Kerala might lose further aid from JBIC

Thiruvananthapuram, Dec 3: Kerala might lose further financial aid for development projects in the state from Japan Bank for International Corporation (JBIC) following the delay in implementing the projects already sanctioned by the funding agency, the state Assembly was informed on Monday.

JBIC representatives had telephonically informed the government that they were not interested in going ahead with two projects, including Rs 3,000 crore Theerapadam (coastal path development) scheme, irrigation minister TM Jacob said. However, they have not yet communicated in writing about this, he added. The projects had been designed in anticipation of JBIC aid.

Jacob was replying to a submission raised by Opposition Leader VS Achuthanandan regarding the “irregularities” in selecting Pacific International Consultant as consultant for implemention of Rs 1,800 crore drinking water project assisted by JBIC.

Strongly refuting charges of corrpution in the selection, Mr Jacob said JBIC was not interested in global re-tendering in view of the loan agreement and wastage of time. Mr Achuthanandan said though the present government had an opportunity during a discussion with JBIC representatives to change the consultant “PCI”, it decided to select the same agency due to “special interest” taken by Chief Minister AK Antony.

He asked the government to order a judicial inquiry by a sitting high court judge into the whole matter.

— PTI