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Korean Exim Bank unhappy with bidding of land development project

Staff Reporter :
An allegation of irregularities has been raised in the tender evaluation of the Establishment of Digital Land Management System (EDLMS) project. Several companies participating in the tender process have complained that the authorities are trying to give work to ineligible companies at high cost by excluding the qualified companies those have the mandatory technical experiences as per the conditions of the tender. They have sent letter to the ministry to reconsider the matter.

It is learnt that Korean Exim Bank, the lending institution of the project to improve the country’s land management system and to modernize land records through digitization, has expressed its displeasure over the unfair evaluation of the tender process and placed its concern to the project authorities.

Bangladesh government has received a loan worth $ 35.85 million from the Korean Exim bank for this project. Five organizations have participated in the tender process of this project. The companies are— Samsung JVA, Syson JVA, Taihan JVA, Neighbor JVA (Neighbor System Company Ltd.) and Hyundai JVA Company.

An official on behalf of one of the participating companies, on condition of anonymity, said they have learnt that the bids of four companies except Samsung have been determined to be ineligible.

Citing so-called defects in documents for declaring them disqualified is trivial. Reasons were not notified to the disqualified companies. They allege that Samsung does not have technical competency standards that the lending institution requires.

One of the tender eligibility conditions of lending institution is that only SME companies can participate in tenders related to GIS or LIS projects. However, Hyundai Autoever, which has partnered with Samsung to fulfill the experience requirements of the tender, is not an SME.

This company provides car navigation services. Samsung did not have the required and accurate technology (GIS/LIS). They have submitted another company’s certificate. Still, the project director is trying to give the tender to Samsung in a hurry.

On April 27, Hyundai Corporation, one of the bidders participating in the tender, has sent a letter to the project authority requesting a re-evaluation and reconsideration of the tender process.

In its letter Hyundai said, “We have got to know that evaluation seems to be undergone unfairly. It is very regretful to know the above situation. Because, we made great effort to be more competitive in technical and commercial offer and was holding conference in our excellent technology to successfully carry out the project.”

“We hereby would like you to request for reevaluating and revisiting the process and recommend the project should be reconsidered with a fair evaluation committee,” also read the Hyundai letter.

Besides, Neighbor System Company Ltd has recently sent a letter to the Ministers of Finance and Land regarding the issue.

Letter said, “For your reference, four disqualified companies have technological superiority in the LMS business in Korea and we hereby kindly request you look carefully at this point and a re-bidding be conducted for a fair evaluation.”

However, Project Director Md Zahurul Haque denied these allegations. He said now the tender evaluation of this project is going on and it will continue till June 20. The time may be extended thereafter. Five companies participated in the tender process. As per PPR, who has been qualified cannot be confirmed before the evaluation.
He said, we have taken everyone’s clarification. As per the PPR, disqualified bidders should be informed. They will be notified. There will be a meeting with them. There they will be informed about their disqualifications. This will be held before the contract signing.
The Project Director said he did not know anything whether the project lender, Korean Exim Bank, has expressed its displeasure over the unfair evaluation of the tender.