November 14, 2002	Thursday	Ramazan 8, 1423

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ISLAMABAD, Nov 13: Hakas (Pvt) Ltd, a construction company, responding to a news item appeared in Dawn on Sept 30, said M/s DITCO, a Saudi firm, had qualified for many major road construction projects in Pakistan, including the Islamabad-Peshawar Motorway (M-1).

It said construction of Sitara Mile-Jhika Gali dual carriageway was awarded to DITCO in June 1993. The project could not commence due to financial constraints and changes in priorities after the change of the government.

The project was shelved and an alternate project was offered to DITCO. The NHA terminated the contract without any reason.

DITCO went into arbitration. The arbitrator decision was in favour of the NHA because the contractor filed to provide the performance guarantee of the work.

It said DITCO being legally and contractually on strong footing was keen to contest the arbitration award through civil courts and “definitely would win the case along with huge amount of claims.”

At this critical impasse, Hakas being an associate of DITCO persuaded them not to go for further litigation and made them agree for assignment of this work to Hakas.

Hakas said after taking all responsibilities/liabilities of a foreign company on its shoulders, it saved the government exchequer of Rs220 million of advance paid to DITCO.

It said that 35 per cent job had been completed and it also returned the advance payment of Rs123 million to the state.