February 7, 2011
M/s. Shilp Engineers
Engineers and Contractors,
3, Mayur, Opp. Karve Hospital,
M.G. Road,
Thane - 400 602
Sirs,
Pursuant to the instruction of our clients M/s. Haffkine Bio-Pharmaceutical Corporation Ltd. (HBPCL) having its office at Acharya Donde Marg, Parel, Mumbai - 400 012, and prefatory to institution of appropriate proceedings against you, we issue this notice to you.
Our clients say that Contract Agreement – Civil and Structural Steel Work, was executed with you by our clients on 10th June 2008. In terms of the said Agreement you as the Contractor was to carry out and complete the works in every respect in accordance with the contract and directions, to the satisfaction of our clients which you have failed to do.
Our clients say that despite giving ample opportunities, you failed to carry out the contract in terms of the contractual agreement. Our clients further say that despite their best efforts you have failed to meet the deadlines for finishing the contract which has caused huge monetary loss to our clients. Our clients say that despite repeated requests and follow-up through weekly meetings, you have failed to comply with the various conditions of the aforesaid contract and compelled our clients to issue this notice as you have failed to complete the contract as awarded to you for the reasons stated herein below.
1) You have failed to execute and complete works as per the drawings furnished by HBPCL/C & P Engineering Consultant Pvt. Ltd.
2) Non execution of work in accordance with the directions and to the satisfaction of HBPCL as per Clause 3.
3) Non furnishing of all the drawings on the work site as per Clause 4.
4) Failure to complete the work within the stipulated time period as per Clause 5.
5) Failure on the part of you to rectify the errors in the work carried out to the satisfaction of the HBPCL / Consultants as per Clause 7.
6) You have failed to remove or cart away the soil and filth from the site as per Clause 8.
7) Non submission of the statement in writing of the arrangements proposed to be adopted for the execution of the Contract as per Clause 9.
8) On receipt of L.O.I. you have failed to execute the project as per Clause 9.
9) You have also not rectified and/or reconstructed the imperfect, unsound and inferior quality work as directed by HBPCL / Consultant as per Clause 13D.
10) Failure to employ sufficient number of Technical Personnel for the execution of work in addition to a full time site engineer as per Clause 15.
11) You have failed to provide a GANTT Chart and a Bar Chart indicating the detailed program of work for each component to suit the overall completion period, for approval after receipt of L.O.I. as per Clause 17.
12) Failure to take and submit 2 sets of photographs of works in progress on monthly basis as per Clause 18.
13) Failure to implement and act upon the decisions taken up in the weekly/Steering Meetings in the presence of all concerned as per Clause 19.
14) Failure to obtain the written permissions from HBPCL / Consultant before undertaking and executing deviations from the assigned work as per Clause 24.
15) Failure to effect and maintain an Insurance Policy in the joint names against third party claims as per Clause 25.
16) Failure to submit weekly progress report giving following information to HBPCL as per Clause 29:
(a) Manpower employed: Managerial, supervisory and workmen (by trades).
(b) Progress achieved, machinery, tools, tackles, equipment, vehicles engaged.
(c) Expected dates for completion of various phases of the work.
(d) Any actual and potential delay in programme caused by the action of the Employer / Engineer / Consultant and other contractors working on site.
(e) A statement of material received, consumed, balance, theoretical requirement and actual consumption.
Our clients say that you have abandoned the Contract and failed to proceed with the works with such due diligence and failed to make such due progress as would enable the work to be completed within the time agreed upon and neglected and failed persistently to observe and perform various acts, matters of things to be observed and performed by you under the contract as per Clause 36.
For the foregoing reasons, our clients say that, the Agreement dated 10th June, 2008 is terminated and our clients have instructed us to call upon you, which we hereby do, to inform you that you are liable for the damages and losses in addition to liquidated damages mentioned under Clause No. 28 of the said agreement, the claim for which is being sent to you separately and on your failing to pay the same, we have peremptory instructions to institute suitable proceedings against you, at your entire risk as to costs and consequences, of which you please take a serious note.
Yours faithfully,
For M/s. Consulta Juris
Partner
Advocates for Haffkine Bio-Pharmaceutical Corporation Ltd.