Scribd Logo
Upload

Welcome to Scribd!

  • 130 views

    COMOROS 01 Synopsis

    Uploaded by

    Jaswinder Sohal
    This document provides a project synopsis for an 18 MW heavy fuel oil power generation project in Comoros. Key details include: 1) The project value was initially USD 32.9 million but later increased to USD 18.98 million. 2) The project involves constructing a power plant, fuel storage tanks, and electrical transmission lines. 3) Several challenges were faced during project execution including protests blocking the initial site selection, requiring demobilization and identification of a new site. 4) Extensive civil works were required at the new site due to poor soil conditions including raft foundations instead of piling.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd

    COMOROS 01 Synopsis

    Uploaded by

    Jaswinder Sohal
    130 views99 pages
    This document provides a project synopsis for an 18 MW heavy fuel oil power generation project in Comoros. Key details include: 1) The project value was initially USD 32.9 million but later increased to USD 18.98 million. 2) The project involves constructing a power plant, fuel storage tanks, and electrical transmission lines. 3) Several challenges were faced during project execution including protests blocking the initial site selection, requiring demobilization and identification of a new site. 4) Extensive civil works were required at the new site due to poor soil conditions including raft foundations instead of piling.

    Original Description:

    project

    Original Title

    COMOROS 01 synopsis

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    This document provides a project synopsis for an 18 MW heavy fuel oil power generation project in Comoros. Key details include: 1) The project value was initially USD 32.9 million but later increased to USD 18.98 million. 2) The project involves constructing a power plant, fuel storage tanks, and electrical transmission lines. 3) Several challenges were faced during project execution including protests blocking the initial site selection, requiring demobilization and identification of a new site. 4) Extensive civil works were required at the new site due to poor soil conditions including raft foundations instead of piling.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    130 views99 pages

    COMOROS 01 Synopsis

    Uploaded by

    Jaswinder Sohal
    This document provides a project synopsis for an 18 MW heavy fuel oil power generation project in Comoros. Key details include: 1) The project value was initially USD 32.9 million but later increased to USD 18.98 million. 2) The project involves constructing a power plant, fuel storage tanks, and electrical transmission lines. 3) Several challenges were faced during project execution including protests blocking the initial site selection, requiring demobilization and identification of a new site. 4) Extensive civil works were required at the new site due to poor soil conditions including raft foundations instead of piling.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    of 99

    COMOROS PROJECT SYNOPSIS

    Project Name ; 18 MW Heavy Fuel Oil Based load Grid Connected Engine Based Power
    Generation Project With Associoted Tonk Farm & Electrical Evacuation System AI
    Moroni, Union of Comoros;

    Contract No : 003/MPEEIA/2014 dated 18.09.2014


    Contract Value: USD 3.29.90.000.00 USD Thirty two million Nine Hundred Ninety Thousand only
    Amendment : Amendment Agreemenl ("An'cndmenl") is made on 17'11 of March 2015.
    Contract Value ; OIA L:SD 14.'1'1 Million, BlIEL 18 Million.
    Addendum No. 17- 410,' VI'-MEEIAHSPAfiSG Daled 21. Oel 2017_
    Conlract Value : OIA Scope increased to USD 18.98 Mil];"n,
    Employer
    ; Ministry of Production, Environment. Energy. Industry and Crafts (MPEEIAJ.
    Government of the Union 01 ComOfOS having its office at B.P. 41 MOfoni, Union of
    Comoro s
    Contractor : Overseas Intraslructure Alliance. AND

    •
    I3harat Heavy ElecTrical~ Limited,
    P:o.1C : MITCON ConsLlltancy and Engineering Services Ltd .
    funding : Under LO(" rrom EXIM Bank India. USD41.60 Million

    'N Dale Descripllon


    , 1. 12--07-2014 letter of Award (contract copy)

    .2. 17--Q3--2O
    15 Date of Approval of Contract by EXIM Bonk of India (contract copy)
    3. 09-06-2015 Securities ABG submitted.
    -' 4. 24-07-2015 l2 Schedule submitted Kick of Meeting with Client and Consultant,
    ,. 24-07-2015- Access to the Site effective dote of Contract Agreement. (Site change order file)
    First Stone Laying Ceremony Successfully inaugurated 00 28'" July 2015 in
    6. 28-07-2015 presence of Indian Ambassador from Madagascar, Vice-President of Comoros,
    Power Ministry & other Dignitaries. (Site change order file)

    7. 30-07-2015 OIA Registration at Comoros. (filel

    It was mutually agreed between BHEL & OIA that inputs required for Basic Design
    8. 15-08-2015 Engin~~rin9 will be submitted till IS'" August 2015. MOM of BHEL-Metrix-OIA
    meetin ,
    9. t9-Cl9-2015 Design Basis R~~ was prepared and approval received from client. (Site
    Cha~(le order file J
    , c
    W. Oct 2015 Blanket Tax exemption from finance ministry of ComOfOS. '" e:~tj,Jl0s-f
    , \ 0 .- £.
    11. Oct 2015 Work permit for OIA has been received,

    12. Oct 2015 Dar eSI~~laam Institute of Technology started Initial survey WOfk. (Site change
    order file .
    -
    13. Oct 2015 land near Dambiwani village for the Project is pravided by client and site access
    is ravided. ISite channe order filel

    ". 26-11-2015 Tap~r~Phic a~?


    chon e order file
    contour survey for power plant olea is completed. ISite

    15. Nov 2015 Topographical and contour survey of 21 KV line of 35km. at 3 different locations is
    completed. ISite change order file)
    16 Nov 2015 ERr test at different locations is completed. And approved by MITCON OT. 7.).
    2016 ISite change Ofder file)
    17. 18-11.2015 GeogrOPhiCOI/~O,~d bearing Capacity survey work started r, Ihe month
    November 201S. Site chon e order file of
    lB. Nov20IS
    Site office will be established after mobilization and approval 01 finol DOE.

    19. Nov 2015


    The necessary project sloH shall be deputed on site after site mobilization,

    20. Nov 2015 As per terms of Contracl Power and Water will be provided by Client. Which was
    not given by them. (PPJ)
    Nov 2015
    21. Detail designing work up to 80 % is completed and balance work is under
    progress end shall be completed based on Inputs from 8HELand Survey Report.
    Nov 2015
    22. The suppliersl Venders are identified and sholl be finalized in consultation with the
    Client/Con,ultant.

    • ". 23. Nav 2015

    Nov 2015
    The Client has appointed M/s Mitcon Consultant as a Consultant for the entire
    Project.

    The Consultant is conducting the supervision and monitoring the project progress.

    25. Nov 2015 As a port of review they are conducting periodic progress meetings with OtA and
    BHEl.
    26. Nov 2015 Preliminary Design and Drawings are submitted to Client/ Consultant and the
    same are approved b them.
    27. Jon 2016 Geo Technical soil investigation Survey report has been approved by client
    consultant in January 2016. (Site change order file)

    28. 14Jan2016 Bod to bad Contract given to MIs Green Power International Pvt Ltd.
    • Design Basis Report Prepared. Submitted & Approved by the Client &
    client's consultant on following basis;- (Site change order file)
    > Civil - Architectural Drawing.
    29. March 2016 Plant Layout
    Major BOQ at various activities are tinalized.
    I > Electro-Mechonical_ P & ID Drawing.
    Eiectrical SLD
    BOQ at various octivities are finalized
    30. March 2016 20 feet container for mobilized tor site office. (Site change order fiie)

    3'. March 2016


    Excavation started ond stopped by local Village Peopies. faddendum no-I)

    32. March 2016 Government was negotiated with local villagers but foiled to convince.

    Due to local villagers protest and political issue at old site domolmboini MIs OIA
    33. March 2016 demobilized from the old site and has to keep resources idle including manpower
    and machinery till the decision at new site. (addendum no-I)
    The Client proposed voudjou exisling piant considefing the next best sile for
    34. 08-08-2016 execution 18 mw HfO base power plant to mitcon vide letter dt.08.08.2016.
    MITCON reverted vide leUer dt. 24 aug 2016 about addilionalland requirement
    and tentolive lont la out.~(addendum no--l-;

    35. 17.09.2016 No objection certificate was handed personally 10 OIA. (addendum no-I)
    The new sife at voudjou was with full of brvshes and debris and unlevelled, During
    36. Sept 2016 varfoUS meeting with QIA, GDC confirmed to handover clean, levelled site, but
    the some was not happened. COnsidering delay in hondover. OIA has Carried
    out the Cleanin and land levelling and back filin activities at their own end.
    18.11.2016 Firsl Shipment 01 Machineries JCB Backhoe, Tractor & Trolley. Hydra etc (Site
    37.
    change order file) ltr ref no- TO/20/COM/OIA/2016_17 DT. 06.01.2017

    RE-designing of new site voudjou contains vesiculate volcanic fock & less so~
    38. Dec 2016
    thickness & formation i, highly porous oed need
    10 deep excavation &
    geotechnical report mention piling work to sustain high imposed of loads of
    en ine.lfoddendum n0-11 .
    Piling foundation are time consumable hence to avoid this ,OiA/6HEL consulted
    39. Dec 2016
    with geotechnicai expert in India. OIA proceed with extensive raft foundations to
    strengthen the base soil for Which extra civil material Is required.
    Custom clearance granted on 5.1.17 for First Shipment of Machineries. We also
    40. 05.01.2017 request 10 expedite custom exemption Icr future shipments. ll, e~
    11/20/COM/OiA/2)6-)7D1.20.1.17
    I.
    Cleaning team assigned by employer lailed to clear due to non-payment

    •
    41. 15.02.2017 to vendor.
    2. OiA intervened & comoleted the said activitv.

    <2. 15.02.2017 Site cleaning work completed at new site dated 15'" Feb. 2017.

    43. 03.03.2017
    Electrical SLD & Plant Layout submitted to MiTCON for 0pPfoval.

    ". 24.03.2017 OIA implemented changes as per MITCON comments.


    10.04.2017
    45. Boundary marking & NGl recarded by M/s GPI )Qfh APfit2017

    26/03/2017 Second lot of Shipment;


    46. Portland Slag cement, MS Fencing & Tor steel rods

    I. Ministry of Comoros still unable to clear machineries from Port.


    47. 19.04.2017

    ,
    2. Letter from SG for custom clearance on 24/04/2017

    48. 24.04.2017 Geo-technicalsoil survey completed at new site dated 10"' Ap,'it 2017 & reports
    approved doled 24'h APfil. 2017.
    24.04.2017
    47. Alter receipt of Detailed Geological slJlYey report Addendum is submitted to
    Power Ministry and Mitcon. [Ref GeologiCai expert repart.)
    50 Ap,'iI2017 Site Office & water storage lacility work started by Mis GPI

    Third lot of Shipment;


    Tonk Form Material;
    51. 26/03/2017
    HFO Storage tank (2 No), Diesel storage tank (1 No), HFO Selling Tank (1 No). HFO
    Day Tonk (1 No). lO Storage Tonk [1 No). Used lOTonl:. [I No). sludge Tank (1 No).
    Diesel Day TOnk'l] NOI-
    • 5 No Containers released dated 05"' May. 2017 .
    52. 05.05.2017 • 1 No container released dated 10'h May. 2017
    • 5 No container released dated 3O'hMov, 2017
    Design Drawing approved for ablution block. admin/ canteen/resl room. radiator
    52. 31.07.2017
    Structure, Chimney SUpporting structure. guard house. plant general layout.
    nower house, tank form. store workshoo build ina. sinoie line diaoram.
    53. 02.08.2017 Excavation work for Tonk larm completed doted 2"" Aug. 2017. Excavated area
    899 Cu M.
    Double cab pickup car Reached on 21.09.2017. Cu~tom is laking to long to clear
    54. 04.08.2017
    the containers. Due to which Detention and demurrage charges are levied.

    Fourth Shipment (Portial);


    55. 07.08.2017 OPC. Portland slog cement & Tor steel.

    56. 21.09.2017 Container Reached on 21.09.2017 Not yet Released. Custom is laking to long to
    clear the contoiners. Due to whiCh Detention and demurrage charges are levied.

    57. 21.10.2017 Addendum 01 is signed N 17-4101 VP-MEEIATlSPAFI SG And


    OIA order value
    increased to $1, 89. 83,4 14.50
    Powe.- House building foundation
    Engine Foundation
    Tank form foundation 20KL - 4No's
    Tank farm foundation 150Kl-2No's
    Tank form foundation SOOKL-jNo's
    Tank fOfm foundation 2SOOKl- 2No's
    Sepl2017 Chimney foundation
    58. to March Radiator foundation

    • 2019 Admin Building foundation


    Workshop Cum store building foundation
    Parking Shed foundation
    Treatment plont foundation
    Dyke wall of tank form area foundotian
    work

    Compound Wall
    All foundation comoJeled In the month 01 March 201?

    59. 15.04.2019
    Power house cable trench PCC & steel foundation work in under completed.

    60. 15.04.2019 AI19 Nos of Tanks ore ready for erection.

    Chimney foundation RCC raft costing & storter laying completed and pedestal
    61. 15.04.2019 steel fabrication is in progress.

    62. 15.04.2019
    Admin Building civil work completed balonce external plaster remaining.
    OIA hod given letter regarding Notice for termInation of work under GCC Sub-
    OJ. 15.04.2019 Clause 16.1 ot the contract for our invok:e Nos. 91002064. 400330 and 400331
    dated 21.01.2019, 06.02.2019 and 11.02.2019 respectively Amount $368507.31
    Ref letter No- 190/20/NOTICE/OIA/2019_20 DATED- 15.04.2019

    . EXIM Bank of Indio hod given letter to OIA lTD for update on project progress. Ref
    -"
    24.04.2019
    leiter no.GOILOC-15211 )/E-AF-COM/ 19/180 Dated.24.04.20 19
    65. 03.05.2019 Reply from OIA ltd given letter to EXIM Bank of india for update on project
    ress. Ref leiter nO.127/20/COR/OIA/2019_20 Dated.03.05.2019
    66. 07.05.2019 EXIM Bank of India had given letter to OIA LTD for reply on projecl progress. Ref
    leiter nO.GOllOC-152(lj/E-Af-COM/19/290 Dated.07.0S.2019
    OIA had given letter to EXIM Bank of India for ComQ(Os Bank Guarantee and
    J -67. 16.05.2019 again Request to release the payment pending since Feb 2019 with EXIM Bank of
    India, WhiCh ;, Direct Impacting
    0"'
    flow 0'
    work. leIter No~
    192/20/EXIM/OIA/20 19-20, 194/20/EXIM/OIA/20 19-20
    Exim Had given letter to OIA for disbursement payment $368507.31 holds on
    '"
    68. 23.05.2019 advice 01 MEA Due to various reasons including inter-alia. non-submission of APG
    & PBG, slow progress. Non submission of pwject implementation schedule. leiter
    Ref No-GOllOC-15211 1/E-AF-COMl19/482
    69. 25.05.2019 Government of Comoros had given leiter to Exim Bank of India for Release of
    I nendinn Payment of J,368507.31 letler ref no- 2019/29/Co-PROHFO/DGEME.
    ~ OIA had giyen leiter to Former minister GOC for status of Comoros project
    70. 03.06.2019
    renardinn site chan e and new site allotted and various acli~i;like cleanina of
    jungle,Geo survey wor~ and actually stalled of wor~ 20.04.2018 and smoothly run
    til Feb 2019. letter no- 199/20/COR/OIA/2019_20
    . -71. 04.06.2019 OIA had given leiter to MEA lor Response to the meeting regarding bank
    auarantee.letter ref no-195/20/COR/OIA/2019_20
    72. 13.06.2019 EXIM bank of Indio given letter to OIA for reason for payment hOlds, Leiter
    throu hmailbodvdl.13.06.2019
    73. 24.06.2019 EXIM B2~,,;~f In~~I, had given letter to OIA for lot 2 shipmenl clearance and
    ovide o"eellm lemen/ation schedule, civil woo, APG&PBG etc.
    OIA hod given letter to MEA for container clearing from customs and provide
    _74. 29.06.2019
    im~l~mentation schedule. ready for civil & ele~tro mechanic work to mobilise to
    site. Llr No-200/20/COR/OIA/2019_20 DT-29.6.19
    05. 12.07.2019 Notice 01 settlement between OIA & BHEL.

    -76. 23.07.2019 OIA had given letter to EXIM for Delivery 01 shipmenl in 2 lots. Letter ref no-
    136/82/COR/01A/20 19-20 dt .23.07 .19
    r--n. 01.08.2019 GOC had given letter to OIA for Withdrawal
    Leiter ref no- N 19-Q53/MEIEIETAPPG/SG
    of Suspension

    l78. 07.08.2019 Requesling for payment leIter given to GOC. letter ref no-200/20/COR/0IA/2019_
    20 dl.07.08.2019)

    • - 79.

    ,80.
    17.09.2019

    23.09.2019
    GOC had given letler to OIA lor Renewal
    Leiter Ref no- N 19-107/MEIElffiAPPG/SG
    Reply given GOC for Requesting for Payment
    Letter ref no- 227/10/COR/OIA/2019.10
    01 Withdrawal of Suspension of Work

    81. 04.10.2019 leiter 10 power Minister regarding Status 01 18MW HFO based pawer projecl
    Leiter ref no-228/20/COR/0IA/2019 20
    ~- 82. 02.11.2019 Goc had given letter to lOB lor Extension of APG letter Ref no-n 2Oi9/25/CO-
    PROHFO/DGEME.

    83. 05.11.2019 Visil of vice precident of indio & paymenl reminder from GOC to MEA
    leiter no- N 19-Q69/MEIEIETAPPG/CAB

    OIA had given leffer to GOC Power Minister for STATUSOF 18MW HFO BASED
    \- 84. 09.01.2020 POWER PROJECT AND NON PAYMENT OF RUNNING BilLS. Letter-
    239/10/COR/OIA/2019.10

    ._85. Regarding payment aod BHEL filled Case


    16.01.2020 againt 0" & Atlas.
    - Ltr-241/10/EXIM/OIA/2019_20

    • 86.
    -
    87.
    16.01.2020

    21.01.2020
    EXIM bank of Indio had given reply on pending payment
    Phase-) . Comoros to OIA letter no- GOILOC-DIA19!2S44
    Reply to EXIM leiter no- GOllOC-0IAI9/2544
    243/20/EXIM/OIA/20 19-20
    Regarding
    of ROC.Ethiopia

    payment.
    TSF

    Leiter no-

    88. 05.02.2020 GOC had given letter to lOB for Extension of APG.
    Letter no- N lO20/01/Co-ProHFO!OGEME.

    ~9. 18.02.2020 OIA has given letler to GOC for Waiver Demurrage charges
    Leiter no-162/82/COR/OIA/20 18-19
    90. 18.02.2020 OIA has given leiter to EXIM for assignment of the payments to atlas shipping pvt
    ltd. Leiter no-159/82/EXIM/OIA/2019_20

    9J. 29.04.2020 OIA hod Given instruction to MEA fO( direct payment to atlas shipping ltd
    Letter no-I65!82/COMOROS/OINI021).21, 166/82/COMOROS/OIA/202().21
    - 92. 10.06.2020 0" had Given instruction to MEA fO( Immediate Intervention needed f~
    authorised pending payment direct payment atlas shipping.
    93 24.08.2020 OIA had given letter to MEA for pending disbursement and execution under
    tendaho. roc.comoros project. (moiled date-24.08.20)
    1-94. 24.08.2020 OIA hod given letter to EXIM for direct payment to MIs Aflas Shipping lid.

    95. ~ Petition filled BHELto court ~g~inst OIA Ltd


    ~6. 08.09.2020 OIA hod given letter to EXIMto( Disburseoor pending payment to Atlos Shipping .

    •
    "1

    Ref. : 242/20IEXIM/OIAl2019.20
    Dale : 1S--Jan, 2020 ••••••••.••• "" ••• T'Irt.ICTIJM' ,IillI,NC>
    building infrastructure
    _worldwide_
    To, ,
    Ms. Shilpi Goyal,
    Manager, Unes of Credit Group,
    Export Import Bank allndia,
    7~ Floor, Office Block 1,
    East Kidwai Nagar, New Dlehl-l10023.

    Reference: 1. Cootracl Agreement No. 003IMPEEIAl2014 dated 18

    • September 2014 together with Amendment NO.1 dated 17


    March 2015 and AddendumNo. 01, No. 17-410Np.
    MEEIATISPAF/SG dated 21 October 2017
    2. Contractor's notice vide letter no, 190/20/NOTICE IOIAf2019-20
    dated 15 April 2019 for 5uspensioo of work under Gee Sub-
    dause 16,1 althe Contract;
    3. leller to Exim bank (196/2OJEXIM/OIA/2019-20 dated
    24" May, 2019,
    4, Letter 10 Hon. Power Minister (239/20fCORJOIN2019-20)
    dated 09.01.2020 with a copy 10 Exim Bank.

    Dear Madam,

    We woold like 10 bring to your kind oolite thai our following bills are pending (Amounting

    • to 3,68,507 USD) with EXIM 8ank since Feb 2019 ,l'A1ichare duly approved by Mis
    Mitcon, their consultant and certified by Govt of Comoros, During the hon. C<lurt
    mandated meeting held on 21'<1Jan, 2020 at level of MEA Delhi, it was specifically
    revealed by the officials of Exim 8ank that they have taken a decision to slop all
    payments to OIA under the project and accordingly ij was also slated that no payment
    has been made by them to OIA since Feb, 2019 onward.
    •
    On account of withholding of payment by Exim Bank, invoices of services provided by
    local vendors as well as material suppliers are pending. Somehow, we manage to
    explain Ihe situation to these vendors for past one year but now if is very difficull fa
    explain the reason for non-payment.

    OVERSEAS INFRASTRUCTURE AtLlANCE (INDIA) PRIVATE LIMITED


    R'li""od Offi<, Cotl""" Offi",
    5(11,00 _. ~roc_ Iltl<io<J. Ro.>o, 1109.SlK). K••• 8u1lG<9, 'I. K,,~ I)rd'>I ~
    ~_ (£j, I.II.imO>I • 400.091,km H•.• Doh. no 00', kxlo>.
    --, --------------------------------------

    As a consequence 01 non-payment by Exim Bank, Certain bills as mentioned in


    follolfling statement are pending with Govt 01 Comoros (Amounting to 3,02,800 USD)

    DOCUMEWS SUBMITTED S. PAYMENT PENDING values In USO


    •
    PAYMENT PENDING WIT1i EXIM Present~b" V~lue (60%)
    SUWLY IN\!. 9100206$ T--
    -, 32702.31
    SERVICEINV.400330 93420,00
    SERVICEINV.40033!
    ------~
    I 242385.00 368507.31
    - --' - --- ~.- J
    PAYMENT PENDING WITll MITCON
    SUPPLY I'IV. 91002071 12918.93
    SUPPLY RETENTION IN\I.OCl9 7603.54 20522.41
    PAn.IENT PENDING WIT1i GOV. COMOROS
    ,-" ----
    SUPPLYIN\!. 91002101 1 '_' __ 68957.67

    • SUPPLY IN\!. 91002107 (FRr& INS)

    -
    ---- - ----
    -- .-.
    SUPPLY INV. 91002109
    - ---~-
    SUPPLY IN\!. 91002108 (fRt"& INS)
    ----_._--
    133655.62
    11n9.28
    173lUO
    611308.65
    282218.8652
    671308.6452

    The abo~e issue has resulted into non-payment 10 Mis Alias Logistics lor the malerial of
    BHEL. BHEL has flied a case in han. high court against OIA, Atlas Logistics and EXIM
    Bank, We are facing ailihese problems as a consequence of non- payment by Exlm
    Bank.
    Government 01 Comoros is also pursuing us lor restart 01 work. It is now beyond our
    control to manage the situation and answer to government of Comoros and all Comorian
    vendOl1l.

    We humbty request EXIM Bank to release our with-held payment so thal we will honour
    !he vendor's payment and restart the worl\.

    • Thanks and Regards,


    UNION DES COMORES

    ....
    Unite - Solidarite - Developpement
    -_ ..~ _--

    VICE _ PRESIDENCE CHARGE


    DU MINISTERE DES FINANCES, DE
    L'ECO:-':OMlE, DU BUDGET, OF,
    L'L"WESTISSEMENT ET nu
    COMMERCE EXTERIEUR,
    CHARGEE DES PRIVATISATlO/liS
    ---_ ...---
    W 15/...1 05 MFBECEP

    Le Vice Prisident
    Moroni, '61 OCl:ID\5

    • To
    Directors of the Consortium
    OIA lind BHEL compal'lies
    NEW DELHI

    Subject: Blanket Tax Exemption for OIA,BHEL & their Sub-contractors fur 18 MW Heavy Fuel
    Oil Based Power Plant Project at Moroni, Comoros.

    This is to inform you thai we are giving OIA-BHEl & their sub-contractors, the Blanket Exemption
    from Custom/Import Duty, Import license Fees, VAT, CorporatelBusiness Profit Tax,
    personallEmploymanl Tax including Social Security Contributions, Visa Fees, Contract RegiStration
    I Fees, Labor license Fees or any nature whatsoever levied in Union of Comoros.

    As Per the Para 3,1 (E) of the agreement entered into between Union of The Comoros and EXIM
    Bank of India which provides for exemption from aU kinds of taxes and duties of any nature
    whatsoever levied in the borrower's country for all the contractors and the sub-contractors

    • "the borrower shall provide to EXIM Bank a confirmation to the effect that the Eligible Goods shall be
    exempt from ell kinds of taxes and duties of any nature whatsoever levied in the Borrower's eounlfy
    including all corporate! personeVvalue added taxes, impolt/custom duties, special levies and social
    security contn'butions for temporary employees, deputed by the seller in relation to the execution of

    I the contract in the Borrowers' country"

    I remind you that the Government of the Union of Comoros will respect as per the letters of the
    undertaken and registered commitments on the contract signed between the two parties related to
    the setting up of the heavy fuel power planfs,

    Please accept. Director Sirs, expression of my sincere consideration.

    Mrs Siti KASSIM


    "'_._-----------------------------_.

    UNION OES COMORES

    Ministere de Ia Production,
    de rEnvironnement, de l'Energie, de r10dustrie
    et de rArtisarlat
    [l:i>)'1 ;)JJ

    .;JJ l..:.u..llJ
    •..• ~ J~J
    LA MINISTRE.

    .>WI'
    RM.N"015-.ASG WEEW CAB

    Dale: :t 7oloQJo1<>Jf

    •I A

    Messieurs las Dirccteurs du Consortium OIA at BHEL


    NEW DELHI

    Objft: lettre d'Autoris.alion des travaux au consortium cntreprise OIA, BHEL

    Messieun,

    !\ous accordons au consortium OlA, BHEL at a lcurs sous-traitants, ]'autorisation de travailler sur Ie
    site prevu pour la construction de llicenlrale a fioul [ourd, caruonnement au contra! signe avec

    • l'Union des Comores .


    Pour rappel, Ie Gouvemement de l'Umon des eomores entcnd respecter ses engagements tnumeres
    dans Ie contrnt relntif II la mise en place de la centrale 4 fuellourd, signe entre res deux panies.

    Comptanl sur volfe comprehemion, veuilkz accepter, Messieurs, mes smooe5 salutations.

