KANNUR: Kerala Pradesh Congress Committee (KPCC) president Ramesh Chennithala has demanded an Assembly committee inquiry into the government’s decision to award the Vizhinjam project works to the Hyderabad-based Lanco Kondapalli Power Ltd.

The Supreme Court on Monday dismissed the government’s plea against the High Court judgment asking it to consider the bids of Zoom Developers.

Corruption alleged

Speaking at a press conference here on the third day of the Kerala Raksha March he is leading, Mr. Chennithala said the Vizhinjam deepwater container transhipment terminal, a dream project of the previous United Democratic Front government, was now being seen as a major corruption issue as the Left Democratic Front (LDF) awarded the work to Lanco Kondappalli Power Ltd, a consortium, by ignoring the bids of Zoom Developers.

He said while Zoom Developers was understood to have quoted the works for an estimate which was Rs.332 crore less than the project cost quoted by the consortium, the government had gone to the Supreme Court against the High Court judgment instructing the government to consider Zoom Developers’ bids.

Alleging that real estate interests were behind the decision to award the contract to the consortium, Mr. Chennithala said that while Lanco Kondappalli Power Ltd. had demanded 1,092 hectares for developing the project, the Zoom Developer’s proposal required 162 ha to be reclaimed from the sea.

He said that the Vizhinjam project issue was going to be another major corruption issue along with the SNC Lavalin case.

“Minister of Ports M. Vijayakumar and the CPI(M) leadership owe an explanation on the Vizhinjam project issue in the wake of the Supreme Court order,” he said adding that the government should not help companies indulging in profiteering.

To a question on the Supreme Court’s observation in a case relating to the CBI probe in the disproportionate assets of Samajwadi Party leader Mulayam Singh, Mr. Chennithala said that courts could always point out if there was any flaw in the CBI investigation.

Equating the case against Mr. Mulayam with the SNC Lavalin case would not work, he said adding that the CBI probe into the SNC Lavalin issue was being done under the supervision of the High Court.

Moreover, Chief Minister V.S. Achuthanandan himself had expressed satisfaction in the CBI inquiry into the SNC Lavalin case, the Congress leader added.

Source: The Hindu