restored. According to a CDA official, the Authority has already submitted reply in the court defending its position as why they cannot relieve the contractor. He said though the contractor had been awaiting restoration of the construction activity; however as per law he cannot retract the agreement.
He observed the contractor seemed to be on winning position as he owed Rs 120 million mobilization advance to the CDA that was paid to him before launch of the construction activity.
On the other hand, the contractor has around Rs 40 million payable by the CDA against the construction work. The project was designed by M/s Associated Consulting Engineers and the CDA had hired M/s Builders Associates to execute the project within four-year stipulated time. As per design, the Complex is spread over an area of over 25 acres of land located in Shakarparian.
He said the contractor is resistant to nullify the agreement, but the official was hopeful that the contractor would get no relief in this regard because under contract law, he is bound to continue working with the CDA till completion of the project.
“We too are on fault but two wrongs don’t make a right,” the CDA official commented.
He said the CDA has already spent Rs 400 million on the project. The civic body was mulling to restore the construction activity but any improvement in organization’s financial health is awaited.
He said some identical projects have also been developed in the vicinity like Pak-China Friendship Centre, Art and Craft Village, Open Air Theatre and Convention Centre having features similar to the under-construction Complex.
The official said as the CDA was in process to make Pak-China friendship Centre and Art and Craft Village as self-reliant, the Complex may lose its scope.
It is because all of these projects feature conference hall, exhibition area, and ample space for events like musical concert or public gathering. The CDA is now undecided as whether to spend more amount on the project or make already completed structures functional. As per layout plan, the Complex would have a 3,500-seated auditorium, an amphitheatre, piazza, conference hall and mosque.
Besides, two modern cinemas have also been designed in the cinema-less federal capital, restaurants and a gazebo. The official said the only solution is to engage the private sector to complete the project. He said the structures of cinemas and open air theatre are almost complete, and the CDA can earn huge revenue by running them through private sector.
when was this case heard last time?? date please??
Comments are closed.