    B.P; 4l Monml-Como'l'S, TEl: (OO269) 715 0000


    '--.Ft." : (00269) 7150003
    f .mail: mjlliSfCroqriromQV@VQhoo.fr
    PAGI::"o'O,15

    Lrtt(r of Award

    ('i\H)t\" 1l1':S Cll\lllRES

    l'MO\ IlL\ ('0\1011f.\

    II "nH~"<i.';l~'~~1
    ';'d
    ~ ,,_ "" '1-\'''-,

    ,""
    'M,' ,"""""""., d<"'.''''I"i,. ''''",iT ", •••.••••,_ •••d'••• ,.,•••.•1••• '•••I,.,nlto G",",
    ,".''''''-
    "tII'l< "10"

    " ,'''''''''' •• '., ,",'I •• '""" " ••01••••• <1M.,","~"


    oat,"', .' ••••,. •••••••• d, "' •• "«,.,,~" j ' ••••••"""

    •
    ..,,.""' •••.•••• "''''''' "" •• ,.10"" ,0"M" ""'"",••doo,~, "", I.' , ••• "",,. ••""if. 10
    <o"",ocr ••.••.• '" ""'" •••• "' •• "'"' "" .'''''" '-"'no ••. ...,.,,,,, ""~ •• ,, "'~"'~ ,. ~ •••• ,.,. <10 l.1 ,_'""
    ••.•",.",,' " ., ••"" •• "", ••" "".,,, • '''''.' e,

    '" "'..,..,"'""'~.•• ~"" ,,."'.',. ••••••••• 0It>"'""""",", .w.",.", •••' ,",,,,. ""I"''''''. d. ,•••,"
    •••..•.,"",.•.••"',M.",.••to" ••••.••r"",.~W'~•••~~
    ~, .•.
    '.' /-- .~"
    • •
    ,-,,,, '''''''~"'....,. ,""'"

    Con"a<' A~t ~ \\,ni'!ryoff.t><l'Jy, ('""",,,, •• nl of Un"", of Co"","" at<IOM


    for I~ MW P"""' pion'" Morooi, C""""",
    [[
    Ii
    •

    • • II { .. __•
    4."""'"
    II
    ••
    .
    II.,
    [ • UI
    -" •
    ""0 ".", ,••u

    ._-- , - ,....
    "'-,
    ----;._-- ------ , ... ,
    !t
    !i
    -~Nl . !NNNNNN!!!!!!i,;!
    ~ ---
    ~ ~ .
    ~ ~ ;: ;: ~ ~ e ~ ~ ~ ~ ~ '{' '{' ~
    ~
    ~ ~
    ~ ~ ~~ ~~~ ~ ~ ~~~
    !' ~ '{' !' 'f! !' i!,

    , Ii!

    1 i I •iii•
    • • • •
    ! '
    III

    -,--

    ,-
    ~ !~ ;e ;fj :;;;
    ,... .
    [I1 I
    I

    , I}

    [ ...•.
    ~..I
    ___ I .
    ,--- III
    .,..
    , I ,, ,,,
    ,, •• <
    "
    <
    •
    !l ,
    •
    • •,
    , • •
    , ,,,
    0

    •• <

    • • ,•
    •
    •
    ,, ,
    •
    <

    l <"
    • •• •
    • 0
    ,
    ,I i•
    0
    <
    •

    • ""'. - ---1- t--


    II
    I ,L •.. ,,"'.'

    II
    , , 01" ,.
    '-"""

    [
    " ""

    u n,l
    ILo
    ,--
    .'---.
    [[
    ".,,, ...•

    II
    ~..""1 --,,

    ~ . ---,-
    ~

    ""1'" I'"~ """"0'" --,.... •


    . --., ''''0 ",,' , !...
    ---. -,--

    , ----.
    •
    "'-, ",,' "

    .i
    ; " .•..... +
    _"'0 ",,'
    .!'' ,!
    ,
    "" ...."., .•......•
    .,,,"
    ", '- -t- ,,-- .,., ....,. "'0' ",'", .... ...,.,'
    .. , "
    u, !!
    •
    •

    ,• !, ! I, ,
    ,
    ! !
    I
    0 !
    , , , ," ,, ", •,, •, ,I ,,,,
    ..
    • • • 0 0 0 0 0

    " " " "•


    1 ,1 I! ! • ••
    !
    ,
    • •

    ,, , ,
    f I 1 1 f i 1
    • •
    1
    • •
    ..

    •
    ..
    ,• ,• I• I•
    • •

    ~------+ -
    ,.
    • •
    i ,• ,
    • ,,
    I
    0

    " !
    •• l, ,
    !i , ,
    •
    ! ! ,,
    ~ • 0
    ~ •
    • •
    !
    • ! ! l, •
    I I,
    ,• !•• ,, !• •• I•• •,• I1, ,i !I• !• ,
    •• 0

    ,, 1,
    0
    ~
    'I •!
    0
    0
    •

    ,
    ~ 0
    ~ •
    • ,I ! ! , •
    0

    \;, •,
    il ,• l i •, I I, ! ,,• I• !•I •,. ,
    " 0

    "
    0
    0 •
    ! •
    ",I IJ !
    0

    I • ! I !! •• ill":
    , I'
    •• , '! o-

    l
    l!:l

    ........
    [[
    ~
    :~- .
    .
    •
    j;
    •
    ,t--- -

    ••
    ~i
    ,
    x ___
    j;
    ~
    • ...."
    ~
    ..,.. , II
    ,~
    f
    "
    ~,
    R
    !
    [I
    , ...... e ____
    ~ ~

    II

    ~I, !!
    0

    • I , ,
    ,, , , , , •, , , , ,, , , ,,, ,
    • ,,,, ,, •
    !
    , I
    ,, • !
    I , • •
    , , • ,, ,•• ,•• ,•• ,, ,•• ,•• ,•• ,,
    •• , ••• ••• ,
    , •• ,, ,
    , , ,••
    ,,, ,,, , ,
    •• ,,
    •• •• ••• , , ,
    0

    , 0

    !• !!!I • I I , !I I i
    , , ,
    ..

    , ,,,
    ..
    ; ; i i ; ; ; ; ; i ; ; i ; ; ; ; ; ; i ; ; ;
    • , •• 0 ,, • 0 ,,, ,, , ,, ,,
    • • - ----~---~--

    ,
    , ,•, ,•
    •
    • !, ! "
    •
    i
    , ,,•• , -Ii
    I !! •
    I. ! ! !•• • •!•, •
    !
    ! •!
    I
    ,I ! -i , , i!
    , II •,
    ! •
    ! I , !
    •,•!• i• ,• ••, , i .,. ,i j ,! , , II -, •
    • i , ,
    •
    I A
    , ,• I ,, I
    >
    • • 5~g , •, •
    '0'

    I !I• !!
    0
    l
    , • !
    •, ! ! ,
    ~
    - ,"", !
    ,
    , , ,, -
    , '" '" ~ • > ,
    • •
    •
    •• ••I
    0

    , , ,!,
    I ~ ,

    1 , , -Il I,I ,
    0 0
    •, • •
    >
    ! " ! • •• if"; ~ • • 1 • !, !
    I
    IiH. .
    ,. ~-
    ,
    •
    •, ,
    I
    •
    ! , 1
    • ,
    • , , • • • , ! ! <• ~ 1
    • •
    • , -, ,. • ••
    j •
    3

    Lt~ • Ii ,
    >
    , ,
    • !
    '" i
    "' !I
    ' ,'l;; , ;~!8 _,a----,-----,-_~-,
    :" .~ :il
    -, __-,------,----, , ~-.,--,....I.-.,.-~---T.
    i: ;> Is ;~ :,s II ;~ ,. - ~a -
    ;' J
    :-
    ; ,ll
    :-
    , ,.
    ,~ ~ !~ II i
    ,::> II
    .',~
    ,ll
    !=

    ,. ,

    I 1 . ,(
    ,

    ~l~
    M•••• _

    building infrClslruclure
    _ worldwide_

    Ref.: 190/20/NOTICE/OIA12019-20
    Date: 15 April 2019

    To.
    Mr. Yousuf Hamadi,
    Scrretary General
    Ministry of Economy
    Eneq:(y. Industry, Crafts, Tourism. Investments, P1ivate Seclor.
    Government of union of Comoros.

    • Reference: L Contract Agreement No. 003/MPEEIA/2014 dated 18


    September 2014 together with Amendment No. I dated
    17 March 2015 and Addendum No. OJ. No. 17-410/VP-
    MEEIATlSPAF/SG dated 21 October 20 17
    2. Our Invoice Nos. 91002065, 400330 and 400331 dated
    21 January 2019. 6 February 2019 and II February
    2019 respectively

    I-
    Subject: Nollee fOTSuspension of work under Gee Sub-clause 16.1
    of the Contract

    Dear Sir,

    L KIndly refer to our Invoice Nos. 91002065. 400330 and 400331 dated

    • 21 January 2019, 6 February 2019 and 11 February 2019


    respectively submitted to you on 27 February 2019_

    2. As per the Sub.clause 2.3[b) of the Annexure 2; Contract Price and


    Terms and Procedures of Payment read with Clause 14 of the
    Particular Conditions of the Contract (PeC). the Employer undertakes
    -not to hold Wld cause un-necessary delay" In releasing the payment
    authorization to EXiM Bank of India ror making payment to the
    Contractur.

    3. From the above wherein the Employer is expressly obliged "not to hold
    and cause lU"l-necessary delay. In releasing the payment
    authortzallons. it only stands lo reason that the payments will also be
    received by us similarly. l.e., without holding and causing any un-
    nC"cC"ssarydelay by anyone in the process. If the payments are
    OVERSEAS INFRASTflUCTURE ALLIANCE (INDIA) PRIVATE LIMITED
    Rei"""" orr.t<: Col,•••I. ~
    SOI.5O? O~ _. 4/D . C,,_ (;I"""iOlRo><I 1205, S'""J' on> (\ljlding. ,~, K•• t1.<tJI(;ww:b Mora
    """"""(£!.lkmIl~
    _~ 099.lndi. Now oe.;. 110OQI.lndi:l,
    T~.: +~-2H67~ 500J fa<; -+91-22.282529131/li615
    5001 fa .. -+91.11~ 1111 fa<; +9"'1-<13516321

    ,,' ' ww.oialilance.com I oia@olalliance.com CIllO U65920~fHI9H9PTC052900


    ~ ,
    ,

    _
    ~--
    building infrastructure
    wor1dwide_

    With. held or any un-necessary delay Is caused In the receipt of the


    payments against our invoices, the Employer cannot alTord to sil
    quietly as it Is the bounden duty of the Employer to ensure payments
    against our certified invoIces. In the prescnt case, In spite or the lapse
    of 47 days. the payments against the aforesaid invoices have not been
    received by us.

    4. Therefore, without prejudice to any other tights that we may have


    under the law, we are entitled to suspend the work after giving a
    notice of not less than 21 days as per Gee Sub-clause 16.1 of the
    Contract.

    • 5. We, now, hereby issue this notice under Gee Sub-clause 16.1 of the
    Contract and state that the work under the Contract will be suspend
    on expiry of 21 days hereof unless the payments of the invoices are
    received therebefore.

    For Overseas Infrastructure Alliance (India) Pvt. Ud.

    • Copy to: 1. MITCONConsultancy & Engineering Services Ltd.


    2. EXIM Bank Of India.

    OVERSEAS INFRASTRUCTURE ALLIANCE IINOIA) PRIVATE UMITEO


    _.e40"~o: C_",o-,
    5Ql.5(l2 DlAHou>t, .10. c_ G<",~,Road 1205, s...-y. I<n1 ~ 19. ~•• 1.OtO Gon<h """I
    "MIet1 it'1, 1.\tJt,oi. 400 099, \'lll.I, N,", Doh. 110 001, No
    Til: +91.22-6615 5DOO Fu, +91-22.2al5 298116615 5001 T~_.+~1.11.43001111 fIX:+9"'''':151 6321

    '.' www.oialiiance.comloia@olallianct!.Com CIN U65920:\1H19119PTC052900


    '41 «('II <Q f4<Q j i'1 3{1'7.fffi a-c1i
    ,...,,:,.~1r",.H' .•. ~'-l-~,
    ,~i;>t,'" 'fT.
    '." .•j"", "'Ii.".",, 11';,h
    l::XI'ORT-i.\II'ORT IH1\1>:OF I:\I)\.\ ""': I< (:ll': 0',')000 IN'<, 17m
    hoI'"" (:)11:,"'61 \')\'9
    Jt"0< ~c"' .. TO'
    •••~, " "" fh", ""'J",e','" , "Il0oc,
    ".ow, No;.>' (Ee",O, N<w Dc', 1'0 02,
    j, ~~,',""'" ,,,,,,,.,,,,",.'otw-.n<.,,", <1
    [ • ""'. """"",. ,.,...,...,,,,,,,,,,,,,,".1,,'
    ,.,...,...,
    e,,"~~","
    GOILOC-I 52(l)/E-Af -COM/19/180 April 24, 2019

    Shn V.P, Rustagi Shri S, K, Grover


    Chief Executive Officer Ge~eral Manager - InternatIonal
    Overseas Infrastructure Allia~ce [India] Operatio~s
    Pvt, Ltd. Bharat Heavy Electricals Ltd.
    1205, Surya Kiran Bldg, Intematio~al Operatio~s DiviSIon,
    19, Kasturba Gandhi Marg Lodhi Road, New Delhi - 110003
    New Delhi - 110 001 [Tel: +91-11-41793393]
    [Tel: +91-1)-4300 1111] [Email: skgrover@bhel.in]
    [Mob,: 8527093701, 9810561090J
    [Email: ved,rustagi@oialliance.comJ

    • Dear Mr. Rustagi / Mr. Grover,

    Exlm Bank'5 GOI-5upported line of Credit [lOC] of USD 41.60 million to the
    •
    Government of the Union of Comoros [GO-COM]: Contract between the
    Consortium of Overseas Infrastructure Alliance [India] Pvt. Ltd" [OIA] and
    Bharat Heavy Electricals Ltd [BHEL] and Ministry of Production, Environment,
    Energv, Industry and Crafts [MPEEIAj, GO-COM for installation of 18 MW
    heavy fuel oil base load grid connected el'lglne based power gcneration project
    with associated tank farm and electrical cvacuatlun system at Moroni, Ul'llOfl
    of Comoros valued at USD 36,983,414,61

    We refer to our several communications dated February 08, 2019, February 19,
    2019, March 01, 2019, r1arch 07, 2019, March 28, 201g and April 09, 2019 seeking
    update on various action points identified duri~9 the review meeting held on February
    05,2019. However, we regret to note that ~o firm / concrete actions have so far been
    taken by OIA.BHELdespIte our rcgular follow-up.

    •
    2, Actions points noted during the reVIew meeting of February 2019 and

    • observations raised by MITCON (PMC for the projed appointed by GO-COM] in the
    monthly status reports of February 2019 and March 2019 are reproduced b<!low'

    BilckgrQu.nd

    Amount USD36.98 million (a) OIA portion: USD18,98 mil'ion:


    Contract " '"' (b) BHEl portion: USD18,00 miIHon);
    Disbursements USD 26.37 million
    of which:
    OIA - USD 11.80 million
    BHEL - USD 14.57 million
    Effective date
    the contract
    0' April 20. 2018 (Approval
    enqi~eerin(j)
    DetaHl!d design 0' '"'
    S'"Eheduled I October 19, 2019118 months from the ellective date)
    completion date

    ""'" 'fiT""",, : ""= "" """, 21 •• """, flfFl """'" ""= li'f", ..,. -m:. ~d _ <OJ 00'> 'tAl'>... : '.',2'2 -1'1'11'1(>00"""" : + 91. 1'9.1'9' 25)~ a
    •••.od 00... CoW, "'" ,.*"';. 'h>' ~', IVnrkl,,,,,", (eM', C~ (,...., "">0<, _ ••. <00005 r:t.;<><,+9' .22,\'91' ,W,) I" +9' ,".2'216 ~\79
    Continuatinn

    Monthly targets of milestones to be achieved rn ord",r to complete the proJect by


    October 2019 are still awaitec.

    • Eve'" after taking two months' time for submissio'" of mo",thly milestones, (JIA
    has submitted unsigned / unstamped monthly milestone schedule with a pre-
    condition of timely receipt of material from BHEL. It appears that OIA has
    submitted the schedule without consulting its Consortium partner.
    • 1t may be noted that both the Consortium partners are jointly and severally
    responsible to achieve the project completion by Octooer 2019.

    •
    • QIA ;md BHEL are once aaain advised 19 s.tJ_bmitthe firm schcd!~
    ~,,~P .md stamped) withoul..i'ny
    with MITCON.
    condition,,1 cl".uses in consultilW
    •
    Most of the action points noted in the review meeting of Febll.JarY05, 2019 still
    remains unresolved in MrTCON's monthly status report of March 2019, We are again
    reproducing M1TCON'smajor observations as under:

    • Progress at site in February 2019 and March 2019 is comparatively slow in the
    aosence of backfilling soil. Completion of Powerhouse building, Chimney
    foundation, Radiator foundation, Workshop building, Treatment plant building
    and other major civil work primarily depends on the availability of backfilling
    soil. Hence, OIA nel!ds to arrange adequate amount of backfilling soil on war
    footing basis.
    • OlA is yet to mobilize electromechani<al erection team pending which nO
    mechanical work can start at site. OIA to depute electromechanical erection
    team immediately.
    • Finalization of the transmission line route needs to be done on a priority oasis,

    • •

    •
    •
    otherwise It may affect the commissioning schedule of the plant.
    Flooring in the tank fann area to be finished before start of tank fabrication
    wor«.to enable completion of mechanical fabrication work.
    OIA to arrange plumbing, electri<al and sanitary items in advance.
    ActiVities related to road and drai'" WOrkneeds to be taken up.
    •
    • BHEl to review the space availability at site and requirement of DG Set panels
    with respect to their erection s<hedule and accordingly plan the dispatch of the
    same.
    • OIA to expecite ar.d immediately arrange following civil material:

    5,. Item Present Requirement Remark

    ,,
    " Cement
    at Site
    o BaQs 18.520 Ba s OIA to expedite
    Mrange
    3
    Sand
    Aggregate
    4 Cum
    8 Cum
    1 400 Cum
    1,600 Cum '"'
    Drogre~5ively

    , 20mm
    Tor steel 10 MT 143 MT
    27,000 Cum
    5 Backfilling Nil OIA to ap~~nge
    soil immedlatel .
    Contillualioll ---. -. i[@r--
    ~tL.!li:.J",.cn fro"'--'l.QQve, the ilrrilnq{;J!'~lJU;,f a<leQI,atebackfillj,!Q...J;QiU\<
    other civil "'at",[Oi!.!..-_a[l4-J:Ie~",~ m;mpowcr arC very critic,,1 for
    i!!mlemeptatiQn of tJ1..G...pr<;lj!:ct... However, the status of availability of above listed
    material has not changed since last review meeting held on February 05, 2019.

    CoGua_~.U.l!!2D::!issiQn bv QIA-BHQ

    • With regard to submission of Guarantees by OIA-BHEL, we arc in ~ceipt of a


    Communication from GO-COM stating lllat OlA and ElHEL must follOw the
    established rules of contract agte€ment signed with GO-COM.
    o Accordmgly, in terms of the Contract Agre"men! signed between OIA-BHEL
    •
    Con~ortium and GO-COM, Advance Payment Guarantee (APG] equivalent to
    20% of contract value and Performance Bank Guarantee [PBG] equivalent to

    •
    10% of contract value from reputed Indian Public Sector Bank needs to be
    submitted by OIA-BHEL.
    • Exim Bank had requested GO-COMto provide the renewed copies of Guarantees
    [APG and PSG] submitted by OIA and BHEL. We understand that OlA-BHEL are
    yet to submit the same to GO-COM,
    o OIA-BHEl <'Ire il.dviscd to immediately :;!Jbmjt the copies of renew.!l(!
    •
    guarantees.

    3. In view of the above outstanding issues and as advised by MEA-OPA,three


    disbursements aggregating usa 368,507.31 in favour of OIA are kept on hold by Exim
    Bank since March 2019.

    4, Given the above state of affairs, we are astonished to receive a copy of letter
    from OIA sent to GO-COM giving !'Io.!)ee_ (lLS"$pel]s!.ofL.oL,,,or~ [copy enclosed at
    Annexure] due to non-receipt of (layment by OIA. The above mentioned reasons for
    withholding the disbursements were already conveyed to OIA. In this connection, we
    reiterate that the reasons for withholding the disbursements are solely due to the
    status of the progress of the (lroject and your non-complian~ of the terms of the
    contract. OlA has time and again fail<,d to address the various actions points listed
    above. Instead of working towards achieving the desired project progress, OIA is

    • resorting to unjustifred stop(ling of work at site .

    5. It may be noted that the financial progrcs.s under the contract stands at USD
    26.37 million [i.e. 71.30% of contract value) against the physic,i'l'l'rogress of 56%
    only. Hence, the amount already disburS(!d i~ significantly larger tllan the physical
    •
    progress Of the project. It is also expected that the contractor will deploy it'> own
    workrng capital for smooth execution of the contract and it cannot solely rely on the
    money to be disbursed by the project authorities for execution of the contract.

    6. In view of the foregoing, we once again request you to address our concems as
    under in order to enable uS to process the disbursements under the contract:

    , OIA-BHEL are once again advised to subm,t the Monthly targets of milestones
    (signed and ~tamped) without any conditional clauses duly certified by MlTCON
    , D1A.BHEL to immediately arrange for adequate backfilling soli & other Civil
    material and necessary manpower for smooth imple.,-,entation of the project $0
    as to achieve the deadline of October 2C19.
    , In terms of the Contract Agreement signed between OIA-BH::L Consortium and
    GO-COM,OIA-BHELto submit tile renewed copies of APGand PBGfrom reputed
    lndian Public Sector Bank.
    Cllntinuatinn
    -'~-H~H
    7. We hope that OIA-BHELwill withdraw the Notice for Suspensionof work and will
    resolve the abOvementioned various action points at the earliest to expedite
    implementation of the project.

    WIth best regards, --A


    Yours sincer~

    '" ,,~
    IJ-t),~~~a
    O;ng]
    Assl. General Manager

    • •

    • •
    11••1
    O,"~
    , l?lOO/CJR/OIIIOOI<J)()
    : J"M"y }Ol')
    OIR'
    0''"'''' ••••• ....., no" 1OU'""'t
    buildlllg inlrH~IrII(;lure
    M,_ Amlla Oa~g _ worldwkht_
    A<silt,,~t G~"Nat ManneN
    lines of Credil Group,
    ",po't-Import O"nk of India,
    1" Floor, Office Clod I,
    fa,t KidwalNaga"
    New Delhi-110M]

    Relerence , Cont,aci No. OOl/MPHIA/201a daled 18 Seplember 201a


    alone with Amendment no. 1 dated 17 March 201S for Selling up 18 MW
    Heavy Fuel 011Based Load G,ld COMccied fnglno Baled Powel Generalion

    • Subject
    Plojoct with ASlOCI.tod Tank Farm & Elect,ical Evacuation Sy<lom al
    Mo.onl, Union or Comoro,;
    Your letter N~, GOllOC-IS2(1)/E-AF-COM/19/180 dated 24 April 2019

    Update on P'ojeci p'08'"'1

    We acknowled~e Ihe receipt 01you. 1000erNo. GOllOC.1S211)/E-AF.COM/19/180dated 24 Ap,il 2019 and In


    rel~onle, WOwi,h to state a, under:

    1. II, you may be awa'e, the Contr'<l WaSoriginallyawa'ded to Ove"eal Infra\1lu(ture Alliance Iindia)
    Pvt_Ltd. (OIA)as EPCcontracto" and wallater amended by client on the pretext 01 him Bank 01
    India 10 include Rharat Hoavv Elec1,ical, ltd, (BHEL)to be a JOinl Partne" re1aining OIAa, tho load
    Parlner and dividing the ,espect",e 'oles 01 OIAand BHEl. ConsNluonl~, the Co~t';'cI Niue wal
    bilurcated bot ween tho two Partners and the advance, were given separately again,t tho re'Pective
    gua'antee, (ABGand PBG)from the concerned Partners

    2. The alo'c"id amendment wa, duly '"listed by OIAand it was e'plained to th~ him 8ank of India
    (h.t such amendment wili pose several practical difficultie, in executing the Project. However,
    iGnoringthe re,i,tance, the BHEl.nd EximBank, in tht'i, wisdom, fo'ced upon OIAthe amendmem
    which i, ae,ainst the 'pjrit 01fPC contract.

    3, You will app'''ciate that we can ,eque,t only to BlfH fGr their Implementaljon schedule a, joint
    pa'tnN, howeve" we can't force them to ,ubmitthe ,.me to 11>.Kenee, we couldn't able to submit
    the "hcdule on b~half 01 BHEl.Though in compli"nce with your leite, under re'ponse, BHEl,hould
    have sh"red, 0" it, own, it, schedule with OIA,however, we have Once again a,ked them to submit
    01tbe e"rije't 10 u, for forv,"rdin~ a combin~li proj"ct implementation ,chedule to you

    a. A, merttjoncd in you' lelle" we ",e ,ubmilling pointw;,e <i",jficalions points os below:

    A. Proje,t tmplement.tion Schodule:


    A, ,Ic(e"'emioned, we are yet to '~ceive a schcdul~ Irom BHELPUr;uanl to which a firm and
    opt imi,ed schedule slla IIbe selll to you Ih'ough MITeO" I" tbe mean.time we have sent our revi,ed
    ,ehedLJieto MITCON,I!erewith annexQd i, the copy 01rEVi'eli ,chodul~ ,ubmitted by u<IGMITCON,

    OVERSE~S IIIFRASTRUCTURE ALLiAIiCE lINOIAJ PRIVATE liMITED


    &0"""'" O~i,,' R'~i,I"
    ••• om"
    1105,4' ,"", ,,,"","), 19 '~ol<J
    •••.•Go••.•• MlIl K.K 5Qt,,,",'10 ClImo Gr"""" Hood
    N,w Dell>_ "0 (»1. ~
    I~- '9'-IHJl:l '111 f" ~81th3S1 Iill,
    And"'" (1'1,llcml'ii - 400 0!l9 I",.,
    I~,; -.-91-U-6f75 SOO) riC<:+9'-21.2a~,28"1 65/~~1
    •
    ~ (,,,,,,,,, ~t.I"" "Ith,- V'''i''''

    B, •.• filiinJ: 5001

    "HH" II", q>lW",",,, "" ••."t "f r I". "r "i'" !, 'M' h"", I~.,." p,tlch,"i"f: 110"'0.1 IOt"llt ~, .•1d wh,:"
    ''''J",,,'d 1m tlo(' 1''''pnV' 0' 11,'11;<''';''1:U<lW"O"', ,h,P III iI"lili'dll~"liQ" owi"E I" tn" ""EO;"I:
    pl~,.tion" ,ince I,"t 2 "'nn'!" w,' w,'". ,,,•.•ble {,' prn"",', ;" ~"d wh,'" 'cquired, ~," ;lrf' gOi"gon
    IB,- 1,/tinE lh,. rn"1o'r jar
    !)~
    q'o~~ch~'1!t'1JJ~'!.
    rn
    I~ thi, '''g."d W~ h""'ily ;"Io,m YOUIh,u our (I,,(UO M",h.,,,,,.i crew CQ",isting of 4{) nos. Jf~,~ady
    to rnnhilile "lon~ will, ne(~"aryIOQI, .",,1 t,,,kl" ,", ,e'l"r,.d, However, owing 10 til" fan th~1 lXIM
    B.n." currentiV holding bJc!; p,lvm~",\ 01O!A<i"ce Fcb,u,uy 2019 OIAil awaiting tloe relea<~ of 11\
    p.vrr",n!1 a, well as to d~", it< swnd on th" payment mech.l"lsm, Pursu.nt to lhe clearance of Ihe

    ~ine Route
    You will appreciote that the rouTe li".I'lalioT' will be done by clier and we ale continoously
    following up with them.
    9
    payment ann the ra'/men! mechani,m Our [lecHo ~kfhani(al ,,~w shall {onlinue wl:h Its wo,k OVc(
    lhe Project

    Av.l"bility of Spa,e

    •
    With r"~Jrds to the i<sue of sulfkienT Sp"ete,the same hal been resoi,ed by shlltirlg the maleri.1 01
    BHH 10 different place and he"ce. there shall be "0 con,lraint 01space for working,
    Material Status
    Wllh ,egards 10the Iialus of the materi,ll we hereby info,m you that ,equi5ite quantity of Tor steel
    hal been lhippcd and currently il intran,it, Th~ re~LJI,pdcivilm.terlal fo' the purpose of romplelion
    of the Projecllhall be purChased locally as and when r~qulred once the payment mechanism Is
    confirmed bVthc BanI<.

