Mafia eyes Kakatiya works in Telangana

While the tenders for restoration of hundreds of lakes are set to be floated next week, the big contractors have formed syndicates to quote both highest and lowest bids to ensure that they secure majority of the contracts.

The government has received complaints from middle and lower-level contractors that they are being blocked by the big contractors from participating in the tenders this way.

The TS government has decided to restore 45,000 lakes across the state in five years by spending Rs 25,000 crore. This year, it has identified 9,000 lakes for the purpose by spending Rs 5,000 crore.

With such a huge amount involved in the project, contractors are classified into six categories, namely special class and classes I to V. Special class, class-I, II and III are big contractors, who are eligible to take up works throughout the state. Classes IV and V contractors can bid for works only within the circle where they are registered.

The “Mission Kakatiya” works largely pertain to class-IV and V contractors, since the work value estimates would be less than Rs 5 lakh. However, with the huge amount of money involved in the entire programme, big contractors have formed syndicates to beat smaller contractors and bag the works. By quoting both highest and lowest prices, they want to eliminate small-time contractors.

The big contractors have roped in “benamis” as class IV and V contractors as only Rs 10 lakh deposit is required for registration. Irrigation minister T. Harish Rao said, “We want to raise the registration amount limit for new class-IV and V contractors from Rs 10 lakh to Rs 50 lakh to discourage big contractors from using their benamis at this stage. The vigilance department has already been alerted.”