Building of the Nagaland Police Headquarters (PHQ) was constructed at a cost of Rs.2280.30 lakh out of which Rs.112.72 lakh for electrical work was yet to be cleared to the firm M/s. Azam & Associates.
The construction of PHQ office building started in 1998-99 with an estimated cost of Rs.142.30 lakh and was completed in 2004 with a whooping total bill of Rs.2280.30 lakh.
Altogether, Rs. 2167.58 lakh have been paid to 16 contractors while an amount of Rs.112.72 lakh balance was yet to be cleared to the firm M/s. Azam & Associates due to a legal tussle between the firm and Nagaland Electrical Contractors union which has now been amicably settled.
However, the firm was now demanding Rs.325 lakh citing escalation clause of the agreement of interest to be paid at the rate of approximately two percent per month over the unpaid bill.
State home minister Imkong L Imchen stated this in the floor of the house while answering to a question raised by opposition leader Tokheho during the question hour.
Replying to supplementary question, the home minister also told the house that the department was of the opinion that since it was not a party to the legal battle, it should not pay as demanded.
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