    C. Bank Guarantee I"ue:

    Kindlynole that our ABGNo 05437Q1l700c041 amounting to USC614,958.92 is currentlv in force


    Jnd "nether ABG No. 00007FG150000011 .mountln8 to USD 1,419,Og9.30 is expired. For the
    purpose of IS5uingthe new ABG,we have al,eady requested fo, the return of original ABGfrom
    GMermnenl of Comoros (GOC)and are stronglv pursuing for the >ame, As regard PBG, GOC has
    agreed for smooth running 01 the project, for submi"ion 01 Corporate Guarantee in place of Pile.
    The related correspondence between OIAa~d GOC,;. again enclosed for vour re.dv ,eference,

    A, mentioned by you in point no 5, we have recei,ed only U5D 11,80 Millionas per payment term, of the
    contract onlV.which Is 44% of total disbursement to OIA,whereas the work completion is more than 56 %,

    We fLJItherrequest for clarification wilh regards as to under who,e guidance the f,,,ther execution Coth~
    Project ,holl take place, PMC. the Clicnl or the EXIMBank. Tile working of t"~ Project and the payment,
    made there under I, mcnitor~d artd controlled bv him Bonk. hence, the Contract be amended wilh r~spect
    !() th~ J/orementlon~d arld the,c.ftcr work to hp c;]rri~d 0'" LJI,dertl1~guldonce of him B.nk in order to
    a'Joid J ny furlher conflict> between the Ihree ag~"ci",.

    Hope thi, i"tter re,ol,es al!Ihe clarification, "' sought bVyou We herehV once .gain rcqUe5t you to release
    our p"yrnent, which is pending since feb,u.ry )019 with VOll,;in<:~the payment hoiding i, dire<t1yimpacting
    uur wurk 1'.1,'rt,..ye'l you tu reie",e tile "me Jt the eod,c,t '0 that the work will continue rapidly.

    .. .,
    A""rlnE you of ou, kind co-operotion alwoys,

    ,"~;ki"gycu, ",'PU"~.((T,.: :
    ••.
    o
    YOllr ,;0 INDIA ~
    For ve - stru{t <iIlianee (India) Pot Ltd
    n 'FRS£AS j~!'R~ST ~A ."''"..:~ NOlA) PRIVATElIMlfEt:

    ,,,",.,,, U',,"O, IAafg


    "'q;~""U,i"
    I KS<i"""~8.,~,,,, ,.",~_, ,-
    .".~"" ,I:, 't, ""', ..:': C1~~,!
    '!~+"'./i'i',,;WJ(; ••~ ..!'.nM,M' ,',:,:,,",
    -
    'IT<<ft'l furia - 3<"'" ififi
    ~ "",", ~ " 7'iI 'If',,,,, ~-(~m
    f(~')1,
    1+.;'" .m ('\,~).'11tl •.oII. 110 02J
    EXPORT~Ii\lPORT 8A~K OF INDIA 'itI/ld, ,lOll) .'2< 'MOO
    I ~~t<J
    ))00
    O/OCe6loO; lovm-l, 7th floor; NJjoccrl to ~"3 Ilc»d. 'l;"'IF<o< ,(011)"""'1 =
    Kdw" ~.g,lr (E'M),New D<tl'i - 110 023 I-~-,~ ••
    ......,"""""',. ww.- __ .~
    --",'"
    GOILOC-152( 1JjE-AF-COMjl9j290 May 07, 2019

    Stlti V.P. RlIStagl Stlti S. K. Grover


    Chief Executive Officer General Manager - International
    Overseas lnfrastructure Alliance [India] Operations
    Pvt. Ud, Bharat Heavy Eledricals Ltd.
    1205, Surya Kiran Bldg. International Operations Division,
    19, Kasturba Gandhi Marg Lodhi Road, New C\<;!lhi- 110003
    New Deihl - 110 001 {Tel: +91-11-41793393]
    [Tel: +91.11.4300 1111] [Email: skgrover@bhel.inj

    •
    {Mob,: 8527093701, 9810551090]
    [Email: ved.rustagi@olalliance.com]

    Dl=ar Mr. Rustagi / Mr. Grover,

    Exim Bank's Gal-supported Line of Credit [LOC] of USD 41.60 million to the
    Government of the Union of Comoros [GO-COM]: Contract for Installation of 18
    MW power generatIon project at Moroni, Union of Comoros valued at
    usa 36,983,414.61
    We refer to our letter No. GOILOC-152(1)/E-AF-COM/191180dated April 24,
    2019 in response to receipt of a copy of letter from OIA sent to GO-COMgiving Notice
    of Sus ension of work due to non-recei t of payment bOlA. Exim Bank had CO!1veyed
    various au tanding ISSUesfor withholding e IS ursemenLS aggregating USD
    368,507,31 to OlA and had advised OIA-IlHEL to address concems for timely
    completion of the project.

    2. We refer to OlA's letter No. 127/20/CORjOIAj2019-20 dated May 03, 2019 in


    response to our abovementioned letter dated April 24, 2019. Our response to OIA's

    •
    letter is placed below:

    A. Project Imolementatlon Schedule;

    ~ Since february OS,2019, monthly targets of milestones to be achieved in order


    to complete the project by October 2019 are awaited from OIA-BHEl.

    OlA's Resoonse;
    • OlA has contested that initially the contract was awarded to OlA as a EPC
    contractor and due to intervention of Exim Bank the contract was amended to
    include BHELas a consortium partner of OlA even after OlA's resistance for the
    same.
    • OlA has mentioned that they can oniy request ElHEL for implementation
    schedule, however, OIA cannot force BHELfor the same. Hence, OIA couldn't
    submit the schedule on behalf of BHEl.

    ex1m Bank's Response.;We would like to bring the followings facts to the attention of
    OIA:
    • Exim Bank had received a contract solely awarded to 01A for coverage under
    the LOCfrom GO-COMin spite of the fact that the winning bid was submitted by
    OIA in consortium with BHEl. In fact, the consortium was qU<llifiedto !:lid and
    could secure the contract only on the strength of BHEL. Yet the consortium

    """ ~ , "" """ ~"', 2' 111~. lWo <mJ< ~"liFl, _ m. ~ - '0000.5 ~Hl'iR, +9\_22-1'211 WXl 't.••• ,
    .91_1'2_1'2181':512
    Il<od Otfic. ; e ••.••• Q>, ~"""" Ih:r ?1, 'J/o;;Y\;j~""" Corb. ~ UIf< ""od<. _ - '0000.5 Inoo< +91.W-I'2119tnJ ""', .9'_W-I'218 ?5'~
    --

    1~Jr
    Continuation

    arrangement with BHEL at bid stage did not feature in the contract award stage.
    • Exlm Bank had also received a representation from BHEL that OIA has breach~
    the tenns of the consortium agreement entered into between OlA and BHEL at
    the time of submitting the bid documents.
    • In view of the above, Exim Bank had taken up the matter with GO-COM
    subsequent to which GO-COM had forwarded an a~ndment to the contract
    wherein the contract was awarded to the consortium of OIA and BHEL.
    • Hence, in view of the above facts, OIA'S contention that eXel;ution of
    the project as a consortium was forced upon OIA Is baseless.
    • Further, ~ing " lead memb<!r of the Consortium, OIA's statement that it cannot
    manage to get the simple implementation schedule from its consortium partner
    for the last more than two months reflects upon OIA's Inability to communicate

    • •

    •
    with its consortium partner •
    We reiterate that both the consortium partners are jointly and severally
    responsible for completion of the project,
    OIA and BHEl are once again advised to Immediately submit the firm
    SChedyle (signed and stamped) without any condItional clauses In
    cgnsu'tat!on with MUeON, PMe for the protect.

    B. prolect Status;
    Action points noted in the review meeting of February 05, 2019 still remains unresolve<!
    in MITCON's monthly status report of March 2019 (copy enclosed).

    i) Bac.kfilling Soil:
    CIA's Respons~ OIA is purchasing backfilling soil locally as and when required for the
    purpose of backfilling. However, due to political tensions owing to the ongoin(l elections
    since last 2 months, OIA was unable to procure the same.

    Exlm Bank.'s Response;


    • alA vide its communication dated March 30, 2019 had informed that since
    March 23, 2019 the situation was unstable in Comoros owing to the political

    • tensions .
    • alA was very well aware of the requirement of huge quantity of backfilling soil
    (around 27,000 Cum) well before the political tensions started in the Comoros.
    The above requirement was also noted In MITCON's earlier progress reports and
    various review meetings. However, OIA falied to arrange the sufficient
    backfilling soil dunng the period before the political tensions started In Comoros.
    • OIA shOuld arrange the sufficient quantity of backfilling soil which is prerequisite
    for completion of various Civil activities.

    iI) EleetComechaolcal Team


    CIA's Response; OlA's electromechanical team is ready to mobilize along with
    necessary tools and tackle as required, however, pursuant to clearance of OIA's
    disbursements OIA will depute its team,

    Exlm Bank's Resoonse;


    • OIA is aware of the various reaSOnSfor withholding the disbursements which are
    solely due to the status of the progress of tI1e project and non-compliance of the
    terms of the contract and at the instructions of MEA, Gal.
    • orA is advised to d<:,pute electromechanical erection team immediately without
    resorting to unjust;fie<! stopping of work at site,
    - ----
    Continuation

    iii) Woe Route


    alA's Resooose: The transmission line route finalization will be done by GO-COM and
    OlA is continuously following up with them.

    Exlm Bank's ResoorlSe:


    We hope that the situation In Comoros will normalize sooner and finalization of the
    transmission line route will be done on a priority basis by GO-COM.

    Iv) Availability of Space


    CIA's Response: The issue has been resolved by shiftin~ the material of BHEl to
    different place and hence, there shall be no constraint of space for working .

    • Exlm Bank's Response: We are happy to note the same,

    v) Matedal SWIllS:
    alA's ReSP<HlSe.i OIA has informed that requisite qUilntity of Tor steel has been shipped
    aod currently is in transit. The required civil material for the purpose of completion of
    the Project shall be purchased locally as and when required once the payment
    mechanism is confirmed by Exim B<lnk.

    Exlm Bank's Response:


    We hope that OIA will expedite the arrangement of the sufficient quantity of Civil
    material.

    C, Bank Guarantee Issue:

    OIA's ReSDOOse:
    • OIA's Advance Payment Guarantee (APG) No. 054370117000041 amounting to
    USD 614,958.92 is currently in force and another ABG No. 00007FG1SOOOOOll
    amounting to usa 1,419,099.30 is expired. For renewal of the same, OIA is
    awaiting return of the original ABG from GO.COM.
    • With respect to Performance Bank Guarantee (PBG), GO.COM has agreed for

    • submiSSion of OIA"s Corporate Guarantee in place at PBG.

    Eldm Bank's BesoooSi!;


    OIA's APGs:
    • OIA is needlessly delaying the renewal of the already expired ABG of value USD
    1,419,099.30 (validity and claim period expired on December 08, 2018) citing
    reason of return of the original ABG from GO-COM. Since, in any case, it is
    already expired, it cannot be enforced by GO-COM and GO.COM will surely
    return the ~ame in due course. There is no need to link the renewal of ABG with
    the return of an expired AOO. OIA is advised to share a COpy of such
    communication from its AOO issuing Bank, if any, requesting for the return of
    expired guarantee as a pre-requiSite for renewal of the ABG.
    • We note that OIA's one APG valued usa 614,958.92 is valid till May 09, 2019.
    We advise alA to timely renew the same before its expiry and provide us a copy
    of the silme.
    OIA's PBG: alA has staled that GO.COM has agreed for submission' of alA's
    Corporate Guarantee in place of POO. However, we would like to place below certain
    filets behind the same.
    • In earlier darificatlons, alA had forwarded a letter submitted by alA to GO-COM
    slating that since there is no Letter of Credit given by GO-COM, OIA is not
    havin9 any surety of payment and OIA's Bank is refusing to issue PBG for
    payments which are not secured with Letter of Credit. Hence, GO-COM may
    - - --

    Continuation

    accept DINs Corporilte Guarantee instead of PSG.


    • Apparently, OIA misled the GO-COM by citing the above reason due to which
    GO-COM Mad agreed for submission of OIA's Corporate Guarantee in place of
    P6G.
    • In banking parlance, there Is no relationship between payment mechanism
    followed tor a contract (Le. whether through Letter of Credit or Pilyment
    Authorization) "il-a-viz the obligation of a contractor to submit the PSG.
    • The above facts were brought to the notice of GO-COM by Exim Bank on March
    06, 2019. In response, GO-COM vide its communication date<! March 07, 2019
    has stated that OIA and BHEL must follow the established rules of contract
    agreement signed with GO-COM.
    • The present stand of the GO.COM is not In conformity with OIA's representation.

    • • Accordingly, OIA Is advised to immediately Il!new the already expired APG and
    the one which is going to expire on May 09, 2019. Further, in accordance with
    the contract agreement signed with the GO-COM, OIA is also advised to submit
    the PeG from a reputed Indian Public Sector B,3nk equivalent to 10% of OiA's
    share of contract price.

    BHEL's APG and PBG:


    • We note that BHEL has renewed its APG till August 18, 2019. BHEL is also
    advised to submit the PBG from a reputed Indian Public Sector Bank equivalent
    to 10% of BHEL's share of contract price as stipulated in BHEL's contract with
    GO-COM.

    D. Dlsbyrsement vlz..a-ylz progress under tile pro ted;

    OIA's respQE1S~ OIA has received only USD 11.80 million, which is 44% of total
    disbursements of USD 26.37 million under the contract, whereas the work completion
    is more than 56%,

    Exlm Bank's Resoonse:

    •
    Disbursements Status

    Particular Contract Value Disbursements FI':,~~cial


    Pro reSS
    Total Amount of USD 35.98 million USD 25.37 million 71,30%
    th(' Contract
    11\s Share I U~D million U 1l.BlJ ml lion 52.1/%
    contract " 80.94%
    BHEL's Share USD 18, o million U D 14.5/ million
    contract '" Ph lcal Pro I"l!S.S
    - 560,0

    • Being a consortium partner, OIA should not consider only its own disbursement
    figure to compare with the overall physical progress of the project.
    • As it can be seen from above table, the total financial progress under the
    contract stands at USD 26.37 million [I.e. 71.30% of contract value] against the
    physical progll!ss of 56% only.
    • Even if we compare the disbursements made to OIA vil-a-viz its own share in
    the contract, It works out to around 62.17% [I.e. USD 11.80 million disbursed
    against USD 18.98 million of OrA's share in the contract] which is still more than
    the physical progress of the entire project.
    • Hence, the <lmount alre<ldy disbu~ed is l<lrger than the physical progress of the
    ~-------
    Continuation

    project. We again reiterate that it is also expected that the contractor will
    deploy its awn working capital for smooth execution of the contract and it
    cannot solely rely on the money to be disbursed by the project authorities for
    execution of the contract.

    E, Authority to Gylde the ProJectl

    QI6:s.. Resoonse; OIA has sought clarification that under whose guidance the further
    execution of the Project shall take place i.e. GO-COM, PMC or Exim Bank to avoid any
    conflicts between the three agencies.

    •
    Exlro Bank's ResPOose;
    • We are surprised to note that the above darification has been sought by OIA .
    OlA is very well aware of the roles and responsibilities of each and every
    stakeholder in the project. The maiO stakeholders in any LOC projects are
    Project Implementing Authorities, PMCs, Indian Contractors, Borrower
    Government, MEA and Exim Bank.
    • Timely and successful implementation of the project through project monitoring
    is common objective of ail the above stakeholders. There is no conflict amon<;)
    these parties to achieve the common goal of successful project implementation
    and completion.
    • Hence, OIA is equally answerable to all the above stakeholders if tile desired
    results are not aChieved by OlA.

    3. In view of the foregoing, we once again advise OlA-8HEL to address projects


    conceros as under in order to enable us to process the disbursements under tile
    contract:

    " OlA-BHEL are once again advised to submit the Monthly targets of milestones
    (signed and stamped) without any cooditional clauses duly certified by MITCON
    latest by May 13,2019,

    •
    " OIA-BHEL to immediately arrange (or adequate backfilling soil & other Civil
    material and necessary manpower for smooth implementation of the project so
    as to achieve the deadline of October 2019.
    » In tenns of the Contract Agreement signed between OlA-BHEL Consortium and
    GO-COM, OlA-BHEL to submit tile renewed copies of APG and POOfrom reputed
    Indian Public Sector Bank.
    » OIA to submit the copy of withdrawal of 'Notice for Suspension of work" given
    by OIA to GO-COM.

    4. We hope that OIA-BHEL will resolve the abovementioned various action points
    at the earliest to expedite implementation of the project.

    Witll best regards,

    Yours sinCereIY\J~

    WI"'"
    (Mrs. Meena Verma)
    «-
    General Manager
    > -------> ----------.,
    Ref ; 194/20/EXIM/OIA/2019_20
    Date: 20lhmay 2019

    Shri Mangesh Joshi.


    EJUfr
    M ••••••• ""RA$JllIJCTtIOE.........."
    building infrastructure
    Manager, Lines of Credit Group, _worldwide_
    Export Import Bank of India,
    7th Floor, Office Block 1,
    East Kidwai Nagar, New Dlehi - 110023.

    Reference I. Contract No. 003jMPEEIA/2014 dated 18.09.2014 along


    with
    Amendment no. 1 dated 17.03.2015 for Setting up 18 MW
    Hcavy Fuel Oil Based Load Grid Connected Engine Based •

    •
    Power Generation Project with Associated Tank Farm &
    Electrical Evacuation System At Moroni, Union of
    Comoros;
    2. Letter GOILOC-152(1)/E-AF-COM/l~Ul~ Dated April
    24,2019.
    3. Our Letter No. 192j20/CORjOIAj2019_20 Dated May
    16th,2019

    Subject Bank Guarantee for Comoros Project

    - Respected Sir,

    This is in continuation with our earlier letter (No.192/20/COR/OIA/ 2019-20


    Dated May16th 2019). His Excellency Mr. KL. Ganju (Consulate General) advised
    .OIA to depute Project Manager to Comoros site to co-ordinate with Government
    officials in search for original SO in first week of June 2019. Accordingly we arc
    planning to visit Comoros to resolve the issue in first week of June 2019. •

    • Weonce again request you to release our payment which is pending since Feb 2019
    with Exim Bank of India, which is directly impacting our now of work. We request
    you to release the same at the earliest so that the work can be resumed early.
    •

    Thanking you [or your kind co-operation in the matter .


    •

    cture Alliance India Pvt l.td

    OVERSEAS INFRASTRUCTURE ALliANCE (INDIA) PRIVATE LIMITED


    ROIli.l",," OI1Ico; t ••••••
    " 1lI!tcI:
    s.J'-$ll,00. '100
    ••, '70 c._ G<:ociOo.~"''lad
    12D5,5<0'"
    ._,,, K'".,...
    ilul(l;ng, ,~. """""" G_. ~
    ~,
    •
    I Ref
    D<ll~
    M/OIA/20 1y. 20
    192/20/ ~~XI
    ]f>'hmay2019 OiR"
    """""'''••••.•"."cn." 4Ll""
    building infrastructure
    Shri .\1angesh Joshi. _worldwide_
    Managt'r, Lines of Credit Group.
    Export Import Bank of India,
    7th Floor, Office Block I,
    East Kidwai Nagar, New DIehl - 110023.

    Reference 1. Contract No. 003jMPEEIAj2014 dated 18.09.2014 along


    with
    Amendment no. 1 dated 17.03.2015 for Setting up 18
    MW Heavy Fuel Oil Based Load Grid Connected I':ngme
    Ba!\Cd Power Generation Project with Assoc:<ned Tank
    Farm & Electrical Evacuation System At Moroni, Union

    •
    or Comoros;
    2. Letter GOfWC-152(ll/E-AF-COMj 19/ 180 Duted April
    24,2019.
    3. Our Letter No. 127{20jCORjOIA/2019-20 dated May
    03,2019

    Subject Bank Guarantee for Comoros Project

    Respected Sir,

    This is with reference \0 the meeting held at !\lEA,New Delhi on 15th May 2019
    on the subject matter. We would like to thank you for the kind courtesy extended
    to us,
    As regards, submission of Advance Bank Guurantee and Performance Bank
    Guarantee, the matter was discussed internally, and we wish to submit that our
    stand remains the same as submitted earlier vide our letter dated May 03, 2019.
    We hereby undertake that we shall submit I\dvance Bank Guarantee for the
    unamortized advance of usn 1.1 Millionapprox. after return of original Bank
    Guarantee from Govemment of Comoros. As regards to submission of
    Performance Bank Guarantee (PBG)is concemed, we wish to submit that the
    company has already submitted Corporate Guarantee in place of PSG in
    concurrence with Government of Comoros. Further we would like to brinr, to your
    kind attention thal after the scope matrix is divided in OIA and BHEL and after
    adding the addendum our scope of supply is reduced and the amount of sen'ices
    is increased. Also in supply portion transportation and Insurance shall be added.
    To summarise the :'<arnein Numerical please go through the below mentioned
    tablc'.
    Particulars Transport & R~le~;i:n
    Amount Actufll Supp!y
    :nsurancc 10%
    SU I 11145625.13 3225067 7920558
    Service 7837789.47 783778.9'17
    Total Contract
    Valuc 18983414.6
    The retention amount is equivalent to the amount of PAGof supply value.
    ,

    We are also enclosing copy of letter No. 190j20/NOTICE/OJAj2019_20 dated


    15'" April 2019 written to Project Owner regarding Notice for suspension of work
    under Gee Sub-eJause 16.1 of the contract.

    We once again request you 10 release our payment which is pending since Feb

    • 2019 with Exim Bank of India, which is directly impacting our flow of work. We
    requellt you to release the same at the earliest so that the work can be resumed
    early.

    You

    Alliance India ?vt Ltd


    II Wft~R I;lli'l- ~ ii<f;
    '~m"~,
    lTC', I .. jf"f ''', ".l'i~,'", <t.
    ~1'l'T'{'l'ii.~i',"",'f
    EXI'OIH-I'II'OIH
    {)il<:~ 1ll<lQ<.T""",- 1 't" rOOf.
    11CJWJ

    It\i\h: OFI\UI,\
    ""'.<>:'"
    , '-"'dO N,,!<' (f"n. '",,,, [)<>Ii . , 10 C,))
    to i '" ",.,~
    [0!g] (.;;;;:- h"lf"" ,O'''''''''''''W''''
    (0'1)rIO' 5O'i'l
    ;-~.{ . ..,1 ""'' <Jo(,,'<,""'.'~.•.•.••"

    GOILOC- 152[ II!E.AF-COM/l 9/482


    1 . .""""'~
    May 23, 2019
    """'"'."''''''''''~ncI,"
    ~,~,,',

    Shri V.P. Rustagi Shri S. K. Grover


    Chief EXf'rutive OffICe- General Manager- ir.temational
    OverseasInfrastructure Alliance [I~dia) Operatio~s
    Pvt. ltd, Bharal Heavy Elettricals ltd.
    1205, Surya Kira~ Bldg. Intematronal Operations Division,
    19, Kasturba Gandhi Mar9 Lodhi Road, New Delhi - 110003
    New Delh, - 110 001 [Tel: +91-11-41793]93]
    [Tel: +91-11-4]00 I111J [Email: skgrover@bhel,inj
    [Mob,: 852709]701, 9810561090)

    •
    [Email: ved.rustagi@oialliance.com)

    Dear Mr. Rustagi I Mr. Grover,

    Exim Ba~k's GOI-supported Line of Credit [lOC] of USD 41.60 million to the
    •
    Government of the Union of Comoros [GO-COM]: Contract for i~stallation of 18
    MW power generation project <It Moroni, Union of Comoros valued at
    USD36,983,414.61

    We refer to the review meeting held on May IS, 2019 at MEA to rev,ew the
    I status of the captioned project being executed by Consortium of 01A-BHEL.

    2. A~ you are aware, as per the advice of MEA, three disbursements aggr~ating
    USD 368,507.31 in favour of OIA were kept on hold by Exim 8ank since March 2019
    due to various reasons, including inter-alia, non-submission of Advance Payment
    Gua;anlee [APG] and Performance Bank Guarantee [PBG], siow progress at site on
    account of non-arrangement of adequate resources by OlA, non-submission of project
    implementation schedule etc,

    • 3. During the review meeting, It was decided that the disbursemeng shall be
    released by Exim Bank Subject to OIA lulfilling the foliowing conditions;

    o Renewal of two APG<;~nd replacement of a Corporate Guarantee with a PBG


    from Indian Public Sec:or Bank by OIA as per its contract agreement with GO-
    COM.
    •
    o Arrangement of backfilling soil and "Iectromechanocai personnel by OIA to
    resume the work at site.
    o 01" to provide u~ilizat'onof funds for future disbur<;ements.

    4 In this connection, we are in receipt of your letter dated May 16, 2019 regarding
    subrnis~ionof two APG~and a PBG.We note that OlA has maintained its stand thal it
    shali renew APGs only after return of original APGs [already expired] from GO-COM.
    further, with regard to the PSG,OIA hJS rminldl"ed ,l~ st~~d that it ha~ submitted a
    Corporate Guarantee in piace of a PBGfrom a Bank with the (Q~Cl.lrrenceof the GO-
    COM CIA has also Quoted a reference to ,ts lellf'r :Iated IIpril 15, 2019 addressed to
    GC-CCMthereby givin(j NO:I(e of Suspension of work. We further note that your letler
    is ,iiert about Mrangement of backfilling soil and eiectromechanical persornel a~d
    utilization of fu~ds for future disbursements,

    5 In continuation, we dre also In rece'pt of another lettf'r from OIA d~ted May 20,

    ~'"" ""'*"" , h: "'" ,"", ~, ,f "fu', "'" """" to: ,;,p" ..,. om, ~ - 'x em ''''''''' , +91 2'1 2'11) 'XIX _ , .91 .>'1'-1'916~\ ,.
    ,....., C'k~. «,~<<::J<-< e",,"9. flocr ~', '"'--"" ",>(1"C""", ("""""" C<If<""'dd<. ""--,,,,-,>
    . '00 M ""'--"'< •• 9'-1'0-2'11) 'lIffJ r,. ,Q1.~1 W18 2S'?
    •
    •

    COllli I1l1ution

    2019 informing that OIA is plann'ng to visit Comoros in June 2019 to resolve the issue
    of original APG in coordination of G0-COM.

