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Non-releasing of Payment

Complain ID : CCN034166   42  

Contractor Complaint Complaint Date: April 27, 2020
  • State :  Assam
  • City :  Silchar
  • Address: Link Road, Lane No 12, Silchar 0S
Ref: IOCL-STS/Silchar/MBM-STS/01 Date: 27-04-2020

To,
The Prime Minister Office
South Block Raisina Hill,
New Delhi-110011, India.

Reference: 1. STS/PM/IOCL/19-20/MON dt. 06-04-2020
2. IOCL-HO/PJ/Silchar/Misc. Works/Sneha. Dated 16-Apr-2020.
3. PG portal complaint ref. PMOPG/E/2020/0302002
4. PG portal complaint ref. PMOPG/E/2020/0292858
Sub: Miscellaneous works at proposed POLL Depot, Silchar, Cachar District, Assam, Regarding: Non-releasing of Payment.
Dear Sir,
Followings are the reply from our end against the letter received from Indian Oil Corp. Ltd IOCL-HO/PJ/Silchar/Misc. Works/Sneha. Dated 16-Apr-2020.
Dear Sir,
1. As per terms of Contract awarded to M/s MBM Projects & Services by IOCL, the contractor shall not sub-contract the awarded work without any written approval from Engineer in charge.
I agree to your terms and condition laid on tender. However, after awarding of Job M/s MBM Projects & services sub-contract the same work to M/s Sneha Techno Solutions, Silchar. For 6 (Six) Months works were done smoothly and many RA (Running Accounts) Bills was released from Owners end after necessary checking’s from IOCL Reps.

Here we would also like to put on record that during execution of works IOCL representatives at sites were well aware of the situation and therefore it should have been their responsibility to correct the part of the main contractor where he has engaged sub-contractor beyond the standard SOP. Moreover, officials from IOCL at the site were well aware of the fact that M/s Sneha Techno Solutions, Silchar was engaged as sub-contractor by M/s MBM Projects & Services

2. In this regard, we would like to request Indian Oil Corp. Ltd to ask M/s MBM Projects & Services to provide details of transaction done in favor of M/s Sneha Techno Solutions, Silchar against the letter received from them. We would also like to bring your kind attention that since after prolonged days of not getting our valid payment against work done at Silchar IOCL project we were bound to take the recourse to litigation settle the dispute.

3. Apart from this with regard to financial transactions I would like to state that the GST for materials purchased by MBM has also been paid in the name of M/s Sneha Techno Solutions, Silchar and even at that point, in spite of we being the sub-contractor this
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GST was well accepted by IOCL without any cross question. The IMIR was also prepared in the name of M/s Sneha Techno Solutions, Silchar (Sneha Techno Solutions Account: MBM Projects & Services, Kolkata, IOCL,Silchar Project) by M/s MBM Projects & Services was also done after due approval from IOCL side, those are available with IOCL ofiicials. A mail from M/S MBM is attached herewith for ready reference.

4. Another important aspect related to material procurement also needs to be mentioned here. This very aspect was initially discussed with MBM Officials and IOCL Site Representative Moinarbond, where decision was made to allow procurement in the name of M/s Sneha Techno Solutions, Silchar, which meant that IOCL has accepted our direct involvement in the project, rather than only being a sub-contractor and working under the banner of MBM. Copies of signed IMIR are also available with IOCl office.
Therefore, the above mentioned points clearly state that IOCL had direct knowledge of what was going on and here they being the principal employer can come forward and try to mitigate the issue as my organization is feeling immense problem due to the cause stated above and this might land us into nomads land. Hence your kind intervention is requested to help us to overcome from this dreadful situation.

5. We would like to bring your kind attention on the fact that, after the blockade of payment from M/s MBM Project & Services against our work done amount and since then we had stopped working at Silchar IOCL Project. However, M/s MBM Projects & Services didn’t stop their work progress and reluctantly engaged other Sub-contractor at same location, without mitigating the previous sub-contractor amount. However, in this case also IOCL representative is aware of this substandard procedure done by M/s MBM Projects & Services. Eventually we have not intentionally or tried any means to either stop/slowed down the work of this project even though we are suffering from such huge losses due to the mishaps of both the parties. Even in the contract which was done by M/s MBM Project & Services while getting us engaged as a sub-contractor, it was nowhere mentioned that we would have to work as a third-party contractor and not a direct one under IOCL. We were only allowed to do the allotted work in whatever and whichever best means possible.

6. Therefore it is evident from the above fact that due to mishap of both the parties M/s Sneha Techno Solutions, Silchar is suffering from huge financial crisis as being a small vendor we have taken financial loan from the market and it has become very tuff for me to support my staffs due to blockage of funds.
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Hence, we request you to kindly intervene in this matter and direct M/s Indian Oil Corp. Ltd. to provide our payment against the security money of M/s MBM Projects & Services.

Encl: Copy of mail.

Copy to:
1. His Excellency, Professor Jagdish Mukhi, Governor of Assam, Guwahati.
2. Sri Sarbananda Sonowal, Chief Minister of Assam, Janata Bhawan CM Block Dispur, Guwahati :781006
3. Dr. Himanta Biswa Sarma, Cabinet Minister (Minister for P.W.D, Health and Finance), Government of Assam, Janata Bhawan, Dispur, Guwahati :781006
4 Sri Chandra Mohan Patowary, Minister of Commerce and Industry, Transport, Parliamentary Affair, Act East Policy Affairs, Skill Entrepreneur & Employment, Janata Bhawan F-Block Dispur, Guwahati 781006.
5. Dr. Rajdeep Roy, Hon’ble Member of Parliament, Silchar Lokshova Constituency,
Silchar.
6. Deputy Commissioner, Cachar, Silchar.
7. Superintendent of Police, Cachar, Silchar.
8. Mr. Mani James (GM, IOCL, HO, Mumbai).
9. Mr. Sri Pradeep Kr Baro, Chief Manager (E), Silchar Depot Project, Moinarbond, Silchar, Cachar, Assam.
10. Mr. D.K. Banerjee, Proprietor, MBM Projects & Services, 12-B, Room no. G 6, Ground Floor, Netaji Subash Road,Kolkata- 700 001.
11. Sri Debabrata Das, Advocate, District Bar Association, Silchar.


Yours Sincerely,


Soumitra Nath
Proprietor
M/s Sneha Techno Solutions,
Link Road, Lane No – 12, Silchar – 788006.
Phone No – +91 94350 70017
Jai Hind.
Complaint Against : Indian Oil corporation Ltd and MBM Projects and Services, Kolkata

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