Fedders Lloyd Corporation Limited, the alternative company selected by the APNU/AFC government to continue the construction of the Specialty Hospital, which was started under the People’s Progressive Party/Civic administration is disbarred by the World bank until the year 2020.
This was made public today by State Minister, Joseph Harmon during a post cabinet media briefing.
Harmon told media operatives that government is still to make a definitive decision regarding the hospital’s construction, since the Indian Government has called for a fresh tendering process to select a new Indian firm, which will complete construction with the remaining 13.8 million US dollars.
The State Minister said following government’s assumption to office, the Government of India had agreed that it would fund the upgrade of three primary healthcare facilities, which include the hospitals at West Demerara, Suddie and Bartica.
The APNU/AFC had taken this decision after close to 5 million US dollars from the 18 million US dollars line of credit approved by the Government of India and disbursed through the EXIM Bank of India was already expended as payment to Surendra Engineering, which had to be taken to court by the PPP/C for failing to honour its contractual obligations.
However, the Finance Minister and Health Minister have been tasked with making the necessary inquiries from the Indian government as it relates to the way forward with the project, since, at the Cabinet level concerns have been raised about the loan being eroded by interest and other fees.
The Opposition PPP/C, sections of society and the Private Sector Commission, had raised several concerns regarding the credibility of Fedders Lloyd, in addition to the company being a client of the law firm of Vice President and Public Security Minister, Khemraj Ramjattan.