    6. Exim Bank had referred the OIA's allov" stand to MEA,In view of the decision
    "' taken in tMe review me€ting of May 15, 2019 and as advised by MEA, we reiterate that
    disbursements shall be released bV him Bank subject to OIA fulfillng the conditions
    mentioned at pdra 3 above, Further, we place below the major <I,tion points noted
    during the review meeting:

    I'IQje<t ImplflIJentation 5<;he(lu1e'


    • OIA-BHEl was again advised to submit [signed and stamped] prOject
    implementation schedule along with monthly targets of milestones to be

    •
    achieved which should be ce,tifted by MITCON.

    Civil wo_rk:
    • OIA was advised to immediately arrange for necessary material [includmg
    backfilling soil, steel, cement, sand and aggregate] and manpower for civil,
    electromechanical, stll.Jctural and fabrication work for smooth impl~mentation of
    •
    the project.

    Gl@:il.nJ.!i:e:; ..SubmissIQn:
    • OIA to submit renewed copies of two APGs and a PSG from Indian Public Sector
    Bank as per its <ontract agreement with GO-COM,
    o BHEL to submit a PSG from Indian Public Sector Bank as per its r.ontrilct
    agreement with GO-COM.

    llliEl;$.~ce SltllP'ly;
    • Considering the site space con<;traints, BHEL to plan its balance supply in
    tandem with the erection schedule.

    p [(,lj!Xl.Sl.<llll£.Beport.;
    o MlTCON to submit monthly status report of the project to aUstakeholders .

    • 7. fn view of the foregoing, we once again advise OIA-BHEL to resolve the


    abovementioned various action points at the earliest to expedite implementation of the
    project and to enable us to process the disbursements under the contract. •
    With best regards,

    Yours sincerely,
    </"'"
    ~\W"'~""'::<,
    IMeJ~a Verma]
    General Manager
    :lI1a.2021 Yahoo Ma, - Ro: Sdl,l.lioI1du projot <!toIII 00tMl1oOl,lfuel I"••"" aWl Comi>re.

    •
    , •
    Re: Situation du projet de la centrale au fuellourd aux Comores

    From: Mze (he; OUBErD! (abol,lol,lbeidi@gmail.com)

    To: mangeshJ@eximbankindia,in

    ec: amb,aanarivu@mea,gO\l-in; hoc.ilanarivo@mea.gov.in; jsdpa@mea.90v,in; l,lsdpal@mea.gov,in;


    nadeem@eximbankindia,in; amita@eximbankindia.in

    Dale: Friday, 19 July, 2019, 12:58 pm 1ST

    Gentil rappel.

    Le 1 juil, 2019 fl16:58, Mze Chei OUBEIOI <aboyoubeid@gmailcom>aecr;t:

    Monsieur Ie Directeur,

    Je prends !'initiative de vous ecrire, sans partager Ie message fl OIAet BHEL, car retat d'avancement du
    projet se degrade et il est urgent de trouver une solution acceptable. Tout en soutenant les

    • recommondations que vuus evez adresse iI OIA et BHEL (Calendrier, garanties baneaires, .. ) il est temps
    de dlltendre 10situation en dllbloquanlles impayes pour perrnetlre de poursuivre Ie chantier et payer les
    ouvriers. Les problemes actuels d'electricite aux Comares sont insupportables et Ia saule altemative
    credible resle ce proiet de centrale au fuellourd. Les autorillls souhailent malntenant mettre en pale une
    6-Quipequi fera Ie suivi des travauxjour par jour et faire un compte rendu au Gouvememen1. C'esl dans
    l'inlert'!! du gouvemement de veiller au bon deroulement des lravaux car les autori""s ani fail confiance
    aux 2 societes alors que les resultats ne sont pas;i la hauteur des attentes.

    C'est pourquoi. ja vuus suggere de "desserer un peu I'elau ~ an faisanl preuve de soupJesse afin donner
    une chance de reussile II notre proje\. Ce message ne doit pas eire considere comme un signe de
    faibles"e mais plut~t oomme une volonte de progresser. J'espere que VOus serez sensible fl ce message.

    Mes meilleu""s salutations

    OVREfDf Mu G,ri
    Former Minister of Finances and Budget
    Permanent Secretary of the Unit in charge of the Follow-up
    the economic and financial reforms
    PO 80x 2325 Moroni - COMORES
    Mob :( 269) 338,30.82

    •
    FiU :(269) 773,90.40
    E-mail ;a!1ouQubeidi@gmail.com
    ID Skype : ilbou,oulJ.eidi

    '"
    I

    Mze Chei OUBErO! <abououbeidi@gmaiLcom>


    To:Mangesh Joshi
    Cc:amb.aanarivo@mea.gov.in,hoc.aanarivo@mea.gov.ln,jsdpa@mea.gov.
    in,usdpa1@mea.gov.in,Nadeem Panjetan,Amita DangHide
    Fri, 19 Jul, 2019 at 12.58 pm

    Kind reminder.
    On Jull. 2019 at 4:58 PM, Mze Chci OUBEIDI <abououheidi@gmail.com>
    wrote:

    Mr. Director,
    I take the initiative to write to you, without sharing the message to OIA and BHEL,
    because the progress of the project is deteriorating and there is an urgent need to
    • find an acceptable solution. \Vhite supporting the recommendations that you sent to
    OIA and BHEL (Calendar, bank guarantees, etc.) it is time to ease the situation by
    unblocking the unpaid bills to allow the work to continue and pay the workers. The
    current electricity problems in the Comoros are unbearable and the only credible
    alternative remains this hcavy fuel oil plant project. The authorities now wish to put
    together a team that will monitor the work day by day and report to the
    Government. It is in the interest oflhe government to ensure the smooth running of
    the work because the authorities trusted the 2 companies whcn the results did not
    live up to expectations .

    • This is why 1suggest you "loosen the grip a little" by showing flexibility in order to
    give our project a chance of success. This message should not be considered as a
    sign of weakness but rather as a desire to I hope you will appreciate this message.

    My best regards

    ()('BEW/ .'rl:;~<'h~j
    Former Minister of Finances and Budget
    Permanent Secretary of the Unit in charge 01 the FOllow.up
    the economic and financial reforms
    PO Bo. 2325 Moron; • COMORES
    Mob ,( 269) 338.30.82
    fa. :(269) 773.90.40
    ~i1iU.i1WV,QvJI"lkti@gmi!ii._'Qill
    ID Skype : abou.oubeidi
    RefNo: 199/20/COR/OiA/2019-20
    0'VB<SfAS •••••• 11OJC:1IJIl:!. "'UIoIl<£
    Date: 03.06.2019 building infrastructure
    _worldwide_
    To,

    Mr. OUBElDl MZE CHEI

    Former Minister of Finances and Budget,

    Permanent Secretary of the Unit in charge of the Follow-up

    The economic and financial rdorms

    Po 80;<-2325

    •
    Moroni, Comoros

    Reference: 1) Contract No. 003/MPEEIA/2014 dated 18.09.2014 along


    with Amendment no. 1 dated 17.03.2015 for Setting up 18 MW
    Heavy Fuel Oil Based Load Grid Connected Engine Based Power
    ~neration Project With Associated Tank Fann & Electrical
    Evacuation System At Moroni, Union of Comoros

    2) Your mall dated 25th, May 2019;

    Subject : Status of 18 MW HFO Based Power Project

    Dear Sir,

    • We are in receipt of your email dated 25'h May 2019 rderred above and have
    noted the points.

    Here we would like to clarify that major delay in starting the project is due to
    change in site. We have completed all basic civil requirements at old site, .but
    because of local villagers' threat GCe has changed the site. The new site was
    aUotted and hande<l over to us in January 2017. Thereafter, we started the
    basic civil activity like cleaning of Jungle, survey work, etc. From gco-surve:.'
    we came to know the weakness of soil and again the project got delayed for
    more than six (0 eight months. Actual work started on 20'" April 2018 and
    run smoothly till February 2019.

    OVERSEAS INFRASTRUCTURE ALliANCE (INDIA) PRNATE liMITED


    eor,..... 1IlIJ<o_ •••• d"t<lOIko;
    11(6, s..-,. ••••• 8LJlo:""l_ t9. ">lI'bOo G.lf>erj••••'~ K. K..~ •••. 470 C""",,,GI''''''l
    Rolo:I
    No.0." . "9 elll,1r<Io _lEI, __ . 400009,lOW
    101.:+91>11-<$001111 f"" +~HI-lJ\1 03<1 100 ~~I.12.667\!lOOO, ••. ~~1-Z7_2B25 ••.•81.' 6075\001

    . www.olal1lance.comlola@olaUlance.com . elN.: U65929MH1989PTC05290D


    ~ """"TRUCl'" ow•.•t.
    building infrastructure
    _ worldwJde_

    If such obstructions are coming again and again then it will be difficult to
    complete the project in stipulated time. If running bills are hold up, then it is
    difficult to maintain the cash flow at site. All commercial related issues can
    be sorted out in parallel \\-ith the non-interruption of work. Hence, we once
    again request you to write to Indian bank lOrelease our funds .

    • The undersigned ""illvisit Comoros and will discuss all the points of additional
    work with you in detail.

    We once again assure you for the best and quick service at the Project.

    •
    Project Manager.

    OVERSUS INfRASTRUCTURE ALLIANCE (INDIA) PRIVATE tlMITED


    tor,.. ••• omc" ~"ood O!Ii<o:
    12(;5, Sulyo 01'111~ Ii. W1J<I» (';.oMl'o I.Iq II K. ~~. 41C c..d-niJ Gr•• "", _
    ""~ 1le<tIi.11~ Oill, I'4l _ltl._'<OOIl'l!l .•.••.•
    I,L ~!lI.\I~300 1111 fa>: .91.11-13>1 6321 w.' ~il.Z2-W~~ flO.!l'.n.ll''lH'Ii\I66I~!>OlI'
    www.OIalliance.comloJa@oJalliance.com CIN.:U6592DMH1989PTCGS29GO
    Ref.: 195/20/COR/OIA/2019-20
    1M ••••••••••••••• 1RI':1VOl: ••••.•••'01;1'
    Date: 4th June, 2019.
    buildinginfraslructure
    _worldwide_
    To,
    Mr. S. Chinpau Ngaihte.
    Under- Secretary (OPA-I),
    MINISTRYOF EXTERNALAFFAIRS,
    2111, Jawaharlal Neharu Bhavan
    23 -D, Janpath
    NewDelhi-IIOOll

    • Reference :11 Contract No. 003/MPEEIA{2014 dated 18.09.2014 along with


    Amendment no. I dated 17.03.2015 for Setting up 18 MW
    Heavy I"uel Oil Based Load Grid Connected Engine Based
    Power Generation Project with Associated Tank Farm &
    Electrical Evacuation System At Moroni, Union of Comoros;
    2) Mecting dated 16.05.2019 in MEA

    Sub: Response on the Meeting regarding Bank Guarantees.


    Dear Sir
    We thank you for the kind courtesy extended to us during the meeting held in
    MEAon 16 May 2019.

    • As discussed during the meeting, we have forwarded our reply regarding Bank
    guarantees to Exim Bank dated 16th May 2019.(Lctter is enclosed). It is further
    slated that, the new elected President is taking oath shortly. The undersigned is
    visiting Comoros by 15th of June 2019 and subsequently, we will discuss the
    progress of the project and will search for the Original Bank Guarantee.
    Hence, it is our humble request to }'OUto release the pending payment (USn 3.68
    lacs pending since February 20191. The release of payments shall facilitate us to
    restart the work at Site.

    Enclosed: Reply regararng'TIank Guarantees


    OVERSEAS INFRASTRUCTURE ALliANCE (INotA) PRIVATE lIMITEO
    A••••••
    '•••IIf'~. c.,o.".OIIo<.
    '><I'-WI 11<'"" •.".. rv r_ G'It~ .•~ """" 'l9'I. """. "'~, Il. <lo''J. ,~ .• ...."". G•..••" I••••V
    ~_ ,!,_ '.'",",~. 'XliHi' ","" '"," Il<-'"_ "0 'I)' b'"
    I" ~.I.?/'('o;S&nl I••.• ~1.l:l.1lI;>'j
    2%':661~~' T~. ,1.' 1..\j001'1' I••: .;1.'1-13\' 61'1

    www.olal1lance.comlola@Olalliance.com GIN.:U65920MH1989PYC05'2900
    From, Va 'g"sn j(l\hi < rcanges~.j('l1e,;ml;la""i~d',a.in
    >

    Sent; }~ .Iu~e20:9 l~'~


    To; Ve(l PraKashRullagi; 5"grover(~\bhel.in
    Cco PU!J,hotam Ma~esnwMi; Shrikanl Kare.ar; Jayeshlngale, (hand,n Yadav;Ril\. "a)
    A<ya;'(handrashek.!lal Nil$alapUlkar';,hiralk.ar.oub"ido@hotmai.com;
    abe'uoubeidi@gmail.com; Moindjie SaadiTPG;k.lganju_comoros~hotmail.com;
    Djalfar Ahmed VP Economie;vpmepeiotispal@gmail.com;DjaanfarAbdourahamani
    SG;Djamal Ali Mbaraka; HassanAdili; Ahmed abdous,alam (DeUe);Abdoul Ami,
    Dir Cab; Djaffar 1mpol,: 'amb,aanarivo@mea.gov,in':hOC.oanarivo@mea.gov,in;
    'jsdpa@mea.gov.in';'usdpal@mea.gov.in'; Nadeem Panjetan;V,rma Meena, Amita
    Dang
    Subjecl: RE:EximBank', GOl-$upported line of (redil [LOCIof USD41,60 million to Ihe
    Government olthe Union 01 (omoros (GO-COM]:Contract lor installalion of 18
    MW power generation project al Moroni, Un;on 01 Comoros valued at USD
    36,983,414.61

    &€ar It,r, Rustagi I Mr. Grov€r,

    W€ refer to our communications dat€d May 23, 2019 ,md Jun€ 13, 2019 seeking update on variOus
    action points noted during the review meeting held on May 15, 2019 at MEA on th€ Comoros Power
    •
    project, We regret 10 note that we are yet to receive any update on the same,

    Further, we are in receipt of a communication from BHEl inlorming that due to OlA's inability to pay 10
    the freight forwarder, 2 shipments of BHEL dated 31.03.2019 and 19,04.2019 are yet to b€ released
    from the Moroni port. BHEl has also stated that the demurrage @ usa 250 per day per container is
    getting incurred on 35 containers.

    In the interest of Ihe project, OIA is advised to immediat€ly arrange for clearance 01 BHEL's 2
    shipment from Moroni port,

    OIA-BHEl are once again advised to provide the latest update on the following action points:

    Project Implementation Schedule:


    • OIA-BHEL to submit [signed and stamped] project implementation schedule along with monthly
    • targets of milestones to be achieved which should be certified by MITCON, •

    Civil WQfJ.;,:.
    • OlA was advised to immediately arrange for necessary material [including backfilling soil, steel,
    cement, sand and aggregate] and manpower for civii, electromechanical, structural and
    fabrication work for smoolh implementation of the project.

    Guarantees SubmissiQ.!l<
    o OlA to submit renewed copies 01 two APGs and a PBG from Indian Public Sector Bank as per its
    contract agreement with GO-COM,
    o BHEL to submit a PBG from Indian Public Sector Bank as per its contract agreement with GO-
    COM,

    6HEL'55UPpJy •.
    • Considering the site space constraints, BHEl to plan its balance supply in tandem with the
    €rection schedule,
    • QlA to r""idc Bill of lad;ngs fOfthe la,12 ,hiprnc"!' mad. by IllfFI..
    Mangesh Joshi
    Manage'
    Lin~s 01C",dit Group

    Ottlce Block, f"wer 1


    ,Iff>;;r ~, "1V 1. 7ft ~,
    :"l~ Iloor. AliJacenl Rmg RO.ld
    "l'~W fhTin. Tff ff,~"ft'I1f"T
    East K,dwai Nagar New Deihl
    'Ii~110023
    110023
    •• • • • 1
    .0 Gire
    , @+9 11.24~7738 D +91-8652107371 I

    From: Mangesh JOlhi


    Sl!nt: Thursday, Junl! 13, 2019 1:38 PM
    To: Vl!d PrakashRustagi <ved.rustagi@oialliance,com>;skgrover@bhel.in
    _c: p.mahl!shwari@oialliance,com, 'Shrikant Karl!kar' <Ihr;k"ntkarekar@oialliance.com>; 'JaYl!shIngale' •
    _jayesh,ingale@oialliancl!-com>; 'Ch"ndan Yadav' <chandan,yad"v@o,alllancl!,com>; Rltu RajArya
    <rituraj@bhel,in>; 'Chandrashekhar Nasalapurkar' <cpn@mitconindia,com>; shiralkar <mitcond"dar@gmail,com>;
    oubeidi@hotmaii.com;abououbeidi@gmail,com;Moindjie SaadiTPG<moiSlsadi@gmail,com>;
    klganju~comoros@hotmail.com; Djaffar Ahmed VP Economie <djafforahmed772@yahooJr>;
    vpmepl!iatilp"f@gmail,com; Djaanlar Abdourahomani SG<djaanfaree@yahoo,fr>;DjamaIAIiMbarak"
    <djamalimbaroka@yahoo.fr>;Hassan Mili <hassaniadili@yahoo.fr>;Ahmedabdoulsalam(Dette)
    <mdzuwao;@yahooJr>;AbdouIAnzi:Dir Cob <elaziz,elaziz@gmail,com>;Djaffarlmpots<djaffar1@yahoo.fr>;
    'amb,aanarivo@mea.gov.in' <amb,aanarivo@mea.f,ov.in>; hoC."anarivo@mea,gov,in; 'jsdpa@ml!a.gov.in'
    <jsdpa@mea.gov.in>; 'usdp~l@mea.gov.in' <usdpal@mea.gov.in>; Nadeem Panjet~n
    <nadeem@l!ximbankindia,in>;Verma Meena <ml!en~@l!ximbankind ia,in>; Amita Dang <amita@l!ximbankindia.in>;
    Mangesh Joshi <m~ngl!sh.j@l!.imbankindia ,in>
    Subject: RE:him Bank's GOI-supported line of Credit [lOC) of USD4},60 million to thl! Government of the Union of
    Comoros [GO-COM1:Contract for installation 0118 MW power generation project at Moron;. Union of Comoros
    valued at USD36,983,414.61

    Ol!ar Mr. Rustagi I Mr. Grover,


    .~e refer to our letter datl!d May 23, 2019 forwarding action points noted during the review meeting •
    held on May 15, 2019 at MEA on the Comoros Power project.

    We also refer to GO-COM's communication dated May 27, 2019 agreeing with the reasons behind
    keeping disbursements on hold and urging OIA-BHEL to take immediate actions on the various action
    points noted during the meeting. We are yet to receive any update from OIA-BHEl on the same.

    OIA-BHEL are advised to provide the latest update on the following action points:

    project Implementation Schedule;


    • OIA-BHEl was again advised to submit [signed and stamped) project implementation schedule
    <Ilong with monthly targets of milestones to be achieved which should be certified by MITCON.

    QylLw!lik;,
    • OIA was advised to immediately arrange for necessary material [including backfilling soil, steel,
    cement, sand and aggregate] and manpower for civil, electromechanical, structural and
    fabrication work for smooth implementation of the project.

    Guarantees S.ubmission:
    • OIA to submit renewed copies of two APGs and a PBG from Indian Public Sector Bank as per its
    contract agreement with GO-COM,
    ,
    • BHEL to s~bl""l\ a PSG 1-0"1 Inoian Pub';c Sector Bank as per It<; contract agreement w,th GO-
    COM.

    BhEli2UPQ.I'y~
    • Considering the site space constraints, BHEL to plan its balar,ce supply in t,mdem with the
    erection scredule.
    • OlA to p"wid. Ihe Ilil1 oil.""ing., 1<"Ihe I." 2 ,hil,en"tn' mack~)' HIl]-I..

    Mangesh Joshi
    Man'ge,
    Linos of Credit Group

    WNWex"nba"~'nola in i>!fful"~,<'T'fT
    1,7{l~,
    www.e<,"'mi!raln
    (jll"-,, Bh,d•.r""er I
    ~~ fhr irr, Tfi ~ 'f'C' 7th 110('''.. \(ij;lC,nl R"'g Ro,d. Last
    K "1,,.11 "'gar "~,,. Delhi 110 O"~

    •
    ~~110023
    ,
    .() (Ii)S @+9111.24607738 [J ~1-86521073~

    From: M,e (he; OUBEIDI [mailto:abououbeidi@gmail.com)


    Sent: Monday, May 27, 2019 3:03 PM
    To: eximloc <ex"mloc@eximbankindia.in>
    Cc: Ved Prakash Rllslagi <ved,ruSla&i@Q@!!i~n(e_wm>; skgrover@bhel.in; p.mahe~hwMi@oialliance.CC1m; Shrikant
    Karekar <shrikant.karekar@oialliance.com>; Jaye~h Ingale <jayesh.ingale@oialiiance.com>;ChandanY"dav
    <ch"ndiln. yadav@oialliance.com>; Ri1URaj Aryo <riluraj@bhel.in>; Chandra~hekhar Nal~lapurkar
    <cpn@mitconindia.com>; shiralkar <mitcondadar@gm~il.com>; Moindjie Saadi TPG <moiS hadi@gmoil,com>;
    Ganju Consullnde <klg~niu comorOI@hotmo;l,com>;Djamal Ali MbMak~ <djomalimbaroka@yahoo.fr>; H~~~an
    Adili <has~aniad'li@yahoo.fr>; amb.aanarivo@me~ .gov.in; hoc.aanarivo@ntea.gov.in; j~dpa@mea.gov ,in;
    Uldpa1@mea,gov,in; Nadeem Panjelan <nadeem@eximbankindia.in>;Verma Meena <meena@eximbankindia,in>;
    Amit~ Dang <amita@eximbankindia.in>;
    <~a.DjaY@.J'.ximb~nkindja.in>
    Mangelh jo~hi <mange~h.j@eximb~nkindia.in>;

    "bject: Re: Exim Bank's GOj-supported Line of Credit [LaC) of USD 41.60 million to the Government of the Union
    Comoro~ (GO-COM]: Contract for jn~lallation
    valued at USD 36,983,414.61
    of 18 MW power generation
    Sanjay tamba

    project at Moroni. Union of Comoro~


    c.
    Vculilo lmuvcr ci joinl k poinl de vue des atnorites comorienne' signataircs des docum<:nl, dll projel
    (Scerctaire Permanenl d~ la ("REF ~11c poinl focal)

    Moroni, II! 1J!()S I2/Jl9

    L'atlenlion des sociell~s OIA et BHEL

    MUMBAI

    Chefs messieurs,

    ,
    Les autorites comorie'1'1es onl suivi avec beaucoup d'altenlion les echanges entre BHEUOIA e:
    b:>m Ban~ Inde SUI Ie projet de mise en place de la cel1llale au fuellourd de 18MWH Nous
    voudrons rappeler que cette centrale au fioullourd dont la convention de llnancement est signee
    Ie 22 Fevner 2013 devalt etre livree en Janvier 2016

    Naus sommes en Mai 2019, et flen n'indique que la centrale paurralt eire hvree a la fin de cet:e
    annee,

    Actuellernent Exim Bank Inde a bloque trois decaissements tlltalisant368 507,31 USD en faveur
    de rOIA depuis mars 2019 pour dlverses raisons, et notamment la non-presentation de la garantie
    de paiemert anticipe, la lenteur et I'absence de progres sur Ie site etla non presentation du
    calendrier o'execution du proJet, entre autres raisons,

    Ace sujet, les autorites comoriennes partagent entierement les raisons evoquees par Exim Bank
    Par consequent, les autorites exhortent BHEL et OIA a respecter les recommandations lormulees
    par Exim Bank Inde dans les meilleurs delais afin de faire avancer Ie projet.

    .JPar ailleurs, meme si la centrale est mise en place, il reste encore 3 difficultes essentielles '

    Le systeme de dcchargement du fuellourd n'est pas resolu

    Dans une reunion de restitution, I'entreprise chargee des etudes du prajet (MtTCOM), s'est
    •
    declaree incompetent dans ce domaine Malgre I'insistance de la partie comorienne a chaque
    reunion regroupant les parties prenantes, celte question a toujours ete reportee par les deux
    societes alors que cela exige une etude prealable apres Ie deplacement du site de Oomoimboini.

    2) II n'y a pas d'eau sur Ie site

    les autorites estiment que la solution la moins couteuse et la plus liable consisterait a mettre en
    place une petite centrale de desalinisation de reau de mer plutot que Ie transport d'eau en
    camlOn.

    3) II laudra ajouter 2 citernes additionnelles pour garantir I'autonomie de la centrale

    le probleme de I'autonomie de la centrale a ete evoque des Ie debut du projet et


    .ratiquement dans toutes les reunions. En effet, il faudrait6 mois d'autonomie plutot que 3 mois.
    ~fm d'evlter les probh~mes d'approvisionnement en fuel lourd.

    II convient d'evaluer rapidementle cout financier de ces equipements, sachant qu'il reste
    environ 4 millions de $ sur Ie proJet

    Pour conclure, sans la resolution de ces difficultes, la centrale peut etre livree dans les delais
    mais inoperantes.

    Esperant que OIA et BHEL vont rapidement solutionner les problemes, recevez nos meilleures
    salutations,

    Oubeidi Mze ehei Hassani Adili

    Lc 23 rna; 2019 a 12:49, cxirnlt", <~Xl1nl()l"da!!.l)batlk,itldla.ill>


    a rail:

    GOl LOC- 152[ ll/E-AF-COM{ 19{482 May 23, 2019

    •
    Shr'V P q~stagi Sh' S. K. Grover
    Chief hecullve Ofhcer General Manaser - lntemational CperatlQrs
    Overseas I~fr~~lructure Alli~nce [!nd'aj Pvt. 6"3'a' Heavy fl<:'ctricals Ltd.
    'co lnt<:,rnationaiOperatIons Div,sion,
    1205, Sury~ Krran Bldg. Lodhl Road, New Delhi - 110003
    19, Kasturba GandhI Ma'g [T"I: -;-91-11-41793393]
    New Delhi - 110 001 [Email: ,,>,g'o bhel"']
    [Tel, +91-11-4300 lIlt]
    [Mob.: 8527093701, 9810561090]
    [Email: y.cCU.l!.S.t.iJ9.L(ljJulall
    ••HlCe..t.QJI"]

    Dear Mr. Rustagi I Mr. Grover,

    Exim Bank's GOI-supported Line of Credit [LOC] of usa 41.60 million to the
    Government of the Union of Comoros [GO-COM]: Contract for installation of 18
    MW power generation project at Moroni, Union of Comoros valued at USC
    36,983,414.61

    We refer to the review meeting held on M<lY15, 2019 at MEAto review the st<ltus
    of the captioned project b<:,ingexeCl.ltedby Consortium of OIA-BHEL.

    • 2. As you are aW<lre,as per the advice of MEA,three disbursements aggregating usa
    368,507.31 in favour of OIA were ~ept on hold by Exim Bank since March 2019 due to
    various reasons, including Inter-alia, non-submission of Advance P<lyment GUilrilntee
    [APG] and Performanc<:,Bank Guarantee [PBG], slow progress at site on account of non-
    •
    ilrrangement of adequate resources by OIA, non-submission of project implementiltion
    schedule etc.

