Ramky demands dues of Rs 27 crore from AMC

Lokmat News Network

Aurangabad, May 20:

The Aurangabad Municipal Corporation (AMC) is gearing up to submit an appeal in the Aurangabad Bench of Bombay High Court challenging the arbitrator’s decision stating to pay dues of Rs 27 crore to the former garbage lifting contractor (of Hyderabad) Ramky Agencies. The AMC has challenged the decision in the District Court, but it upheld the arbitrator’s decision.

The contractor has rendered its services in Aurangabad from 2009 to 2011. During these two years, the company claimed of using modern technology for effective solid waste management. The AMC has also transferred its permanent staff to Ramky Agency and their salary was deducted from the company’s monthly payment bill. Over the period of time, the company landed into financial trouble and after sometime, it served notice to AMC and informed about discontinuation of its service in city. The AMC tried its best to negotiate and settle the dispute, but yielded no results. Later on, the company winded up its base from the city.

According to company, the AMC has not paid its monthly bills, although it had spent crores of rupees on purchasing new vehicles required for the transportation of garbage. Hence the civic body should pay its dues. The AMC showed inability in paying the demanded money. Hence the company appealed before the arbitrator, who gave decision against AMC in 2018. The arbitrator ordered the AMC to pay

Rs 27 crore to the company. The AMC challenged the decision in district court.

The deputy commissioner Aparna Thete confirmed that the district court has upheld the decision of arbitrator. The AMC will now appeal in the High Court, she said.

Ramky held responsible !!

The then public representatives in the AMC body has regularly rated the performance of Ramky Company as unsatisfactory in the standing committee meetings and general body meetings. It is being said that the economical crisis and harassment prompted the company to stop the works.

Reddy moving in direction of Ramky?

Presently, the AMC has awarded the contract of lifting and transporting garbage to Hyderabad based Reddy Company. It is alleged that the company has also failed to achieve results as per the mutual agreement; render service as per its convenience; failed to implement 100 per cent door-to-door collection of garbage, etc. Meanwhile, there are complaints from commercial markets and different residential localities that the ‘ghanta gadis’ does not arrives in their areas. Hence it is feared that Reddy Company is also moving in the direction Ramky Agencies and may again paralyse the solid waste management of the city?.