High court scraps PPP deal for Asilo hospital

GOANEWS DESK, PANAJI | 12 August 2011 22:53 IST

Goa government’s first Public Private Partnership (PPP) project faced a beating with the Bombay high court today scrapping the deal for running state-run Asilo hospital of Mapusa on PPP basis.

The court has asked the government to scrap the letter of intent given to Radiant Life Care in this regard.

The high court has also directed the government to re-tender the contracts between the final three bidders.

Earlier Shalby hospital had challenged the government’s decision to award the contract to Radiant Life Care (RLC).

Shalby and Radiant were two contenders among the three final contenders.

Shalby had mentioned in its tender that they will be not charge a single rupee to the government to run the Hospital.

In spite of this, the health department headed by minister Vishwajeet Rane had issued letter of intent to Radiant.

Shalby had then filed a plea in the high court against this letter of intent.

While admitting that Shalby had promised not to charge a single rupee, the government however had come with an argument that the tender form was incomplete since they had neither mentioned it as Zero or Nil.

The high court however questioned the government why it did not get it clarified from Shalby but issued letter of intent to Radiant.

Opposition leader Manohar Parrikar had alleged a scandal in this deal as the 20-yeare lease to Radiant would burden the exchequer for not less than Rs 20 crore.

His claim was also supported by Congress MLA Dayanand Narvekar.

The BJP however has opposed running the Mapusa district hospital on PPP basis, while continuing its agitation to immediately shift the existing hospital to the new building. 

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Previous Comments

thank goodness,there is the HIGH COURT.or these SALAZARS wd behave as if there is no end to themselves.the NEXUS is very dangerous for the health of goa and goans.the nexus being the corrupt politicians+builder lobby +mine owners +contractors +goons+ police.

- lolo kamtie, goa | 13 th August 2011 12:01


It is unfortunate that almost every decision taken by the executive gets challenged in the Court and the judiciary has to step in to amend. Does this situation indicate wrong decisions aimed at other than public welfare as motive? While dealing with tax payers' money we see lots of wastage in almost every scheme. This is of concern especially when we have to create debt burden on the future generations to fund such schemes. Too much allocation on populist schemes makes people lazy and the system is pushed on verge of collapse --as has been shown in Countries like US. Will the Bureaucrats and Public servants exercise more care and constraints while dealing with public funds and avoid wasteful expenditures...?

- vishwas prabhudesai, loliem | 13 th August 2011 09:38


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