    ). During the review meeting, it was decided that the disbursements shall be released
    by Exim Bank su')ject to OIA fulfilling the following conditions:

    o Renewal of two APGsand replacement of a Corporate Guarantee with a PBGfrom


    Indian Public Sector Bilnk by OIA as per its contract agreeme~t with GO-COM.
    o Arrilngement of backfilling soil and electromecha~ical personnei by OIA to resume
    the work at site.
    • OIA to provide utilization offu~ds for future disbursem<:,nts.

    4. I~ this con~ection, we are in receipt of your letter d~ted May 16, 2019 regarding

    • •
    submission of two APGsand a PBG.We note that OIA has maintained its stilnd that it shall
    renew APGs only after return of original APGs (already expired] from GO-COM. Further,
    with regard to the PBG, OIA has mai~tained as stil~d that it has submitted a Corporilte
    GUilrantee in place of a PBGfrom <I Bank with the COnCUrrenCe of the GO-COM. OIA has
    also quoted a reference to its letter dilted April 15, 2019 addressed to GO-COMthereby
    giving Notice of Suspension of work. We further note that your letter is silent about
    arrangement of backfilli~g soil and electromechanicill personnel and utilization of funds
    for future disbursements.

    5. In continuation, we are also i~ receipt of iI~other letter from OIA dilted M<lY20,
    2019 informi~g thilt OIA is planning to visit Comoros in June 2019 to resolve the issue of
    original APG in coordination of GO-COM.

    6. Exim Ba~k had referred the OIA's above stand to MEA.I~ view of the decision t"ken
    In the review meeting of MilY 15, 2019 and as advised by MEA, we reiterilte that
    disbu'sements shall be released by Exim Ban~ subject to OIA fulfilling the conditions
    me~tioned at para 3 above. Further, we place below the m<ljor action poi~ts noted duri~g
    the review meeting:

    Project Implementation Schedule:


    o OIA-BHEL was agai~ advised to submit [signed ilnd stamped) project
    implementation schedule along with mo~thly targets of milestones to be achieved
    which should be certified by MITCON.
    ,
    CJ..\1il wor~:
    • OIA was adv'see to immed ately arra~ge 'or necessary materiai [includmg
    backfillmg soil, steel, cement, sard and aggregate] and manpower lor CiVil,
    electromechanical, structural and f"bncauon work for smooth implementat,on of
    the proJect.

    Guarante.esSubmission:
    • OIA to submit renewed copies of two APGs and a PBG from Indian Public Sector
    Ban~ as per its contract agreement Nith GO.COM,
    o 8HELto submit a PBGfrom Indian Public Sector Bank as per its contract agreement
    with GO.COM,

    BHEl's balilnce supply;


    • Considering the site space constraints, BHEl to plan its balance supply in tandem
    with the erection schedule.

    Project Status Report:


    • MITCONto submit monthly status report of the project to ali stakeholders.

    7. In view of the foregoing, we once again advise OIA.BHEL to reSOlve the

    • abovementioned variOUSaction points at the earliest to expedite implementation of the


    project and to enable I)Sto process the disbursements under the contract.

    With best regards,


    •
    Yours sincerely,

    \Iccn~
    V"rl1l~
    (:,n<,"'
    ""n••"
    tin" Qf er",li'
    <im"~cOOI.jPl;> Group

    • ,
    ~~.'T'lT

    '.'", .•.'F,":'1-,'T{fu
    om,"
    ,
    m"dd

    71h 110<>'-
    AJj"",",,1
    '''''"T
    •
    f'l1'[ >T"fo't
    Ring R~"d
    Kid" .•,
    f.R:~f"'l7
    "t f.!<;cfT11002, (Ea'I)
    ~"" Delhi
    I II! Ill.!

    Copy of letter No. GOILOC-152[1]/E-AF-COMj19j482 dated May 23, 2019 for information
    to:
    Mr, OUBEIDI MZE Ci"'EI
    Former Minister of Fina~(es and Bucget
    Permanent Secret3ry of t ~e Unit in charge of the Follow-up
    The economic and financlill reforms
    Po Box.2325
    Moroni, Comoros
    [Tel: +26976430041 338 30 82)
    [Filx: +26977390 40}
    [Email: QURe.jiJQC!).QU.lall.Wm
    ~\ioUO\!.b",ldi@gJ)'iill,!;:om; mol 5J5,,;1'@9 ma'(.~O!D)

    Copy of letter No. GOILOC-152[lj/E-AF-COM/19j482 dilted May 23, 2019 for informiltion
    to:

    Mr. K. L. Ganju
    Consulate General [Hony.)
    Union of Comoros
    27-28, Ground Floor

    • D.S., New Riljinder Nil9ar


    New DelhHlO060
    [Tel: 011 28741319
    011 28741328}
    [Fax: 011 287413261
    •
    [Cell: +91-98100 10661)
    (illh Qtm."lL COl'll)
    [ Email: ~lg.aJ)j1L.~QJ!1.Qro~

    Copy of letter No. GOILOC-152[1)/E-AF-COMjl9j482 dated May 23, 2019 for information
    to;

    Shri Abhay Kumar


    Ambassador
    Embassy of India, Antananarivo
    [Concurrently ilccredited to
    the Union of Comoros)
    4, Lalana Rajaonson Emile

    •
    Tsaralalana
    P.O. Box 1787, Antananarivo
    Madagascar
    [Phone: 00-261-20-2264439, 2223334)
    [Fax: 00-261-20-2233790/2226081)
    •
    [Email: ilmQ.i.i..J.aI.YR@mea.Q.O
    .••.•.
    ln; !1fK,-il",nariy~(dlm."'.",,-gQyjn1

    Copy of letter No. GOILOC-152[1}/E-AF-COMj191482 dated May 23, 2019 for information
    to:

    Shri A. Ajay Kumar


    Joint Secretary (DPA-I]
    Government of India
    Monistry of External Affairs
    2119, Jawaharlal Nehru Bhavan,
    23 D Janpath,
    New Delhi - 110 001
    [Tel: 011 4901 5395)
    [fax: 011 4901 5396)
    [E-mail: lliU&@.mea,.9QyJn]

    ,
    S~rl. S C~lnpau Nga,hte
    Undp.rSeu"~J-y [DP.A-!]
    Development Part""rship Ad"'tni~t'dt;O""
    I~mistry of Ex~erna!Affal's
    R. No, 3100. J"w~harlal Nel1ru B~dWarl
    23 D Janpatl1, New Delhi-l10011
    [Phone: 011 49015420]
    [Fax: 011 49015464]
    [Email: ~(I.k .4.me<!,gov.,n,
    Disclaimer
    *** •• *•••• *••• *.***.**.*~*~******~*.*.*.* •••• **.*.*.*************
    The information contained in this communication is confidential and may be ItO-gaily
    privileged. It is intended solely for the addressee and access to this e-mail by
    anyone else is unauthorized. Any copying (whole or partial) or further distrib~tion
    beyond the original recipiert is not intended, and may be unlawful. Export-Import
    Bank of India cannot guarantee that e-mail communications are secure or error-
    free, as information could be intercepted, corrupted, amended, lost, destroyed,
    arrive late or incomplete, or contain viruses. The sender will not be responsible for
    any damages the recipient may suffcr, as a consequcllce of receiving any virus

    •
    through this mail. Export-Import Bank of India does not accept any liability for any

    • damages caused on account of this e-mail. If you have received this commuilication
    ill error, please delete or destroy all copies of the original message including
    attachmCllts, if allY & notify me immediately.
    *******~** •.************.***********.**********~****.*****.******<!.e
    ua to OIA.HHI-.!.-23,OS.20I 9.pdf>

    Disc1aima •• *. **.**.*.* •• *•••• H •• *•• *•• *•• *•• *•••••••••••••• *•• *•••••••• *. The
    information containcd in this communication is con!idcntial and may he legally privilcg~d. It i, intcmled
    solely for the addressee and acee,s to thi, ~-mail by anyor.e dse I, unuulhoriz",d. AllYcopying (wh"l~ or
    partial) or furthcr di,tnbution hcyond thc original rccipient i, nol jnl~nd~d. and may he unlawfuL I':xpon-
    Impon Bank of India cannot guarante~ th"t ~-m"il communications arc s~curc or crror-frec. as information
    could hc inlcr,'cpwd. corrupted, arnend~d.lost. d~stf{)yed. arrive latc or incompletc. or contain vinls~s, Thc
    semkr WIll Ill,t h~ responsihle for any damagcs the rec ipi"ll! may suffer. as a consequenc~ of r~cti\'ing imy
    virus through thi, m"il Export-Import Bank of India does not acccpt any liahility for allY damag~s causcd
    on accounl of this c-maiL If you have rcreivcd lhis communicalion m ~rror, pleast' delet~ or destroy all
    copks ofthc ori"dnal messagc induding attachmcnls. if any & llotlfy m~ immcdialcly.
    4Ii.* •• *•• *•• *•••• *•••••••••••••••••••••••••••••••••• *•• *•• **.* •• * •••

    •
    •
    •

    Ref No: 200 I 20 I COR I alA I 2019-20


    Date: 29J16.20 19
    To.
    []IR"
    Mr OUBEIDI MZr.; CHE[

    }o~ormcrMinisler of Finantx"s and Budget,

    Pt'Tl1lancnt Sc<:rctltry of tht' Unit in charse of the Follow-up


    The economic and financial reforms
    Po Bo.~-232S
    Moroni, Comoros.

    Reference:. COntract No. 003/MPEEIAj2014 doted 18.09.2014 along


    with Amendment no. 1 dat",d 17.03.2U15 for Setting up 18 MW

    •
    Heavy Fuel Oil Dased ulIld Grid Connecl",d Engine Based Power
    Generation Project with AssOciated Tank "'arm & Electrical
    Evacuation System at Moroni, Union of Comoros
    Subject : Reply for mail dated 26'" JUIl",'2019

    His Excellencyl

    Greetings from OIA teaml

    In trailing :tr.ail, you promise for container c1l'aring from Customs will
    be taken care, Hut we are following the same from 15th May 2019 still there
    lS no response from Customs. In bel ween Project Manager arrived on 13th
    June 20 I9 and subsequently he {LIsafollowing fOTIt with higher authorities
    of customs nnd finance ministry but nothing is moving till today. Kindly look
    into the matter and hdp us to get Ihe containers f~"m Customs.

    •
    For your trailing mail we woul::! like to share realities for your kind
    consideration,

    1) OIA-BHEL must provide the proj:ct implementation schedule with the


    monthly target of the progress to be achieved.
    We have submitted letter of ::uspcnsioll of work in the month of March
    due to non- realisation ofru.nning bill payments. We will furnish consolidated
    schedule of work once the paymc-nt is rele""ed. This also depend on
    uninterrupted milestone payments in future.
    2) OrAmust make the llt:C"SSaryarrangements to Implement the project.
    Our team is ready for Ch'illlnd Electro mechanical work to mobilise to
    "ite (list is Iltrachec\1 C,vil raw materials container are dispatched from India
    in the month of March'2019 and reached Moroni on 15th May'2019 but till
    date customs clearness not completed by your authorities. Such delays also
    alTect the progress of work. Once again w" give assurance for smooth and
    timely completion of work.

    •
    3) OIA must submit renewed copies of 1\':0 APGs and a psG from the Indian
    Public Sector Bank, in accordance with its contract with GO~COM_
    Advance Bank Guarantee;
    As requestcd by Indian Bank of India, we have to return the original
    bank Jl:Uatantee (ABC) which already submitted TOGcwcrnment of Comoros.
    Once the bank gets the oriRinai copy we will get the renewed bank guarantee

    • (ABO) .

    Performance Bank Guarantee:


    We have already explained about issuance of csa in place of PSG for
    CIA scope of work (Request - acceptance letter of eSG is attached).
    Accordingly we have submitted Corporate Bank guarantee (CBG is attached).
    For more clarification on PSG we would like to clarify as under,
    i) For our scope of work, supply is related to Civil work, and
    service is mainly erection of BHEL supplied materials and
    its civil work for whieh 10% retention is withheld by
    govemment of Comoros as performance fleCtirity, till the
    takeover certificate ifl$ued by Govcmment of Comoros.
    Hence it was agreed o.nd approved by authorities to
    submitted Corporate Bank Guarantee in the place of
    Performance Sank GuaranTee.
    • We hope the above darificaticn fulfils your requirement mention In
    mail. Further we would like to request you that kindly advice Exim bank of
    India to rdease our payment which is held up since Fd.l'20 19.Hhere we would
    like to bring it to your kind notice that, we received our last payment in the
    month of Dee'2018, since then we were worked un. interrupted up to
    March"2019. Such obstacles in running bill deamess will affeet smooth
    working of Project progress.
    ,.th Warm Regards,
    NOTICEfOR SmLEMENT UNDERCLAUSENo. 34.2 Of THECONSORTIUMAGREEMENTDATED
    16.4.2014 BETWEENBHARAT HEAVYELECTRICALS LIMITEDANDOVERSEASINFRASTRUCTURE
    ALLIANCE(I) PVTLTD

    Date: 12,7.2019

    Mr. VPRu~tagi
    Chief Executive Officer
    OverseaslnfraSlructure Alliance (India] Pvt. Ltd,
    501-502, DIAHouse, 470 Cardinal Gradous Road,
    Chakala, Andhe'l East, Mumbai-400099

    Mr. Purushottam Maheshwari


    Whole Time Director
    Overseas Infrastructure Alliance (India] Pvt. Ltd,
    SOI-S02, OIAHouse, 470 Cardinal Gracious Road,
    (hakala, AndMeriEast, Mumbai-400099

    • Mr. Advait (hatu,vedi


    Directo,
    Overseas Inf,astructure Alliance (India] Pvl. Ltd,
    SOI-S02, OIAHouse, 470 C.rdinal G'adous Road,
    (hakala, Andherl East, Mumbai.400099

    Subject: Notice for settlemenl 01 Issues In lerms of Clause No. 34,2 of the Consortium Agreemenl
    Oated 16.4.2014 between Oharal Heavy Electrlca!s Limited (OHEt) And OVeneas Infraslructure
    Atnance (I) Pvt Ltd (OIA)

    Proleel: 18 MW Heavy Fuel Oil Base toad Grid Conneeled Engine Based Power Generation Project
    at Moroni, Comoros (the Project)

    Consortium ~r"ement dated 16.4.2014 (Consortium Agreement) and Contract Agrumenl No.
    003jMPEEIAj2014 dated 18.09.2014 and Amendment daled 11.03.2015 {the Contrael)

    Deaf 5ir,

    • In Hne with the lerms of the above mentione<l Consortium A8reement and the Comrael, OIA ;~
    entrusted with the re~po",ibility 01arranging shipmenlS If/om Indian Port to project site in Comorosl
    and Insurance of the Project equlpmenl supplied by BHELAs per Clause No•. S,], 20.7 and 20.S of the
    Consortium Agreement. OIA has to (I) engage such personnel and perform such services as maybe
    required the,efore (ii) bear all technical, linandal and other costs, e'pense~ and .(i.ks as,ociated with
    such 5hipment, Ireight chargel and insur~nce iIfld (iiil provide information, documents and other
    necessary inputs in a time bound manner 10/ completion of the f'rojeet as pe, contractual schedule.

    Earlier this year, OIAarranged Conlainer I.hipments 01project material of BHELworth US$2,90S,924/-
    in two Lots on 31- March, 2019 and 19" April, 2019 Irom JNPT, Mumbal. for both the above
    ,hipments, OIAengaged MIs Atlas 5hipping services Private Ltd, (Atlas) as their freight forwarder and
    informed BHELvide email dated 29.01.2019 to coordinate with Alia, for executing the shipments.

    8otl>the above ""ipmems we,e handed o.er to Atlas althe designated Container Freight Station (US)
    ~n Mumbai in accordance with the booking details .provided by Alias. However, even after fapse of 3
    mOMhs and an intense foliow up, OIAh•• not handed ave, the Billof Ladings (aLs) 01above ~hipments
    Moreover, OIAhas fa,led tota.e marIne ,"surame for the project mate"al wh"h sa,led on 19 4 2~"
    .~
    , dfffh
    Due to this contravention of OIA.BHU h.d to take insurance for the project material and inwr CO$t
    of ~ 2.08,484/.,

    As original Bl.sare required to be submitted .Iong with invoice~ for issue of payment authorization
    certificates by customer and further for rele.se of payment by EXIMBank, SHU is unable to realile
    payment of materi.1 worth 20 Cr. In the ab~ence of original Sl.s of above shipments,

    Further, OIA has to pay an amount of ~19,04,31O.45/- to SHEl on account of demurrage charges
    incurred on ~tor'ge of DGsets at Mumb.i port last year due to delay in arranging of vessel by OIA.E-
    maH dated 13.06.2018 (Annuure-A) from OIA, regarding acceptance of demurrage charges is
    endosed.

    Due to tne aforesaid infractions of OIA, SHEl has suffered losses .nd liabilities which .re continuing
    lill date. There is thus, an urgent need to settle the issues thaI have .ri~en and In terms of Clause 34.2
    of the Consortium Agreement, OIAis put to notice to amicably settle the below Issues:

    1. Provide Billof ladings for Ihe last 2 shipments (31" March, 2019 & 19" April, 2019) fOMwiln.
    2. Make payment of ~ 19,04,31O.45j. On account of demurrage charges required to be paid by

    • OIAalong with tne olher applicable costs, interest, expenses Incurred by SHU forthwith,
    3, Make payment of tne premium amount of ~ 2,08,484/. In respect 01 marine IMurance to
    SHU along with Ihe olher applicable costs, Interest, expenses incurred by SHELforthwith,
    4, Other contractu.lli.bilitles suffered by SHU on account of warranty, safely, merchantability
    of equipment due to prolonged storage, LOetc.

    In case OIAdoes not settle as above, SHELwill be forced to exercise further contractual remedies as
    per Clause 34,2 of the Consortium Agreement, This notke is without prejudice to 8HEL'~other rights,
    which BHH Is entilled to under the Consortium Agreement and Contract Agreement andlor under
    any applicable law,

    15 K.Grover)
    General Manager

    •
    International Operations

    Enclosure: Annexure.A

    CC:

    Mr. NLChalUrvedi.
    Vice President. Ri~k& Compliance

    Mr: Amaiendu GhOSh,


    Director

    Mr, Vinay Kum.r.


    Director

    Amb•••• dor Rinzi"llWangdi,


    Director

    ,
    Ritu Raj Arya

    From: Srinivas Gonuguntla <srinival.gonuguntla@oialliance.com,


    Sent: 13 June 2018 15:31
    To; 'Ritu Raj Arya'; 'Sudhan Maynak'; 'Shrikant Karekar'; 'zakir Shaik'
    Ce: 'IO/Grove' SK'; 'Abhi~hek'
    Subject: RE:Comoros Projed:: Shipment of Diesel Engines, Alternators & AVRs

    Dear Sir

    We hereby accept the demurrage on account of the points detailed below. Please pay to facilitate shipping of the D
    G Sets (Diesel Engines, Alternators and AVRs)

    Thanks & Best Regards

    G 5rinivas

    ,!rom: Ritu Raj Atya [mailto:rituraj@bhel.inl


    .nt: 13 June 2018 14:42
    To: 'Sudhan Maynak'; 'Shrikant Karekar'; srinivas.gonuguntJa@oiall~nce.com; laldr Shaik
    Cc: 'lO/Grover SK'; 'Abhishek'
    Subject: RE: COmoros Project:: Shipment of Diesel Engines, Alternators & AVRs
    Importance: High

    Dear Sir,

    As agreed, demurrage with regard to DG Sets lying at Mumbai port due to delay in
    arranging vessel by OIAis to be paid by OIA.Approximate amount has already been shared
    vide trailing email dated 31'1 May, 2018. As understood that demurrage is to be paid by
    shipper and third party payments are not taken by port authorities, in this regard OIAmay
    please provide debit acceptance to BHELso that the amount can be paid to port
    authorities. Further, OIAto immediately issue a cheque of demurrage amount in favour of
    IEl to settle the accounts.

    Please send the acceptance of above immediately.

    Regards,

    Ritu Raj Arya


    Sr. Manager (10)

    From: Sudhan Maynak /mailtcnudhan.maynak@oialliance,comJ


    $ent: 31 May 2018 17:51
    To: 'Abhishek' <abhi.gupta@bhel,in>
    Cc: 'IO/Grover SK' <skgrover@bhel,in:'; srinivas.gonugunlla@QiaWance,com;'ShrikantKarekar'
    <.shrikant-ltarekar@oiailiance,com>; 'Ritu Raj Arya' <riturai@bhel.in>
    Subject: RE: Comoro~ Project:: Shipment of Diesel Engines, Alternators & AVRs
    Ref. : 136/82/COR/OIA/2019-20

    Dale: 23 July 2019

    To, ••••••••••••••••••• flI\ICll,Rl "I.l.WO:l


    building infrastructure
    Mr. S. K Grover, _worldwide_
    General Manager - International Oper ••tions
    Bharat Heavy Ele<:tricals Limited,
    New Delhi-I 10003,
    India

    Reference: I. Consortium Agreement dated 16 April 2014, and


    2. Your Notice for Amicable Settlement d••ted 12 July 2019

    Subject: Delivery of Shipments in 210t$

    Dear Sir,

    • We acknowledge the receipt of your Notice for Amicable Settlement dated 12 July 2019, in
    connection ""ith the shipments in 2 loIS. In response to the aforesaid Notice, we shall like to
    respond as under:

    I. After your handing over of the shipments to our nominated freight forwarder in 2 lots on
    dated 31 March 2019 and 19 April 2019 respectively, we were compelled to suspend, by
    our letter no. 190/20/NOTICE/OIA/2019-20 dated 15 April 2019, the Contract under
    GCe Sub-ciause 16.1 of the Contract for non-payment of our IM.oice nos. 91002065,
    400330 ••nd 400331 dated 21 January 2019, 6 February 2019 and II February 2019
    respectively. Copy of the Notice of Suspension dated 15 April 2019 is enclosed herewith.

    2. The ••roresaid suspcnsion continues even today as the ground of suspension stands
    • unmitigated. It is for this reason, no further Contrllet e}tecution, including the delivery of
    the shipments, can be performed by us,

    3. Moreo"",r, a dispute has arisen between us and the said freight fonvllTdcr with respect to
    the amounts due to it and for it \vrongfully ••.ithholding deliveries of various shipments
    including yours, because of which we are put to huge fmuncia1 los""s as our other
    shipments ate unlikely to be accepted by the respective Employers. It is for the dispute.
    the freight forwarder is wrongfully withholding delivery of various shipments including
    yours.

    4.
    -- _.-

    '"'~ ••• Ollico


    1M 50<"~
    _
    -.; I~
    Ild'O _ 110 \101 Ir<>J.
    Ill"''''' GnlI1I.l~
    ••• +91.'1.'.100 1111 f •• gl.11~3>l 6:l:'1

    www.llial1iance_com I oia@olalllane8.com erN.:Ufi59ZOM1M989PTC052900


    \Mll$EAS IlIAU$lIll>:;l\/lll AUlAlICl

    building infrastructure
    _worldwide_
    IS a Central Public Sector Undertaking, we may authorize you to have your shipments
    delivered at site and coll~t the re!C'o'antBLs from the freight forwarder by directly making
    payment of freight forwarding charges perlaining to your shipments. We, on our part,
    shall be happy to authorize even Exim Bank to reimburse such payment to you by
    deducting the amount from our invoice that v.illbe submitted by us towards the shipment
    charges 10be claimed under the Contract with the Employer.

    Looking forward to your due cooper<ltionin resolving the stalemate,

    • Yours faithfully,

    For Overseas Infrastructure Alliance j1ndial Pvt. Ltd.

    Enol: As above

    Copy: I. Ministry of Energy, Government of Union of Comoros, Moroni, Comoros

    2. Atlas Shipping Sen.'ices ?vt. Ltd.

    • 3. EXlMBank ofIndia

    OvtRSEAS IIiFRASlRUCTIJRE ~LlANCE (INDIA! PRIVATE L1MIHD


    ~ •• ",., •• DlIi•• -
    '>01.>0(.I)A _,'70 ell"'" _ Rruol
    _I!I""_"OOOW,~
    I••. ~91.n-607~~ fill: .9'.22-28<') m\.--~;>500'

    www.olalliance.comIOia@olalllance.com CIN~U65920MH1989PTC052!100
    The Secret~rv Gener~t

    Ref no, 19.053/MEIEIETAPPG/5G Maroni,01/08/2019

    Mr. P. M~heshw~ri
    OIA House Andheri
    Mumbai India

    Contractual Agreement No, 003/MPEEIA/2014 dilted 18-09.2014 with amendment no,l dated 17-03-
    2015 between Government of Comoros and O,I,A (Oversea, Infrastructure Alli~n(e Pv! ltd. Mumbai

    • India) related to energy, b~sed on engineering procurement and construction management


    turnkey) for ~ 18 MW power plant based on he~vy fuel oil

    9_bjeg - withdrawal of suspension


    (EPCM /

    Sir,

    By the Contractu.1 Agreement, the Comori.n Government and your company n~med OIA have agreed
    on the construction of ~ heilvy-fuel oil power stiltion, which is scheduled for completion by end of
    September 2019,

    This h~, surprised u, gre~t1y that suddenly work hil' stopped without any notice .nd work preview.
    However, The Company OIA during the contr~ct term, committed to complete the work in september
    2019

    Since this ;s a very important plant lor u, we ;n,i,t that work ,hould restart ils soon as pos,ible,

    •
    It should be noted that the Minister of the Economy, the Energy is ready to do everything to honor the
    contractual commitments of the Comoros. but wishes to see the immediate restart of the ,ite,

    We dare to hope that the OIA will take into the account the importance accorded to thi, plant by the
    Comorian ,ide.

    Plea,e accept Mr, Director General, expre5Sion of my highest consideration accomp. nied with my
    thanks to you for issuing an order to resumption 01 work.

    SAIDAHMEDS;itd Toihir

    Copies;

    BHfl
    Consul General of India at the Union olthe Comoro
    MITCOM
    EXIMBank
    ,

    """,••.•••••.•••_"""" "",roc,
    Ref No: 200 /20 J COR lOlA! 2019.20 building infrastructure
    Date: 07.08.2019 _worldwide_

    To,
    Mr. Said Ahmed Said loihl,
    Secretary General,
    Moroni, Comoros.

    Reference : Contract No. 003/MpEErAj2014 dated 18.09.2Dl4 along with Amendment M.


    1 dated 17.03201$ for Setting up 18 MW Heavy fuel Oil Based Load Grid
    Connected Engine Based Power Generation Project with Associated Tank
    Farm & Electrical Evacuation System at Moroni, Union of Comoros

    .e Ref No: Your teller 19_0S3/MEIEIHAPPG/SG Maroni,01/08/2019


    Our leUer No 200 /20 I CORlOlA /2019.20 dated 29.06.2019

    Dear Sir,

    With reference to your letter no MEIEIETAPPGjSGdated 01/08/2019 we thank you for Ihe
    intervention in this matter we are pleased to resume our execution work at site with the
    hope that realisation of running bill payments will be released from Exlm Bank.

    However, we hereby bring to your notice that we were forced to suspend work as even
    after several correspondem;es our payments were held by blm bank which resulted into
    short of cas.h flow As y<lUwill understand that without p~yments progress at site will be
    difficult.

