CIAA halts release of Rs. 60 million to Korean construction company

The Commission for Investigation of Abuse of Authority (CIAA) has issued an order to the Civil Aviation Authority of Nepal (CAAN) to stop the release of the amount of Rs. 60 million to the Sambu Construction Co. of Korea.

According to CIAA, the amount of Rs. 1.20 billion has been already handed to Sambu Construction as a contract to expand the International terminal building, operation airlines complex and car park at Tribhuvan International Airport (TIA).
 

The Sambu construction had asked Rs. 160 million from CAAN as a compensation for the delays in the construction due to technical problems and bandas.
 

The CAAN board had agreed to provide the amount of Rs. 60 million as compensation but the company had refused to accept the amount of less than Rs. 160 million.
 

CIAA said that it has already seized documents related to the construction of TIA project and payment procedures for further investigation.
 

The government had also handed an additional amount of Rs. 6.7 million to complete the ground leveling and earth removing work but the company had submitted a bill for Rs. 54.7 million in 2001.
 

But according to the technicians Rs. 7 million would have been sufficient for the work.