    Her:ce, we hereby once asain request you a:iv:te E~im Bank to release our payment

    e promptly. Your delay cf pJyment will imp;;ct the project completion,

    • Wilh Regards,

    For Shrikant Karekar

    OVERSEAS INFRASTRUCTURE ALLIANCE iINDlA) PRIVATE lIMITEO


    c""",. ~,"- Rqi",," om",
    1101, ""1'1 ,ita'!luIf<Iq
    N",OoI<t- 110001 ~a.a
    19, '''1<1'''' G,O<l~~I'"l ~J-5.02. CIA~", 470 C,',,"," Gr"""" """
    """"'" If!. M_~ - 400099 11l1.. '
    To! .11-11-.1)001111 '1>' ,91-".4l~1 1321 I~.: ,91-21-0675 'j(}(I()r",
    +91.21-2815 2l811~67\ 5001

    WWW.lllalllance.comlola@lllalIIance.Cllm
    tiN.: U65920MH19B9PTt05zg00
    - - -
    UNION DES COMORES .~1_~1~
    Unit~ • SoI;o.o'rtO• D+wlopp<'m.nt
    ~ _<J.o~- '-">..J

    :l-lINISH:RE DE L'ECONOMIE. DES


    .,..w.;...."J1J
    .J~l •..;Ij.J
    INVESTISSEMENTS i:T DE L'ENERGIE
    CHARGE DE L'INTEGRATlO:"o' ,.l.:.4-JIJ
    .,t.\5,jj( lI~I.~lJ
    ECOSOMIQUE, Dl' TOURTSME ET DE ,J.,»roJIJ
    L'ARTlSAJliAT, PORTE ~PAROLE DU
    GOUVJ:RNJ:MENT

    Secretariat General

    uSN:,itain Gb,~.al.

    N"19-l,?~IMEIEIET API'GISG

    Mr P. Maheshwarl,

    • Subjeel:
    OIA House Andheri,
    ~umbai. India.

    Contractual Agreement no. 003/MPEEJAI2014 dated 18 - 09-2014 with the amendment of 17


    -03- 2015 between the Comoros Government and QIA (Overseas Infrastructure Alliance
    Pv1.Ltd, ~umbai. India) Engineering, Procurement and 'Construction Management (EPCM
    ffurnkcy) of an 18 MW Power planl based nn heavy fuel.

    Object: Rcnewal on ,,!ithdrawal of suspension.

    Dear Mr r Maheshwarl
    By mail from 01-08-2019, wc have expressed our womlennentto see a sudden stop without
    notice of the work for the construction of the hea~:y fucl plant whose completion is scheduled
    for September 2019.
    Givcn the impoltance we attach to this plant, we reiterate our desire to see the work resume

    • urgently in order to avoid the Wlfortunate COl1sequen~s that the Comorian Government is
    likely to incur with consequent delay in the implcmentation of the project.

    It should be recalled that the Minister of the Economy and Energy is willing to do evcf)1hing
    to honur thc contractual of the Comoros, but wishes to sce the immediate restart ufthe SiIC.

    We dare to hupe that the OIA will take into account the importance accordcd to this plant by
    thc Comorian side.

    Un"'" <1<,Como, ••. M"isle!. "" rE~, "'" _MMleMS" "" rEne<gio.
    CNfgO
    <lo!'\nttoglOlion~.du r_,
    $I rArti.,.,at. B.P,!l! Mo',,";. rei, In 52 0'5, [moil; mlne(ot!Om •• 2019@.moil.com
    <:M"1mU ~"'LWa
    Ref No: 227120ICORlOIA/201g.20 building infrastructure
    _wotldwide_
    Date: 23.09.2019

    To,
    Mr. Said Ahmed Said Toihir
    SeCf1!taryGene.al,
    Moroni. Comoros,

    Refetl'nce : Contract No. 003/MPEE1A/20l-t dated 18,09.2014 along with Amendment no,
    1 dated 17.03.201S for Selting up 18 MW He"Vi' Fuel all 8ased Load Grid
    Connected Enginl! llasl!d Power Generation Project wilh Associated Tank Farm

    .- & Electrical Evacuation System at Moroni, Union of Comoros

    Ref No' Your letter 19_0S3/MEIEIHAPPG/SG Moroni,01/08/2019


    Your lencr 19.107/MEIE1HAPPG/SG Moroni, 17/0912019
    Our letter No 200 /20 / COR1 alA /2019-20 dated 29.06.20 19

    Dear Sir,

    With reference to your lener no lQ-107/MEIEIETAPPG/SG dated 17/tfl/2019, we have


    noted your concern and very much keen to start the work al site with immediate effect. But
    as you are aware Exim Bank has stopped our paymelll, we have not received any payment
    after December 2018. Wc undcrstand that you are also pursuading Exim Bank for resolving
    the issues and disburse the withhold payments so that the work will commence.

    We are trying to restart the project by pursuing Exim Bank. We have requested Exim Bank 10
    conduct all stake holders meet along with Mitron as early as possible.

    • With Regards,

    For, Shrikant Karekar

    OVERSEAS INFRASTRUCTURl: ALliANCE IINIIIA) PRIVATE L1MITEO


    Cofpo"" 0111<0. ~'I~I•••
    j 0Il1<o'
    1205, So<i" 1(0" _~ 19, K""",, G>nd~ I.Iir<j i .• ~'>. ~10 Cao""" GrOt:•••• fla><j
    11<••• (IoI'j . l'0 001, "". "'_',E" MIIOTl»I
    . '1lO1m 'nr)•.
    Ie +91.1143001111 r", +i'.II.~)\16S1' T~., +11.11.&67S!«J() F;".. ; 9Hl,l!~
    ml! 603711001
    •

    CliR@
    ,
    Ref No: 228/20/CORjOIAj2019-21

    Date: 04.10.2019

    To,
    ""'.,'''' ••••
    ",,,,,,,,,
    ..•,",,~tQ
    building infrastructure
    _worldwide_
    Mr. HOUMEDl MSAlDIYE

    Power Minister,

    Moroni, Comoros

    Refer<mce : 1) Contract No. 003/MPEEIAj2014 dated 18.09.2014 along


    with Amendment no. 1 dated 17.03.2015 for Setting up 18 MW
    Heavy Fuel Oil Based Load Grid Conn<:cted Engine Based Power
    Generation Project With A,,»ociated Tank Farm & Electrical
    Evacuation System At Moroni, Union of Comoros

    •• Subject

    His Excellency,
    : Status of 18 MW HFO Based Power Project

    GREETINGS FROM OVERSEAS INFRASTRUCTURE ALLIANCEI

    BACKGROUND

    We would like to brief about 18 MV/HF'Obased Power project undergoing at


    Comoros by QIA and BHEL.

    The original site given by GOe was :<t Dombowani and the pre bid site visit
    was done at this site. After aw;'tr<iing the project we had conducted the

    •
    Geological and Topographical survey. Oil this sur..•.
    ey basis we had compkted
    detailed Plot plan and detailed design and engineering. Major civil work was
    designed and quoted according to this site, Due to some villagers issues, the
    site was shifted to Vadjou adjacent to existing power plant. In this process we
    have lost three years,

    After allotting the new site we have ':'.-Jt recdved the clear site till further six
    months as it was covered with dcr.se forest. S:>finally we ourselves have
    started cleaning and clearing the sl~e, Agnin we h,w"" condu;;~~:Su ey
    ;{UI;",,,"i; . """"!:
    work and in the month of April 2017 we received the soil sw~'t1i~.-irt. ..t~.
    I"" ~";', "-,'1",,'.
    ''''.l;o.; ',', ," -''''
    ,,"'-~
    ,rr:,
    DV£RSEAS INFRASTRUCl1JRE ALLIANCe (INOIAl PRIVATe LIMITED
    flel~l ••ol OIl""
    ~, ,~l, (1.1 ••••••, 'I~C_ iJI><Q;'!boIl,
    '{11!~
    ,..
    "5,,' -.\,
    "',
    "/.
    I.
    ,:;ti~
    - .v
    "-'-",'~
    '" '<j.,':::~
    ",,,,, .•"
    II
    ,.,.""" If,"',""W, - O(-{ll"l'l, ~:l>.
    te- .J1-J?".ISSOO-l F.••• ,111 I 1" "'}1
    '" .-;:;"..
    . /

    " ,.
    OIR
    ""'••••• ,""""",","0< ••.•.••""f
    building infrastructure
    _worldwide_
    which it was mentioned that the soil bearing capacity was very poor and not
    to withhold the Heavy engine loads. por which we had gone ahead with the
    guidance of MITCON,BHE:Lsoil expcrtfl and external Geological soil experts
    for alternate method of civil foundations, which was then to be approved by
    Exim Bank as it attracted additional cost. Ultimately the project was started
    on 20thAprll 2018. All civil machinery and skilltd manpower were mobilized
    from India and with the help of local :<emiskilledand unskilled manpower we

    ,,- have commenced the work from May 2018, The work was going on smoothly
    under the supervision of Local Project coordinator and Mitcon Civil engineer.
    We faced civil raw material problem and limitations from time to time but with
    the help of GOC officials we overcame them.

    CURRENT STATUS:-

    As you are aware, to run the project smootl-tly, not only we require manpower,
    machine!)', raw material but also smooth cash flow, Cash flow was
    interrupted from Dec 2018. Despite which we havc continued the work up to
    March 2019. From Feb, 2019 we are following up with Exim bank for the
    pending payments. We have also explained them that this is not the final
    payment and if there are certain commercial issues those can be sorted out

    •
    •
    simultaneously. Arter approval of GOe and their PMC MITCON, the payment
    was hold up since Feb, 2019. Only then we have given work suspension
    notice. We humbly request Officials of the GOC to intervene the SItuation and
    speak with Indian Government officials to release the blocked payment and
    not to withhold the running bills so that the work should not suffer.
    ~,rq
    """"w.s •••••••ll'tIJCT\M IoUW'GE
    building infrastructure
    _worldwide_

    BANK GUARANTEE ISSUES:-

    Advance Bank Guarantee:-

    Regarding the submission of I'.dvan-::eBank guarantees we would like to


    mention that our major work will complete within six to eight months once
    the work starts and till that time you can withhold our retention money as a
    security. To clarify in details our 62378\.53 USD retention is with you and
    balance billing is 842518\.37 USD whose retention is 842518 USD so the
    lotal retention is 1466299,66 USD which you keep 11 as a security in place of
    ABG. And on completion of project the entire retention amount should be
    release.

    Performance Bank Guarantee:-

    As mentioned earlier our major work is civil foundations and erection of all
    Equipment supplied by BHEL. Hence performance guarantee for the work to
    be executed by us is not needed.

    WAY FORWARD:-

    .e • Already most of the civil muteri:J.!is shipped from India except Cement
    as it is having self-life which \';e send as and when require. Regarding
    local civil material, please see that the r<lwmaterial will be available
    smoothly at most reasonable cost, We will procure the same us and
    when require at site progressively_
    • Please see that the materi~l redchectat Comoros port should be cleared
    fast from Customs as thi!, is tax exempted project.
    • Regarding Performance f.la:l:~Guamnlee we must am~nd the Contntct
    to wave of the PSG duuse for OIAP0rllOllas I'"eare associated only for
    civil eOl1stnlC1ionand erection work for which performance Bank
    Guarantee is not require.
    ..
    ~I(q
    ~J<S "'lWtRl.iCMf
    .........,.
    building infrastructure
    _worldwide_

    Once again we request your good self to follow up with Exim Bank of India for
    our pending payments so that the work will commence soon. We are very
    thankful for the support extended by your officials and hoping the same in

    future.

    With Warm Regards,

    For, Shrikant Karekar.

    Project Munager.

    ••
    =-"
    jj \>",.1I.;AJ\ ~~
    UNION DES COMORES :..,..z • ~ • l.llo J
    .._._----
    MINISTERE DE L'ECONCMIE, DES INVESTISSEMENTS
    ET DE L"ENERGIE, CHARGE DE L'INTEGRATION
    ECONOMIQUE, au TOURISME ET DE L'ATlSANAT, .I.J.,rIIJ
    .~I .,).1', ,41~jlIJ ,lJU,!1'J')'
    ..,.;',.,...Ji ~IJ ~'J
    .._ ....~..-...•.•_ ..-
    ,~I
    Direcllon Gimera\e de l'Energla, des Mines
    et de l'Eal!
    ...- .
    LE COORDINATEUR DE PROJET

    )\°20\9/25 ICo-ProllFO,' lXlE!\IE


    Moron; Ie 02 III 12019

    To,

    • Indian (hersca~ Bank


    14.\5, Farm Shawnn
    :-lehru PI",,~
    l\ew Delhi.lIOO! 9
    INOL".

    Rer ••.••nce: Contract Ab'TeC~n<l\lmI. 003tMPEElAI20 14 dated 18.09.20 \4 & Amendment :\0. I dalcd
    17.03.201~EX1M Bank Approval No, GOILOC-152[l] dated 05.06.2015

    Subjert Re<;Juestfor Extension of Advance Payment Gu.ar:lIll<lC


    No, SU70\ 17000041 daled 20.11.2017

    DearSin;,

    II ;. to be recalled thaI on behalf of Overseas Infrastructure Alliance (India) P'1, Ltd., )'Qur bank has
    issued the above mentioned guarantee in favour of uS for amount ofUSD 614,958.92 (US Dollars Six
    Hundred and Fourtcen Thousand Nine Hundred and Fifty Eight point Ninety Two only) after
    ",duction which is expiring on 07.11.2019 .

    • :-low we her by instruct you to extends the validity of the guarantee for extra three months beforo expiry
    of the said guarantoc

    . YoorsSinccrcly
    UNION DES COMORES i~,_~I-~
    ~_~_i.b-J

    MIMSTRY OF f:CONOM1CS, ';":'-'lIJ ,~'j\ i}1J


    1i'\\'ESTMF.NTS, •~IJ ,.,LolS::l;
    ~'jI,ljU,.)IJ
    A:"D ENERGY CIlAnGE OF
    ...i....,JIJ
    l!'iT~:GRi\.T10NF.CONO~ICS,
    TOUIUSM ANI) CRAFT, SPOKEST£R OF
    THE GOVERNMENT

    I,e Mitlillre
    1" Moroni STIINov~mber 2019
    N'jQ- Q cc~lMElf;IHA1'I'G/CAB
    Mr. T.S TlRUMURTI
    Secretary (Economic relations)

    • Subjed: slatus of IX MW HFO Base Power ProjtCI


    R.ference'
    Ministry of foreign Affairs
    New Delhi _]udin
    •
    I} HOLlorVice President of India in Moroni belween 10'" to 12" October 201~
    2) C,\nlmC! N'OO3/MPEElAi2014 d"led lXlJ').20\~.l\m.ndJllcm ",. 1 d~\c 17All120\5
    for sell;Ill? up IX MW tk~,'Y Fw:l Oil IlJ>cd load <;,i<J Conncct~.J EnSi"" R!<;c'll
    1'0"' .••• (;,'ncral;O" project Wilh ,\sw<:;aled T~nt Fann & Electrical E '-ac"",i,>n $\'.IC",
    At Moroni. Union des Como"'"

    DCM Sir.
    On behalf the Government of Comoros I would like to thank you ~o\lr eonli&UOussupport,
    \V~ highly appreeinte your willingness. to suppcrt Comoros in the path of self.",liant in ""Crg~

    '"<lOr.
    We ',,-,uid Ilk~ 10 dmw )'ow' "!\1:]11i<:m in !he n.:t,,,dc'il 18 MW HFO based Power ProjcCl

    •
    \Il1Mr~{ling~!Moroni by lIldin ,:on\J,"l1iesalA nnd BllEL, through y(}urfinancial assi~.nc,'

    • C"".!nti;tion is on hold at site since Moo:h 2019 while major ~ivil work. "uppl)' of all ke-y
    ",'il "nd eiO'C.ui""l~'luipmcn!'. h,we been eUnll'leted, ~xpec!ations were that the phlJlIcould
    I", ,-"""pieted hy the end of year :019 but du~ to e,"aill rca""''' oU! hope. fad~'I!_

    Due to dday in ~~"llt"i.siLln of thi, Ig M~' HFO ha""d Po" .•r PI""t we un: forced to del"")1,\
    on til.r",,,1 general;"" ,urplicd ••••.
    i\lt COSilyillll"'uw! diesel "I,ieh has ",suIte<! io !h<I,,-'Clor
    t.;;<lg plac"d un<kr huge r,,,anci.l strain. w~ik the Comori,m Slnl"" pn<.:ke!sare ban:ly dccp
    ~"m.~h \I>.ubsidi:<e the shurlf"lI.

    We '"Guest your i'llmcdiu,e sUPpo,1to gCIthi,18 MW HFO l:o;",edPower p\ant functi"nal so


    tho' Die,el plants in urande Comore can be ",tired, Thi. ",ill i~"n~nsely help ouf dilapidated
    ekclricity in ",vim!.
    We would liKeto bring 10 YOUIootio: that around 70% oftbe project value already inve.ted in
    the project so far, bul al lite forefmlll ~ as a country have nol gained anything yet. Hence it
    i5I1ec••• ary lhallhe proje<;tshould be comple1~d as fast po~ible,

    We have been informed lhal poyment flow. wen: intetTUpledby EXIM BanK sill"" December
    2018. We re<:ommond immediate release of usn 368507.31 to OIA for which pa~ment
    authorizations have been provided to EXIM Bank from Our .ide. This will enable to resume
    tile work at site immediately. Cenain commereial issues like Bank Guarantees can be sorted
    alii simultaneously by the Government ofCo,"oros with the conl'"ctors.

    We "'"" v"ry 'h""ki,,1 to your coopermion and rely On you to achieve Our cl\tl'llY ~oal. by
    compJetinlllhe planl '" ye", 2020,
    ,
    Plea", iCttpI OUIhighesl con.ideration.

    • , "
    '., 'I'
    •
    'saViO MED EL AMINE
    .'VIini,; ;;;0( F~':"ig"x\ tTairs, Internal ienal
    Cooperntioo. Charge Irn:.,th<:> Diasp"ra

    • •
    I
    Ref No: 239/20ICORIOlA/2019-20

    Dale: 09,01.2020 OiR


    """"""S "'."''''''''''''l AllWlCl
    building infraslructure
    _worldwide_
    T,.
    Me. Houmed M'saidie
    PawN Minister,
    Ministry of Production, 01 the Environment,
    Energy,lndustry and Crafts,
    Union of Comoros,
    IlP 1332,Moroni, Comoros.

    Reference: I. Contract Agreement No. 003/)'IPEEIA12014 dated 18


    September 2014 together with !\mendment No, 1 dated 17
    Mnr<:h 2015 and Addendum No, 01, No. 17-410{VP_
    MEEIATlSPAFjSG daled 21 OCI"ber 20 17

    • 2. Contractor's notice vide letter no. 190{20jNOTlCE


    {0IA{2019-20 dated IS April 2019 for suspension of work
    under GCe Sub-clause 16.1 of the Contract:

    HisExcellency,

    Greetings of New Yearl

    As you are aware thai, we have suspended Ihe above referred Contract with a letter dated
    15 April 2019, due to non-payment of our running bills. Since then we are following up with
    the Miniury of External Affairs of India, Export Import Bank of India and Power Ministry of
    Government of Comoros for releasing our due payments to enable us to restart the work at
    the earliest. We also know that from your end, Government of Comoros is also persuading
    MEAto release our paymenl~.

    • We were having lol~ of hopes when your good ~elf and HE. Mr, Ganju met officials of Exim
    Bank of India and MEA on your recenl viSitto India during 30'" Ocl,2019 But till date no
    payment released from Exim Bank of India,

    Meanwhile, the materials (BHEt & OIA}shipped from India during March 2019 have reached
    Moroni, but due to non-payment to the shipper they are not relea~ing the material and it is
    attracting detention and demurrage since May 2019. This position was timely informed to all
    concerned officials. BHELhave filed a suit in Honourable high court Delhi against OIA,Atlas
    corporation and Exim bank for above shipped material. We are facing 101 of problem in this
    matter at every level for no fault at our end. Youwillappreciate that this serious problem has
    generated on account of non-payment by EximBank, dishonouring the contractual payment
    terms.
    OVERSEAS INFRASTRUCTURE ALLIANCE liNDIA) PRIVATE llMITtO
    toroo< ••• 0_ R••• 't< ••• 0"'"
    1M. s...,. ~••• ~
    _ 0.0.. 1'0001 •.••,
    I~ "~"," 'J,,~
    (;.o'ICto K ~ SQIl'•• ,1'0 c.,_G<"""", 110",
    Anif." ,n ".,,_ '00 099. '"""
    1<1 .'1 I' BOO11'1 '." .".-I,J)\' 5.1." 1,1",I.'~.,'.';s,w <",- , •• '",.N!,1"'" "',S'~"
    I ------------------------

    I, I
    CJiR@
    ""' ••••••••••• "OUC:JIJl( "lWOC[
    building infrastructure
    _worldwide_

    htellency, You have put your best efforts 10 get our paym!'nt problem resolved from him
    Bank and MEA but still no result and the uncertainly continues on following critical issues:

    • When our pending payments will be cleared (Which are pending since feb, 2019)
    • ASsurance of our future running bills payments.

    You wm appreciate that without getting any confirmation on above iSSues, it is extremely

    •
    difficult for us to reMart Ihe work •

    According 10 Ihe terms of contract 21 days after the Suspension notice, the contract can be
    terminated but considering our good relations and realising that there is no mistake on the
    part of Government of Comoros, we have not opted for the same. It may be noted that due
    to thi~ huge time loss we are afraid that the warranty of the major equipment might be
    expired and thi~ is aiarming situation.

    Keeping all the above fa(t~ in view, we humbly request Government of Comoro~ to take a
    firm step to relolve this issue so a~ to get the work restarted soon.

    We are attaching few recent photographs of site whi(h ~hows the detorlation of site due to
    prolong delay of work.

    •
    With Regards, _,_

    For,Shrikant Karekar.

    Project Manager.

    'CC: MEA, him Bank, Mr, Ganju.

    • Attached Recent photographs.


    '1

    I Ref. : 242120/EXIMIOIN2019_20
    Date : lS"Jan, 2020
    ~,rq@
    C1V"Jt
    •••••• ........,_ -'lli\IlO.
    building infrastructure
    To, •
    _worldwlde_
    •
    Ms, Shilpi Goyal,
    Manager, Unes of Credit Group,
    Export Import Bank of India,
    7" Floor, Office Bloc/( 1,
    East Kidwai Nagar, New Diehl -110023.

    Reference:
    1. Contract Agreement No. 003JMPEEIA/2014 dated 18

    •
    September 2014 logeliler with Amendment No.1 dated 17
    March 2015 and Addendum No, 01, No, 17410NP_
    MEEIATISPAFISG dated 21 October 2017
    2, Contractor's nolicevide Jetter no. 1901201NOTICE/OIAl2019-20
    dated 15 April 2019 for suspenskm of work under GCCSub-
    clause 16,1 althe Contract;
    J. Lelterlo Exim bank (196120/EXIM/OIA/2019_20 dated
    24111 May, 2019.
    4. Letter to Hen, Power Minister (239!20ICORlOIN2019_20)
    daled 09.01.2020 with a copy to Exim Bank.

    Dear Madam,

    We would like to bring to your kind nolice thaI ourfollowirtg bills are pending (ArnounUng

    • 103,68,507 USD) with EXIM Bank since Feb 2019 ,which are duly approved by Mis
    Milcon, their consultant and certified by Gal'! of Comoros. During the han. Court
    mandated meeting held on 2"<1Jan, 2020 allevel of MEA Delhi, il was specifically
    revealed by lhe officials of Exim Bank that they have laken a decision to stop all
    payments 10 CIA underlhe project and accordingly il was also stated that no paymenl
    has been made by lhem to alA since Feb, 2019 OIlW3rd.
    •
    On accounl of withholding of payment by Exim Bank, inllOices of servk:es provided by
    local vendo~ as well as male rial suppliers are pending, Somehow, we manage 10
    explain the situation 10 these vendors for past OIle year but now it is very difficult 10
    explain the reason for nOll-payment.

    OV[RSEAS INFRASTRUCTURE ALLIANCE (INOlA) PRIVATE LIMITED


    ~ •• ~" •• (/ffico,
    5111. CIA Hooso, 470 C•• _ Gt>oi<MJ. Rood, Coo"""0_: "
    ~(f):~:-lOO_O!l9,
    _ 1m, Swy.~ •• ~ Ill,,," •••• _ ''''OJ
    Now ~. 11~ 001•••••••
    As a consequence of non-paymenl by Exim Bank, Certain bills as mentioned in
    following statement are pending with Govt of Comoros (Amounting 10 3,02,800 USD)

    OOCUMEIIITSSUBMITTED &. PAYMENTPENillNG


    PAYMENT PENDING wrrH EXIM •
    ~~:~~;EI::,:~:~~65
    . ~-- I're.enteble Va"'. (60'%)
    32702.31

    seRVIcE lNV.400331
    PAYMEHT PENDING wrrH
    -t---...
    --.-.
    MITCON
    93420.00
    24Z38S.OO 368507.31

    SUPPlY £w'- 91002071 T--- . 12918.93


    S~P!,=Y_~F\ETENTION
    IW.OO9_ • _
    1603.54 20522,47
    PAYMENT PENDING WITH GOV. COMOROS
    SUPPLY
    -- lW, 91002101 r-
    L. _
    68957.67
    SUPPLY INV. 91002107 (FRT& INS)

    • - ----- '-----------

    SUPPLY INV"'-91oo2109" T .
    ---------
    SUPPLY INV. 91002108 (FRT&INS)
    133655,62
    77929.28
    1736.:).0
    671308.65
    2UU8.8652
    671308.6452

    The above issue has resulted into non-payment to Mis Alias LogisUcs for the material of
    BHEL. BHEL has filed a case in hon, high court against CIA, Atlas Logistics and EXIM
    Bank. We are facing all these problems as a consequence of non- payment by Exim
    Bank,
    Government of Comoros is also pursuing us for restart of work, It is now beyond our
    control to manage the situation and answer to govemment of Comoros and all Comorian
    vendOfS.

    We humbly request EXIM Bank 10 release our wilh-held payment so that we will honour
    the vendor's payment and restart the work.,

    • Thanks and Regards,


    'lmWt f.r>mr - ammr-£iq;
    ~~,?m1.7dI~,~W1iB.
    ~"fIR ('I'il, ~ ~ - 110023
    EXPORT-IMPORT BANK OF INDIA """I T<t , (011) 619. 90CHl/I<6111100
    Oflce ilIad, Tow<t 1, 111>flool', Adjllcent to Ring ~ood, ~a. ,(011)9081~2\l
    Kid'w.i tlogM (£"11 N"" D<lhi. 110 0'l3 '/-itM .•.•.•••
    , o:imloclk,"""""io,h.",
    ~ •• www .••• mbo ••••••••••. iO
    wwwtx'mmitro,.

    Ref: GOILOC-OIA19/2544 Dated: January 16, 2020

    Mr. Advait Chilturvedi


    Managing Director
    501-502, OIA House
    470 Cardinal Gracias Road
    Andheri East
    I

    •
    Mumbai - 400 099

    Dear Mr. Advait I


    Sub: GOI-Supported Exim Bank's Line of Credit [LOC] to the Governments of Ethiopia,
    Comoros, Tanzania and Republic: of Congo - Release of pending payments to Overseas
    Infrastructure Alliance (India) Pvt. Ud. [OIA] In respect of projects being executed by
    alA in these countries.
    ------ -------------------------
    May we refer to DIA's letter dated December 09, 2019, on the subject and
    various other correspondences earlier in this regard, more particularly the
    correspondence referred to in your said letter dated January 06, 2020. as <llso the
    meeting held in Mumbai on December 16. 2020. between our Managing Director, Mr,
    David Rasquinha, and Mr. Advait Chaturvedi, Managing Director and Mr. Suresh
    Chaturvedi, Group Promoter, OIA.

    • 2. On the matter of releasing pending payments for the Tendaho Sugar Factory
    lTSfJ- Phase I in Ethiopia, as specifically reguested in your said letter dated lanuary
    6, 2020, we draw your attention to the Follow-up Review meeting held on May 29,
    2019 at the office of Ministry of Extemal Affairs, where the OIA representative had
    confirmed that out of the total mobilisation advance of USD 53.61 million disbursed
    to OIA, an amount of USD 20.88 million IU5D 11.50 million with OIA and USD 9,30
    million with sub-contractors, as verified by the project management consultant) was
    lying unutilised with OIA and sub-contractors under the TSF _ Phase II.

    3. You are also aware of the decision that the TSF - Phase II. as originally
    envisaged and conceptualized, is not a viable proposition and should not be
    proceeded with. Should the Ethiopia Sugar Corporation (ESC) choose to re-purpose
    the unutilized LOC earlier intended for TSF - Phase II, the utilization shall be in
    accordance with the revised IDEAS guidelines,

    _
    ~~
    0I'Ii<t, Ct/'Itf. eo. ~"'9.
    ""'i'lU, ¥i - 400 00, ~'+91-12-1217
    'I'fl, l1lil~,fim'lilII'lTl <R~,
    '<R~ m,
    2600
    e'9\-21-21l32!n
    Floor21. II'OrIdTrod!:CO'>1I,"C<x11r>n, C<il. ~•• Od<.Ml.011boi.400 005 Pi'lorlr; , 91.2\'.21117oo:xl fdX +91-2\'-2I11S
    2512
    Continuation

    1~r
    4. In the light of the above. MOf-DEA is of the view that the excess advance
    payment of usa 20.88 million lying unutilized with OIA is required to be recovered
    and the same has been communicated by Exim Bank to the Government of Ethiopia.

    5, You may further note that the Ministry of External Affairs has advised that as
    the refund of the excess fund of approximately usa 20,BB million held by OIA is

    •
    pending. as also since OIA has failed in implementation of some other projects
    including transmission line in Republic of Congo and Diesel Power Generation Plant
    in Comoros,further disbursements by Exim Bank to OIA may be put on hold.

    6. May we suggest that OIA may disCUSS


    with ESC on adjusting the aforesaid
    excess advance payment towards the pending payments aggregating to usa
    616,510.50 mn.

    7, As regards release of pending payments for the projects being executed by


    OIA In the other countries referred to in the earlier correspondences. our project-
    wise response is as under:

    (A) Project of installation of an 18 MW power project in Moroni, Capital citv of


    Comoros: pending payments aggregating USD368,507.31.

    Pleaserefer to the minutes of the review meeting dated May IS, 2019 wherein JS-
    DPA had instructed that the disbursements to alA will be released by Exim Bank
    • subjed to OIA fulfilling the following conditions:

    I. Submit the renewed copies of two APGs and a PBGfrom a reputed Indian
    Public Sector Bank as per its contract agreement with GO-COM.The same has
    not been complied till date,
    11, Arrangement of backfilling soil and electromechanical personnel by alA to
    resume the work at site. The same has not been complied till date.
    III. OIA to provide execution plan for the remaining work in order to understand
    the utilization of funds for future disbursements The same has not been
    complied till date.
    As the pre-conditions agreed to. as above, have not been complied with by OIA, we
    are unable to release the payments.

    \
    f
    ,.

    Continuation

    (6) Project for augmentation of water sl,Ipplv schemes of Dar ~.L~alaam and
    Cha!inze regions in Tanzania: pending p.ayment of usn 78,S6.8.8!1.

    As per our records, no payment is pending with Exim Bank. You may like to recheck
    with the Project Authority and advise specific bill details that are pending for
    payment.

    {e) Project for design, engineering, supply, instailation, testing and commissioning

    • of the Rural Electrificatron project in the Republic of Congo j pending payment


    of USD 849,202,90,

    Please refer to the minutes of the several meetings held with OIA on February 25,
    2019, September 12, 2019, October 18, 2019, and December 23, 2019, inter-alia
    advising OIA to arrange I provide the fOllowing:

    i, Confirmation letter from Indian Overseas Bank [lOB} confirming deposit of


    USD 0.50 mn as margin money for bank guarantee of USD 2 mn - Not
    complied:
    ii, An undertakingf1etter from 108 regarding utilization of the margin money of
    USD 0.50 mn [deposited by OIA with lOB as a security for issuance of Bank
    Guarantee of USD 2 mn], as decided during meeting held on October 18, 2019
    Not complied;
    iii. A copy of Bank Guarantee of USD 2 mn along with the latest
    amendment/extension - Not complied;
    iv, Proof of the payments made to the sub-contractors out of ad-hoc payment of
    USD 2 mn - Not complied:
    ,.
    •
    Latest update on the storage of the equipment at various locations in the
    Republic of Congo and shortages if any - Not complied;
    Submit the cost estimate for completion of the balance project - Not complied;
    " ,,'
    To arrange
    vii. a letter of confirmation from the Project Authority, for the
    consideration of Exim Bank for making the disbursements directly to the sub-
    contractors. Not complied,

    Further, as you are aware, the Terminal Date 01 Disbursement [TOO) under the Line
    of Credit has expired, and extension of same is under consideration of the GOI.

    Accordingly, in view of the non-compliance, as above, (lnd pending receipt of


    (lpproval from the GOI for extension in TOO, we are unable to release the payments.

    8. Trust the reasons for non-release of payments stands clarified, In the C<lSCS
    of
    Comoros and ROC, where the concerned parties h<lve agreed to rele<lse of payments
    '1Rt
    COntinuatlOD

    subject to compliance with agreed pre-conditions, you are requested to ensure full
    compliance at the earliest to enable us to consider your request for release of the I
    payments.
    t
    With best regards,

    Yours faithfully,

    • \J\""'~
    {Meena Verma)
    General Manager

    •
    Ref. : 243120/EXIM/OIAf2019.20
    Date : 21~ Jan,2020 tN •••••• ",WIJl<XT\IOI(.IUIUiCt
    building inrrastru~lure
    _worldwlde_
    To,
    Ms. Shilpi Goyal,
    Manager, Lines of ered~ Group,
    Export Import Bank of India,
    7" Floor, OffICe Block 1,
    East Kidwai Nagar, New Olehi -110023.

    Reference: 1. Contract Agreement No. 003lMPEEIAf2014 daled 18


    September 2014 together 'Nith Amendment No.1 daled 17

    •
    March 2015 and Addendum No. 01, No, 1741ONp •
    MEEIATfSPAF/SG dated 21 October 2017
    2. Contractor's nolice vidll !Iljtllr nn l!lWOJNnTlr:F /OIAI7019-'20
    daled 15 April 201S for suspension of work under GCe Sub-
    clause 16,1 of the Contract
    3. Our leller for clariIicaUon127/20ICORIOIN'2019-20 dated 03
    May, 2019.
    4, Our leUer for clarificalion192mICORIOlAf2019-20 dated 16
    May, 2019.
    5. ll:!lll:!r \0 Exlm bar,k (24212QJEXIMI()IA/201~-:.N dated
    16'" JAN, 2020.
    6. letter no. GOllOC- alA 19/2544 Dated 16 JAN, 2020.
    01 Exim Bank regarding pending payment to alA in respect of
    projects in Ethfopia, Comoros, Tanzania and RepublicofCongo.

    • Dear Madam,

    This is with reference to lelter (No GOILOC. OIA1912544 Dated 16,01.2020) of Exim
    Bank. In this regard we would like 10clarify that we are not in agreemenl with your
    statement made at point 1'10.5in the above mentioned leIter. Il stales that alA has failed
    in implementation of Comoros Energy generation project. Whereas we have given a
    suspensfon notice in the month of Apr15, 2019 (Ieller no. 190120!NOTfCE IOIA/2019.20)
    for holding back Ihe approved running bill payments. Hence, we are in total
    disagreement 'Nith your slatemen!.
    •

    OVERSEAS INFRASTRUCTURE ALtiANCE (INDIA) PRIVATE LlMITEO


    ~.~.~,t<I
    orr;<e: Corp ••• I. DI!i<t:
    I
    saUlIA ""' ••• 470 t_ Gratioo. 110><1,
    """"""(1'1._.400099, ••••.
    ToI.: +91.%2-6075 ~ Fa>: +91-21.232, loal
    lZO!1,$lKJ.lliU/l
    NewDel'>. 110001._,
    Ttl,: +91.11-4lOO
    BubWj, 19, •• ,_ Gon<h M.•~

    1111 ffl(: +91.11.43,1 6321 I


    <M •• ...., M'RM'ROCIURf AI,tIIJt:;l
    building infrastructure
    _worldwlde_

    In fae(, we have 'Millen several mails for restarting the project and the same has been
    conveyed by Government of Comoros 10 you. We once again request you to honour the
    Pending bins as they are r;otthe final bilfs but the running bills, so !hat we can restart the
    \IIOl'k which has been delayed since a very long duration.

    In response to your point no 7A we have given our jusbfication through our earlier letters
    no. 127/20/CORIOIAl2019.20 dated 03 May, 2019 and our leUer no. 192120/CORIOIN
    2019-20 dated 16 May, 2019. For your reference both JeUersare enclosed with this !eller.

    • We once again request your good self to release the balance payment as reQuested in
    our letter no. 242120IEXIMIUIAllUl!l-ltJ dated 1ija. Jan, :lUW and also assurance for
    future payments so that we restart the work.

    With Regards,

    • C.C. Mr. K.l.Ganju

    OVERSEAS INFRASTRUCTURE AtliANCE (INOlA) PRIVATE LIMITED


    A.O"" ••••0tIi<t: Cot,,,, ••• 0"""
    SilI.OIAHoAt,.roe.-Gr><ioIJ. _, 12Q'l,SIrya Knn ~ Ii. "-',1I>ll> Gardli ~
    _ (1'),"'w~ .400 il99.nt.J ~ 00IIi _ 110 001. IOdiI
    Ttl.:~91.22..ssT55000 Fox:~9Hl-m5 2961 ••• , ~91-11-.43001111 Fox:~9HH351 6321
    UNION DES COMO RES o.bl.tJ1 yJ.l\ ~
    UntIe. SoIicla'i!+
    . Dewt~l ..,..... ~ - •.••.J
    --_ ..
    _
    vrCE.PRESlDENCE
    ..__ ......•
    M1f1ISTERE DE reCONOMIE, OU PLAN, DE L'ENERGIE,
    _
    .._ ... ..-
    ,4.u.....JI.,I ,.uu.JIJ ~ J ,.>....o::i'l'1 •.;1;"
    DE L'INDUSTRIE. DE L'ARTISANAT. DUTOORISME, DES ~ t~ J , ";"::"''1'1.,1 t.,..nJ
    , •••• ,...;AJ
    INVESTISSEMENT, DU SECTEUR PRIVE ET DES 4flo.J1 UJ)olJIJ
    AfFAIRES FONCIERES
    .._---- ...-------- ...---_ .._-------
    ---'-
    Diftdioo Generale de l'Energie, des Mines
    1.• " .~t:.11 a...n .. '. '." t.wI •. 1.1\
    '~'J~J ~ "
    etde l'Eilu

    LE CCORDINATEUR DE PROJET

    N" 20201 1121Co-ProHFOI DGEME


    M(Jtvni Ie 0510212020

    To,

    Indian Ove,'lleu Bank


    14-15, Film> Bh •••.• n
    Nehrn Pl'l«
    NtlO D.lbi-IIOOI9
    rrm"
    Rtf ••.•IIC.: Coatl'llct Agl'ftftlenl "0. OOJIMPEElAI2014 dSlfd 18.09.2014 & Amendmnt No.1
    daled 17.0J.2015EXIM Bank App •••• nl No. GOIU>C-152111 dal'" 05.1>6.2015

    Subject: !«quest for E1te""ion or Ad_ Pa~m.ol Gllaraow No. W701 11l1OOO41daled 10.11.2017

    It is 10 bf: r«aUtd that on bf:half ofO •.• rseu Infrastruclure Amanc. (India) Pvt. Ltd., ynur
    baok has wuod lh. abov. "'.nlionoo guarln". in (a'"onr o( u. for amounl of USD 614,'}58.92
    (US Dolla •• Si. Huodud and Fourt..,o Thous.and :'\';0. Hundud nod Fifly Eighl poinl r..iody
    Two only) dtu rnIuclioo •• bid. i. up;r;ng 00 05.01.1010.

    • Now we bon by ;oOlrucl you 10"-ltnd. lh. validi!)' of lb. : ••.•l':IInl..,(or •• tra tbl"N monlh. blfo •.••
    "piry urIbe said guanlntee
    I
    /

    buildmg infrastructure
    =wQrldwide=

    The ~,,,,'Mar~' (;.,\0.".,1.


    \!oni'l,:, ,>f t<"no",~'.~,""'l'." I"J"'t/). Cr"Ii>.•
    lou, i'III. I, 1\",n""lI, "0,1 1'", "te 'icc!n,.
    (;.. •• 'nu'.'TI1"rt;nit~, "rC",","<'I$,
    \1 ,'ron;. ( .•.•m""'.

    c,,"',.,..~A\;f''<'"lC~UNo. OO_li\1PITJ'\::lll~ <!Jh:d IK xr,",,,h:, :'OJ.! ",!",I~"r


    ,,-i,l, Amend",."l No_ I d"rd 11 ~b,,:" :'OIS "oJ ,'<ki.nd",,, ~". 01. St'. 17.
    ~ 10'VP. \UTIII TISPAf IS(; d.>k<J:' I 0<.1"l>..• 10 17

    Subjl."l"l:

    LlurS; •.

    A, )'0\1.'" ."."'. 1\1\;1,Sh;rpin~ Send""" Pti, ~h; Limi"•.d (AS~PL) lI.lS ""t dcli,,,rtd ,1>1:foU""i,,!!
    shil>lTlCn'S00 a«nul11 "fl~;1 earlier d" •• from " •. "hie" 1\0 "C," "".lIk I" 1")' .s "c. in lUm. an:
    "<ll y.llill~ "111<I"" I"'~""'"l' f''"1l }'OU .nd lhe cx«lIlioo "lldor tIK Com •.••l h•• b<"n ''''1'''",1.-<1,

    Dat. In>uk. No. lion,


    -_._,._.
    2],<12.2019 8P18188016Q RIlE!. .'ihipmem 63.229.00

    28.02,2019
    --'--._'
    111'181880162 BHEL Shipnwnl 74.'Hll)l)

    IS.Ol,201~ 1lI'ISI880164 mllOl, Sl,il''''.nl 7.80,000,00

    1MT Bo'" &. GI Angles , 1.l~.'l2'J.33


    UIl~i.:Sh;pm-,-"-,---L_',~120.00

    -,
    !
    ------._~-
    •
    , - - :U,I~t~1
    . ----~----
    ---_._."~~
    </It: (~I

    ~H(I1,:III'! Ill'lNIKKlII7K
    -
    ,•
    18111.:111'1

    :X.O~.:1I1'.
    111'1X lXX11l7~

    II)')S I XXlli gl)


    HUH "1"lw,""",
    lUlU \1"1"""""
    UIfU \11il''''"'~
    ~.:lI_~l"I"1

    1.:lK.""1 twJ
    11.7111111'
    I
    , 10 :SOJ.11"9
    , ,
    Ill' I Xl H~IJlgl

    I --------.
    HIIE! \1"1"'''''11 :.I:.~_;II.I~1

    " .t,lJ.l .• O,9 rW1XIXgnIX!


    ---._._---,
    nllu %ip,"~111 3.0",9XS,or'

    " JOll.l:IIlQ 111'18188018" 1I111'1"hip,",'nl 100,on

    " .lfl,Il.l.:010 flPlxrXg0187 1t11L! Shirm~111 7.25.4'16.00

    " OS.l~UIl19 :0-1505 F" ••"J"Ti,", 1l,,11


    _.L _
    1,'1'11(,1

    ll""~,~r. ASSPl i. """ "l'""",bk 10 "d;"cr IIICshipmeliTs (0 )"11 "m,'iM~ )"" hoiI' ,hom <e<1"~
    1he ,,~i\Cf "~IIhe l)"mll""S. ('h"!!,,, th:lt "'~) "" le,iN ~ Ih. 1'<,,, "<Ilh''fIl,e, ~I .\l"M,i "" Un:
    "fo,"",id ,l,ip""'lll>. -Ihi, ,IeI' ;, \CI)' <flOCi.,!h' .~ doh,'c') of lh •. ,hip"'""'ls. "hieh an: quilc crilk~1
    forII", pr,,~'< c"ml'l~,i"n,

    In ,"i.,," "r Ih. ab.wo. "0 'oq"." ~"Illu oM'l"u, g(~..J"frrw in _",in~ II,. "ai" .•.$<I1h.3.,11>0
    crilical
    .hipmcna CM "" rloli,crcd ,,, )'n" a, .arl)"a'po«il>l •.
    111.nl'"g )"0".

    Yours £';lhf"II).

    For Overseas Infrastructure Alliance (India) Pvt. Ltd.

    1!".,.,,,,DIl--
    (Pum.I"","", Mahesh",.,i)
    Wbol. Time m"""or
    Ref.: 159/82/EXI:-'1/01,\/201'J
    Dale: ] Ii FebnlaI)' 1020
    2(J ~Ufr
    lI'oU>fAS 1O'la$ """""",
    building infrastructure
    •••••IIJQ

    _worldwlde_
    To,
    Meen•• Verma
    C;~n"fal \lanager
    Export';,nport 13arlkof India
    Office Block, Tower L 7-:><Floor.
    Adjacent to Ring Road,
    Kidwai :'\agar (East),
    X,.•w Ddhi, I 10 023

    Refe",nee: Contra('t Agre,'mcnt No. 003/MPEEIA/2014 dated 18 September 2014


    together ",'ith Amendment No.1 dated 17 March 2015 and Addendum
    No. 01, No. 17A IO/VP-MI':EIATISPAF/SO duted 21 October 20 17

    • Subject:

    Dear Madam,
    As-<;igomcmof the pa}'T1lentsto Atlas Shipping Services Private Limited

    As you life awarc, Atlas Shipping Scrviccs Pri"ate limited (ASSPLI ha" not delivered
    the shipment comaining 7 (Seven) Containers belonging to Sharat H<:al)' I':lectricals
    l.imited IBHELI h.lflded over to ASSPL for shipping to the GO\"('rnment of Comoros
    (Coq through us on aee01lnl of their earlier dues from Us. You are also aware, oUr

    J three Invoic"" aggr"gating to USD 368,507.32 duly autho~'d


    with you lor release of payments there-against.
    by the OoC, arc pending

    It has led to a dispute bctwl'en BHE/., and 1ISand accordmgly SHEL has instituted
    proc~dings i.e. O.M.p,m (CO.\lM,) 403/2019 b<:fore the Hon'bl •• Delhi High Court,
    Dorin;: the proceedinl(s. the Hon'ble Court referred the mlltler for mediltTion by Mr. ,I.
    P Sen!:h. Senior Counsel, wh'ch after se"eral m•.•.• tings l'''cntuaUy conduded without
    any rl'sOlution. Thereupon, the Honble COUrt, once again referred the malter for
    rcsolution through the Bonble Secreta')', Ministry of External Affairs. Go\'crnment of

    • India by impleading the Government of India through the Secretaries of Ministry of


    External Affairs, Minist'), of Finallce and Ministry of Hcal'Y Industrie1i. El'en Ihis
    lIll'l'ting has produced no amicable resolution to the problem and SHEL as well as the
    projl'C! of Go<::are b.'ldly sulfering besides legal cOlllplieations for all the stakeholdcrs
    including ASSP/" and us.

    ASSI'L is nut agee<:"!>l,,to releose the BH8L shipment until the maximum possible
    amoum l>llyable to them ~. Os is sl'cured, though agains, such payment sccllril)'. they
    arc agreeable to deli"er imml'di"tl'iy both the shipments to the site of (Joe i.e, Ihe
    shlpml'llt containing 7 (Sevenl Containl'CS !>e1011gllgto BIIEL and the shipment
    contain"'g 5 (Fi\'e) COntainers of STeel supplil,d by u,..

    In this ba<'kdrop, WI' have agreed To assign all the paymCnt againsls our following
    invoices to ASSPL by wuy of reSolUTion(,( the dispute "'lth BHEL and the problem of
    nOll-delivery to tho: GoC so thut BHF.L and the proj•.••..
    ' of CaC do nol suffer for the
    dispute bet"'''"n ASSPL and Us: _

    OVEIISfAS INFRASTRlJtlURE AUIANCE (lNOtAr PIIIVATEultimo


    ~•• i••• rd omc. Corporel, llffite:
    5(ll {lIA""""- .I~ CaNrI3l C<K<iU'S~"'"
    1m. SIn' Kr.., a""<Jg. II. ~_. Gs!ol>t1A"'l
    """"'" tEl, """"". "00099. nl~ NON!leIIIo. ll~ ll:l1.1nilo>-
    Ttl' +'l1.Z2.66/\!oOOO f1< +91-1MS15ml
    "'-; +91.\I-<43()Ollli r•• +~.lH;j(i1 G111
    -~==============~
    BJ:fp;J@ "'tow.s NOlA$f1lIJC'TIIoE ll.INI;:E
    building infrastructure
    _worldwlde _

    j'"T"'" Invoic:e
    No.
    r
    ~
    Partll.'ula;$~
    _
    ~~~)t
    i -Re.nark-
    tl 21.01.2019 91~2065 i Supply
    .
    2_- 06.oI.;?OJ2
    400330 Service 32 70232 AUlh"ri~<:,d
    3 lL02.2019 93420,00 bllt
    1 400331 Sen'icc
    242.385.00 pending
    with E.'l:im
    8-
    5
    31.03.2U19
    31.03.2019
    91.002101 : SupPly ,,[Sted
    68957.67
    B"lIk
    91002107 Shipment Charl'C$

    •
    6 19.04.2019 91002108 (SHELl
    133655.62
    7 25.02.2019 77 929.28 1
    91002071 Pendin!; with
    8 16.04.2019 12,918.92 '
    009/19. M/TeON for
    7,603.46
    20 II mroval
    TOTAL
    669,572.:27

    We, therefore, request you to rdease the afor••said paymclIls tu Atlas Shipping
    Services Pril'il1C Limiled lind oblige in the inter"s! of the project.

    ThankinR you,

    Your" faithfully.

    For OV\lrseas Infrastructure


    --
    Alliance India Private Limited

    • (j)
    PuTS{~~~~~w"n,
    Whole Time Dlreetor .
    ;r::~~
    Dv
    I
    I ~~~"""'"~~'-"

    1
    ,I
    L: ',W'
    Copy: I. Atlas Shipping Servic~ Private Limited
    I
    2. Bhaml Hea"y F:ll'Clrkals Limited
    From: Purushotam Maheshwari !mailto:p.mahe~hwari@oialliance_coml
    Sent: 08 July 2020 17:00
    To: JS <jsdpa@mea.gov.in>
    Cc: Ashish K S Arya <dirdpal@mea.goY.in>;Shyam Shukla <shyam,shukla@oialiiance.com>;Sampat
    Jagdale <sampat.jagadale@oialiiance,com>;Ovijeet Das <ovijeet.das@oialliance.com>
    Subject: Disbur$cment under Comoros Project

    To,
    Joint Secretary,
    Ministry of External Affairs,
    Government ofIndia (Gal),
    New Delhi,
    India

    • Dear Sir,

    This has reference to our letter no. 159j82jEXIMjOIA/2019-20 dated 18


    February 2020 addressed to Exim Bank assigning our various payments to Atlas
    Shipping Services Pvt. Ltd. (ASSPL) in the Court monitored resolution of the
    stalemate resulted from non-delivery of the shipments of BHEL by ASSPL. The
    reference is also made to our letter no. 224/63/GOI/OIA/2020/21 dated 22
    June 2020 addressed to Mr. Ashish K S Arya, OS (OPA-l) to clarify the question
    raised by Exim bank on the disbursement to ASSPL. Finally, we also refer to
    email dated 29 June 2020 from Mr. Ashish K S Arya, requesting for the
    Implementation Plan in case of Comoros and ROC Projects. Besides, in the
    meantime, it appears Mr. K. L. Ganju, the Consulate General of Comoros in
    India, has had a meeting with you and as per the meeting, he desired us to
    submit the implementation plan for the completion of Comoros project to you .

    • In this regard, it may be worthwhile to point out that the implementation plan
    was also discussed in our meeting at MEA on 17 March 2020. During the March
    meeting, we explained that there was no significance of any implementation plan
    unless it is unambiguously linked to the payments, which are either not
    approved by the Consultant or not authorized by the Employer or not disbursed
    by Exim bank as per the Contractual payment terms. It is for this reason, we
    requesled MEAjExim Bank to (1) assure us that the payments will be disbursed
    within 45 days from submission of our Invoices, and (2) release the payments
    directly to the sub-contractors, for which the necessary assignments were made
    and shared with Exim Bank. However, we have not received any assurance till
    date despite our repeated communications on the subject vide our letter dated
    30 March, 29 April, 30 April and 10 June 2020. Copies, one each, of the said
    four letters are enclosed as Annexure-1 collectively.

    In this backdrop, as desired by you, we do now share the Implementation Plans


    and the Payment Plan (linked to the Implementation Plan) for ROC and Comoros
    projects as Annexure-2 to 5, with the clear understanding that the payments
    will be disbursed to us as per the assurance hereinabove sought by us.

    Incidentally, Mr. Ganju also shared certain unwelcome observations made by


    MEAwith respect to project implementation by OIA.Actually, these observations
    are not new and have been not only made before but have even been clarified
    repeatedly. Unfortunately, however, while our clarifications are never

    • controverted, the observations do not cease to be repeated. We, therefore, repeat


    the followingin an attempt to iron out the observations:

    1. Sinee 2006, OIAhas been awarded several Contracts under Gol supported
    LOCand each of the Contracts containing advance and payment terms has
    been duly approved by Exim Bank. And, we have never been paid any
    advance in excess of the agreed amount, nor have we been paid any sums,
    which are not backed by the supplies or services made/rendered by us,
    certified by the Consultant, authorized by the borrower country and finally
    vetted by Exim Bank and even permitted by MEA,whenever Exim Bank has
    chosen to seek MEA'spermission. Therefore, any misgiving of OIAavailing
    more payments than due to it as per the Contracts and vetting of Exim
    Bank is only unfounded.

    2. There is hardly any significance in the suggestion that if OIA makes the
    payment to ASSPL, Exim Bank can disburse the withheld payments to OIA

    • under Comoros project as OIAhas already assigned its dues to ASSPL,


    under the Delhi High Court monitored resolution exercise, which has agreed
    to effect delivery of the shipments withheld by it provided Exim Bank
    commits to disburse the assigned payments on ASSPLdelivering the
    shipments.

    3. We would like to bring to your notice that in the Contracts, the payment
    procedures are well specified, wherein, any invoice raised to the client has to
    be approved by the PMC appointed by the Employer or by the Employer
    itself before it is paid by Exim Bank, regretfully, it is not so happening in the
    case of ROC project.

    In view of the above, we humbly request you to kindly:


    •

    a. direct Exim Bank to release the assigned payments to ASSPL,


    b. assure the regular payments within 45 days from submission of our
    Invoices, and
    c. pay heed to OIA's repeated clarifications on the misgiving of overpayments
    to OIA.

    We shaH remain obliged to you for your kind act as requested above.

    Thanking you,

    With regards,
    (Purushottam Maheshwari)
    Director

    •
    Enclosed.: As above

    •
    """""" ••••••• """""" "'lWOCl
    building infrastructure
    _worldwide_

    l{d. No.: 165f82/CO:vlOROSIOINZOZO-ll Dale: l~.l14.Z0Z0

    To.

    SHRI.A. AJAY KUMAR JI,


    JS (DPA-l)
    J:\8, l11~ B Wings
    Mini,lr)' of External Affairs
    Gunrnmcnloflndia

    • Subjed:

    Rcference:
    Cm.fOROS POWER PLANT PROJECT _ Direcl payment to MIS Atlas Shippiog Pvl. Lid,

    Contraci Agreemenl No, OO3IMPEElA!2014 daled 18 September 2014 logelher wilh.


    Amendmenl No. I daled 17 March 2015 and Addendum No. 01, No. 17-4IOfYP MEEIATISPAFfSG
    d.1led 21 Oclober 2017.

    Honorable Sir,

    We refer me.::tingal MEA in your pre",ncc on 17'" March.20W. Purpose of Ihe meeting was to discu"
    and sireamline future methodology 10 complete the projeCI under execulion by OlA in different
    cuunmes.

    Duringthe meeting we have reslaloo that we have no objection ifEXIM Bank m1,kesdired payments
    10sub conlractors of concern project in Ihe inieresl of complelioo of project. Since Atlas shippiog has
    agl't.'e<llorelease the malerial, we have proposed 10pay them dire.:lly 10gellhe amicable solution aod

    •
    recieve Ihe crucial project ,hipmeot up to site location,

    Funher, we have requesled EXlM bank via our leiter reference 159IS2lEXIM/OlN2019-20 to release
    direct paymeots to MIS Atlas shipping as MIS Alias shipping has agreed to deliver Ihe material up
    to site localion ooce Ihey gel payment surely from EXIM Bank. Also, a confinnation of same has
    beco filed by MIS Alia, to Hon. High Coun of Delhi. Copy also shared 10EXIM Bank oflnllia.

    Subsequently, we are following up with EXTM ballk. bill neither they are taking decision I" make
    paymeot to MIS Allas shippiog nor clarifying the situatioo to os, This briogs the enlire scenari" to
    stand Slill,

    OVERSEAS INFRASTRUCTURE ALLIANCE (INOlA) PRIVATE LIMITED


    _ •• OIrOOO ~OIrooo'
    K. K. $<,at., <lDCMm.lI)-_ _ ,~""'" ••••• tloidi'>\l, 1t, __ t.Io'<)
    1M"'"{E, _ .100 em, _ N<wOoh. tlGOOt, 0Idi<
    101.''i'-z1{ll~ !<JOGF"" "'-z1-2&1S1$''''1\ lOO1 -il.""'" "
    101., 11 f." ••,.,,-<J\, """
    •

    MIl!US "'WTRl.ttll< J<lJANGl


    building infrastructure
    _worldwide_

    For yow: ",ferenC<',herewith. we recall lhe &criesof evenls ,ince project was put on hold.

    1. Our three invokes aggresating to usa 368 507.32 duly authorized by the representatives of the
    Government of Cam or OS,pending for disbursement since February 2019
    2. We unde~tand that, Minister of Foreign Affairs, Government of Comoros has written a letter to
    ~cretary Economic Affairs ,MEA and requested 10 release the p.yment to OtA in August 2019
    3, Despite of constant follow up, payment was not released
    4. Hold 01 due and dully approved payment by EXIM bank has disrupted Ihe project cash flow that led

    •
    the dispute between SHEl, Atlas shipping and OIA.
    S. Consequently, Atlas ha, refus~ to deliver the project shipment belonging to BHU
    6. Later BHELhas instituted proceeding~ before the Hon. High Coun of Delhi
    7. On the instruction of Hon. High coun 01 Delhi, all party meeting held at MEA Delhi, under your
    leadership on 16'" January 2020
    8. Even this meeting has produced no amicable resolutiontothe problem and project is suffering badly
    besides legal complications.
    9. In the interest 01 project OIAhas requested to EXIMBank in writing to release the payment toAII.s
    shipping directly via letter referred as above
    Sir. as you are aw~rc, there is publio health emergency of internation~l concern due to novel coronavirus.
    There is no denying the faels and the magnitude of the problem. All commercial activities are stopped. Due
    to this all are suffering, our company also facing unprecedented and severe financial crisis. ConsC<luently,
    there are no reVenue coming in anymore and yet there are overheads to be catered and banking obligations to
    be met. We can not survive without your support during this harsh time. Our engineers an: still at site in
    Comoros and facing health issues as some Indians have al,o been detected corona sufferer. Hence our priority
    i, 10 get the materia! of BHEL rdca!.cd from port at the earhest which is possible only when Exim Bank moves
    fast in giving comm;tment to atlas for release of their payment as per our requeSlletlCr. We ,hall caU our

    • engineers hack to India to prolect them from this corona prohlem. once they arc able to ensure the safety of
    material at site.

    We are following with EXIM wilhout any success. hence, request you to please intervene in Ihi.I matter and
    instruct EXIM Bank 10 relea'e the direct payments to Atla, ,hipping without further delay.

    Looking forward for your kind support and assuring you of our best attemion all the times.

    Yours Sincerely.

    For Overseas infra'tructure AIIiam'e (India) PlI. Ltd.


    S.C RHslogl

    OVERSEAS INFFW;TRUCTURE ALLIANCE lINOIA) PRI\IATE UMITED


    ~0lIi00, ~0It><t:
    ~.~, SoJn, 4IOCWrroIGr ••••• Roo:! 1~Su<r •••.•• 6<JOli">,l,
    'I, _ •••••••••. 9
    ••.••.••• {E, _. '00 tlIi,_, ""00".110001,-'
    T." 'i1-n~n; 5")OOf", <i1-n~ 290'166"
    \001 '9,.,'~~ 111\f.~
    T4L, "'.11-"'1632'

    WWW.Olalliance.comlola@Olalllance.com
    , ,{ ,~{, ." ':4:''Z'
    I
    :.
    ,

    ""' ••••••H'UO,..x_ .IUIoUK>

    • building infrastructure
    _worldwide_

    Ref. No.: D.lIIe: Ill06.2(1Z0

    T.
    SHRI.A. AJA Y KUMAR JI •
    JS(DPA-I)
    J:"iB, 2119 B Wings
    ~tlnlstry or Elterna! Affairs
    G(m~rnmentor India

    Subjw: COMOROS POWER PLANT &. CONGO RURAL ELECTRifiCATION PROJECfS


    -IMMEDIATE INTERVENTION NEEDED

    Reference:
    I. COMOROS Contract refc'l:nce Agreement No. 003!MPEEIAl2014 daled 18
    September 20141ogelhl:f with amendment No. I d311:d17 March 201$ and Addl'11dum
    No. 01, No. 11-410/VP MEEIATISPAFISG dated 21 Oclober21J17.
    2. CONGO Contract reference Agreement No. 2012.16!PRlAOlDGGT dated 25 SlOP,
    2012

    3. mojl dated 30th March 2020 addressed 10 Shri Pankaj Kumar singh with a oopy to
    yourself about discussion, taken ploce during meeting held m your level on 17th march
    ,2020and also subsequent follow up cor~l"'ndance by OIA.

    Rl"Ipceled Sir.

    Please refer meeting held at MEA in )'our loadership on IT" MMch,lG20 in re'pe~t or
    projects to discuss and streamline futule methodology t" eomplele them under "".xulion
    1»'OlA in dilTen:nt counllies. PI~ also refer mail d.uo:d30th March 2020 scnl by OIA
    confirming dcdsiooslakro in the s.aidmeeting.
    Sin_'" lhen "'-': arc followinc ~arious "lU~~
    here in India wilh EXIM b;mk and al ~ilC 1('
    conlinuo works in lho projccts. Herewilh we •••.c>uldlike to put facts before ynu Oncounlry
    Iproject specific

    OVERSEAS INFRASTRUCTURE ALLIANCE (INDIA) PRIVATE LIMITED


    lI<'Il.n•••• _~. c.. •••••• _,
    ~1, OI.\lWlO,4roCo_"""""" f\>"', '1CS,1<Iry.~"" &ul,"~ ' 9.••••••••
    """"" If!. _ - '00m, k<iI
    1<1 .!I1.1U,IllHIlOO , ••• 9'_r,!.;?i1;M'

    www.olalllance.comlola@olalllance.com tiN,: U65920MII1989PTC052900


    ,

    COMOROS _ Power Plant Project


    After WI' meeting, numerous C<lmmUniCalionsheld ",ith EXIM bank under copy 10 )vur
    office 3IId we a", contnoU'ily cha!;;ng In concerned officers 10 resoh'c the is&ucso (hill
    material stuck at Maroni port c.:Inbe ~i>chal"ied from custom and stored to SlIfecustody at
    project sile. S" far we have not received any positive ~iSnal from F..xlM Bank.

    Our approved p"ytncnt IlUtnris.atioosa", 1)1ogwith EXIM and we ho\'o already given In
    wriling Oul con",n! to EXIM Bank 10pay directly to Alias Shipping. We fail 10undcrstand
    why EXIM bank is laking so long lime \0 take !he decision,

    Further""C 'HlUld like to inform you that our engineer> an:: stuck at COMOROS sile and
    'W arc under prscssurc from their f;uniJies to evacuate them.

    We wanted mal shipment should be stored a1safe place before our cnginocrs leave the sile.
    We request you to please intervene and ask EXIM Bank 10release the paymCfltor eonfintl
    to Atlas beforeelosc of the month of J~ne w thaltimel~ we can plan the activities.

    In ease Exim Bank do J\(Jttake allove action timel~, lben we wuuld nol be able lOconlinoe
    and will be furted \0 leave the sile and b~ 30th J~ne we will can back o~r team.

    CON"GO-It~ral Electrificalion Projed

    In projecl Ruml Electrificalioo ofCongu, sile "<:Irkwas cootinued by uur I""al "'am ewn
    ineum:nl pandemie situation.

    We Ill"<'pleased to inform yoo that all the conSlnJclion work al another 33 KV Gamlloma-
    Ongogni line of around 50 Km hll.l I:>ecncompleted and lioe "'1\$ .ueces,fun)'
    commissioned on 18th May 1020. Work on a new 33 KV line Boondzi Allembe i, onder
    prog~ss

    Our Indian Sob Conlr.octors for O)'<l-Mossaka line (MIS Excc:lsoor<:eIntcrnalional) and
    Djambala- Lckana line{ MIS Alliance Trading) are wailing for internatiorllli flight to
    ~';\lme so that. lhey send teilln. ll>""tart the wo,k.

    We ",fer Our discussion during meeting held at 17th "'larch 2020 in }<:IUrpresence when:
    it was discussed \hal pmgressive invoke< ,hould be paid in 4~ da)lS from the date of
    submission 10 Ihe DGOT and in casc of dela)', proportionate lime eXleosioo should be:
    alluwed. hrther Ihe pay'ment of the invoices win nol be link,,) or delayed by E"im
    Bank/MEA for any =n including 0tJ .coounl of any olher projCOtmot",r <;(lnn<:<:lcd
    with
    OIA. We have \\'rinen a IClltl"10 MEA and 10 DGGT Ref. No. : 1641ll2IRDC-
    REJOIA!2020-21 Date: 14.04.2020.
    In Ihe letter we have requested a line of acknowledgcmcnllo canlinn above understanding
    from your ,ide as wdlllS from CONGO side. Conlinnalion would be helpful for OIA to
    p=d wilh extr.l effo<ts On all fronlS. So far we havenol recievcd any reply.

    We requesl yoo to please inSUlJet your team to provide a confinnalion on the sam~
    understanding. We are facing exlreme diffICulties 10 run the site in currenl environmenl
    and without support from authorities like yOU, EXlM Bank and DGGT CONGO, we
    would be nol ahle to sustain further and would be forced. 10call back our team hy 30th Jut>C
    2020.

    Looking furwill'l! for your kind SUPp<lrtand IISSUl'ingyou of our best allenlioo all the times.

    For Ovcneu Infrastructure Alliance Qndil) Pvt. Ltd.

    (Purw;hottalll Mabcshwari)

    Director
    /

    EJlfq@
    O¥ERSUStomlmutTLOll! "'<.Wa
    buildinginfrastructure
    _worldwlde_
    Date : 24th August 2020

    To,
    Shri Shridharan Madhusudhanan
    Joint Secretary (DPA-l)
    Ministry of External Affairs,
    Government of India (001).
    New Delhi,
    India

    Referencc : 1. Our email dated 30 March 2020 I.>,-


    2, Our letter dated 29 April 2020 ~
    3. Our letter dated 10 June 2020 L.c-
    4, Our letter dated 22 June 2020
    S. Our email dated 08 July 2020 ',.~\,~-
    6. our letter dated 3 I" july,2020 sent to joint secretary MEA

    Subject : Pending Disbursements and Execution under Tendaha (Phase.!, Civil


    and Spares), RaC & Comoros Contracts

    Dear Sir,
    Please refer our last letter dated 3'" july, 2020 sent to JS MEA on the above subject.
    We take this opportunity to "'peat that under Tendaha (Phase-I, Civil and Spares), RoC &
    Comoros Contracts being executed by us 1.Ulder the Gol supponcd LoCs, there au
    disbursements to us, whieh a", duly authorized by the respective Employers long time
    before. Despite various rcpresentutions to Exporl-lmpon Bank of India (Exim Bank) and
    Ministry of External Affairs (MEA), these disbursements have been withheld by Exim Bank,
    attributing
    , the rcasan of withholding on the advice of MEA, which has rcsulted into the

    ,
    project execution under the aforesaid contracts being stalled. To overcome this stalemate, a
    meeting taok place at MEA on 17 March 2020 at our instance. During the meeting, certain
    OVERSEAS INfRASTRUcrURE ALUANCE (INDIAl PRIVATE UMITED ,..--e'"'~
    •••"•••••0'.,." ,'!' &
    >01.""
    •••••.•
    ~C"•...••
    ,G''''_...... INa.....•
    f".' ~ 1-11-06'1 ='..
    ""''''''If I,.....-.
    ,~
    ""0'19. ""'0.
    l-ll-l$H 1"1l~'~ 1001
    -

    OYlOSW N1W1lI:IJC1\IIlf. IoU.Jol/C[


    building infrastructure
    _worldwide_
    proposals were mooted by us with due jUstification therefor. The proposals in the meeting
    were followedup by us by addressing email dated 30 March 2020 to seck confinnation
    from Exim Ban1<:jMEA.
    The proposals were as under:

    ~L The future disbursements to be assured within 45 days from the respectivedates of


    submission of our invoices to the Employers in cases of RoCand Comoros Contracts.

    -Y"'2. The future disbursements must not be withheld for any reason, whatsoever, and the
    disbursements under one Contract must not be linked with any other projects.

    /3. MEA10 authori7.e Exim Bank to make the payment to Atlas Shipping Services Private
    Ii! Limited(ASSPL)in terms of the lcttcr of assignment issued by us on 18 February 2020 to
    Exim Bank, so that the shipments withheld by ASSPLwith respect to Comoros project
    are deliveredat site and the concerned legal proceedings initiated by BHELare closed.
    It was agreed by MEA in the aforesaid meeting that necessary instructions will be
    passed on to &tim Bank for moving ahead as suggested so as to overcome this
    problem.

    4. The Claim cum Variation proposal to be submitted. based on the details to be obtained
    from the concerned sub-contractor, in case of RoC Controct to be expedited for
    ~ agreement and approval, so that the execution goes unhindered.

    Besides lhe proposals, we also requested the MEAl Exim Bank, in the very same meeting.
    that !.hedisbursements under Tendaho (Phase-I, Civiland Spares Contracts) should not be
    withheld for the reasons which are not related to the works executed.
    In continuation to the above, we attended a meeting at the level of Chief General
    Manager in presen"e of conecmed General Manager of Exim Bank in Mumbai on 13th
    August, 2020 and briefed them about all the above developments. They said that they lire
    awaiting for necessary instructions in respect of all the above matters from MEAand they
    willabide by instructions immediately after their receipt.
    OVERSEAS INFRASTRUCTtJRE ALUANCE (lNDIAI PRIVATE LIMITED
    •••• ,.. •• QIr •• ,
    ~l,0.._, .,. ""••••
    ,"'•••••
    " ••••
    ,
    _(n...." ••••
    -'oom.O>d~_
    TO<:.~,.ll .•• " """ '..-, ."_,,. , •••, ,. •• ,..", loOO'
    I --,,-----------------------------------

    ~Irg.
    O'<VUUI NfWl1llI;1'\OIlt

    building infrastructure
    .u.wa

    _worldwide_

    It is in this situation that we request you to confinn the aforesaid proposals and release the
    withheld disbursement under Tendaho (Phase-I, Civil and Spares Contracts) and of Comros
    project as detailed above, so that the project executions under the respective Contracts can
    resume.

    Thanking you,

    Yours faithfully,
    For Ovcneas Infrastructure Alliance (India) Pvt. Ltd.

    %""'hoh-
    (Pumshottam Maheshwari)
    Whole time Director
    Enc:losed: As above

    OVERSEAS INFRASTRUCTURE ALLIANCE (INDIA) PRIVATE UMITED


    ••••••••• 0Ik0,
    "'~ ••••••••••••• lOCO' ••••• Go••••• , ••••••
    _In_.400W!I •••••••.
    T"', ..,." -Q" ''''"." ••,_,,.,"" ,,,",,.,,, ,<>:"
    •

    0'4Itl<U •••••••'""""'"' _
    building infrastructure
    _worldwide_

    Dale: 24.08.2020
    To.

    SHRI, NIRMIT VED


    General Manager
    OfliccDrock, Tawer I, 7tf1 Floor

    •
    KJdwai roo'agar (Ea'l)
    New Delhi

    Subject: COMOROS POWER PLANT PROJECT - Direct payment to MIS Atlas Shipping 1'\'1. Ltd.

    Rdcrencc: Contmct Agreement No. 0031MPEEfA!2014dated 18 Seplember 2014 together with


    Amendment No. I dalcd 17 ~f3rch 2015 and Addendum No. 01, No. 17-410NP MEEIATlSPAFISG
    d~ted 21 Octolxr 2017.

    Dear Shri VOOji

    This is in reference to our m!!€ting with CGM in your presence on 13th August, 2020 in Exim Ban~ office.
    Mumbai wherein we briefed you about our di$Ulssions at the level of MEA on 17th March,2020 and
    commtlllicalions mad!! thereafter.

    Please also refer our leller dated 30th april, 2020 addlessed to CGM him Bank Delhi.

    • We would like to bring to your kind notice that we have requested EXlMbank via our 1IIIIIIrreference
    1S9j82/fXIMj01N2019-20 to release direct payment~ for Comoros power plant project to MIS Atlas
    shippil'l9 as MIS Atlas shipping has agreed to deliver the material up to site location once they get
    payment surety from fXJM Bank. Also, a confirmation of same has been fiJed by MIS Atlas to Hon. High
    Court of Delhi.Copy also shaled to EXlMBank of India.

    Sub,equently, we are following up with fXIM bank, but nllither they are taking decision to make payment
    to MIS Atlas nor clarifying the situation to us. This brings the emire scenario to stand still.

    For your rclerenClI, herewith, we recall the series of events since project was put on hold.

    1. Our three invoices aggregating to U5D 368 507.32 duly authorized by the representatives of ttle
    Govllrnment of Comoros. pllnding for di5bursement since February 2019 ",...
    OVERSEAS INFRASTRUCTl,lRE ALLIANCE llNrlJA} PRIVATE LIMITED
    R~_ orra: torpor•• 0lI;00:
    I<.K s.;.-.lro~GIIC.IIP.oo:I .n,Sosr.KnoEluiOOJ. l!l.__ ~
    A_ IE;UJTu;. ':Oll!l!l,hloo _ 00tl.1I0 00'. reo.
    't<, o!l'.ll-lli~~Fl< ~'.Z!.ms 1\Ie'MTS~1 ToI;-91.'\-IJOO
    111'Fn o!ll."~1 IJZl
    <l'<DSUOWFU.$IIM:I\III'.........,.
    building Infrastructure
    _worldwide_
    2. We understand that hon.Minister of Foreign AHairs , Government of Comoros has written a letter in
    August 2019 to Secretary Economic Affairs .MEAand requested to release the payment to OlA
    1Despite regular follow up, payment has nOI not been released by him Bank.

    4. Hold of due and dully approved payment by EXIMbank has disrupted the project cash fiow that led
    the disptlte between BHEt, Atlas shipping and OlA.

    • 5. Consequently, Atlas has refused to deliver the project shipment belonging to BHEL
    6. tater BHEt has instituted proceedings before the Han. High Court of Delhi

    7. On the instruction of Han. High Court of Delhi, all party meeling held at MEA Delhi on 15th January
    2020.

    8. Even this meeting has produced no amicable resolution to the problem and project is suffering badly
    besides legal complications.

    9. In tll€ interest of project alA has requested EXIM Bank in writing to release the payment to Atlas
    shipping directly l'ia lett!!r referred as above

    10. During meetings and recent discussions with MEA,we understand tflat MEA has no objection to
    make direct payment to Atlas Shipping .

    In view of above we request you to p!c.:lse intervene in this matter and instruct your concern team 10
    • release direct payment to Atlas Shippin9 so that project can be r~tarted.

    looking forward for your kind support and assuring)'(lU of our best attention all the times.

    For Overseas!nf'anrueture Alliance (IndIa) Pvt. Ltd.

    9""",,>tL
    P.Maheshwari,
    Whole time Director

    OVERSEAS INFRASTRUCTURE AUIANCE (INDlAl PRlVA TE LIMITED


    ~_O!fi<o; C••por
    ••• Ol&<o;
    ~~SqIwo
    .•1Qc..'Ilo''''__ 1~.S>..,.._~,",•••"'!IO_....,
    oI._re.lUtioi.ooom.nso, HowOoll>i.lllltlll._
    ToL,"1-1l~15SXlIF"" -<tI~;,s Ul.l1OrSml ToL:"l.l1-<lX\l
    ll\l fax:"'.tHI$l1i321
    IN THE lIlGH COURT OF DEllI! AT NEW DELHI

    OMP (1) (Comm.) No. 430 of2019

    Bharat Heavy Etectricals Limited


    "" Petitioner
    Versus

    Overseas lnfrasttucture Alliance (India) Private Limited &Or5.

    ' .. Respondents

    • Application on behalf of respondent NO.2umler Section 151 epe


    for directions

    Respectfully Showeth

    1. That in the main petition under Section 9 of Arbitration and

    Conciliation Act, 1996, petitioner has inter-alia sought

    direction against respondent No.2 to deliver petitioner's

    • goodsto destination.

    2. That there is no contmct between respondent No.2 ,1nd


    malleI'
    petitioner. Respondent NO.2 trnnsported the subject
    respondent No.1.
    consignments Ul "Ie,. contrilct with
    paid the cost of
    However,respondent No.2 has not been

    Scanned with CamScanner


    s
    transportation no! ont r I .
    y or llc suhJect matter con~ignrncnts but

    also for other consignments. Therefore rc~p()ndcnt No.2 10

    accordance with its statutory and conlra~lual right, n

    exercising its lien Over the subject matter goods lill ils dues ilre

    paid. The total amount receivable by respondent No.2 from

    • respondent NO.1 for which respondent NO.2 is exercising lien

    afe as under:~

    S.No. Particulars Amount


    (in Rs.\
    L Amount admitted by Respondent No.1 5,91,11,527/.
    on 10.07.2019

    II. VAT to be reimbursed by Respondent 1,31,92,502/-


    NO.1 In terms of its E.mail dated
    06.09.2018

    •• ...
    lll. Cost of transportation,
    charges (as on
    container hire
    ) and other dues
    1,41,91,791.26

    In respect of petitioner's subject


    matter consignment.

    Totnl 8,64,95,820.26

    Scanned with Cam$canner


    3. TIt"
    1a It IS submillcd that the amount mentioned in para 2 above
    ,
    ,I•
    •
    ;
    is on minimum basis, though respondent NO.2's total claim

    against respondent NO.1 is for an amount of Rs.15,02,29,335/_.

    4. That on 19.02.2020, respondent NO.2 has received a letter

    dated 18.02.2020 written by respondent No.1 to respondent

    • No.3, whereby respondent No.1 has assigned its right to

    receive payments for its following invoices from respondent

    No.3 to respondent NO.2:-

    S.No. Date Invoice Amount


    No. (USD)

    • 91002065 32,702.32
    I. 21.01.2019
    06.01.2019 400330 93,420.00

    •
    II.
    ... 11.02.2019 400331 242,385.00
    Ill.

    IV. 31.03.2019 91002101 68,957.67


    v. 31.03.2019 91002107 133,655.62
    VI. 19.04.2019 91002108 77,929.28
    V1I. 25.02.2019 91002071 12,918.92
    VIII. 16.04.2019 009/19-20 - 7,603.46
    Total 669,572.27

    Scanned with CamScanner


    5, That as per the an'angcment mentioned in re~pondent
    - NO.I's

    aforesaid letter dated 18.02.2020, respondent N0.2 will


    ' receive

    payment of USD 6,69,572.27 directly from respondent No.3

    without involvement of respondent N 0..1 R espondcnt NO.2 has

    no objection to the aforesaid arrangement pro,,'d


    1 ed respondent

    • No.3 also accepts the said arrangement and give limelinesfor

    making the payment of USD 6,69,572.27 directly to


    ,
    respondent NO.2. ,
    ,

    6. That respondent NO.3 has not made its stand clear on

    respondent NO.1's aforesaid letter dated 18.02.2020.

    That respondent NO.2 undertakes to release the consignment

    • 7,
    from its lien within such time as may be determined b)this

    Han'ble Court on respondent No.3 accepting the arrangement

    mentioned in respondent No.1 's letter dated 18.02.2020and •

    giving timelines for making payment of USD 6,69,572.27 •

    directly to respondent No.2.

    Scanned with CamScanner


    s

    8. That the arrangement mentioned in respondent No.l's letter

    dated 18.02.2020 is not prejudicial to any of the party before

    this Hon'ble COUlt.

    Prayer

    It is therefore most respectfully prayed that this Hon'ble Court

    • may kindly direct respondent No.3 to make its stand clear with

    reasons in respect of arrangement contained in respondent No.l's

    letter dated 18.02.2020.

    This Han'ble Court may further he pleased to pass suchand

    further orders which this Hon'ble Court may deem fit and prop;:r in

    the facts and circumstances of instant case .

    •
    ,,
    Prayed accordingly.

    yoocsh Shann a
    o .
    Date.: _ Authorised RepresentaL",'d'
    Place New Delhi S . sPvt ..
    Atlus Shipping ervlccd ,'No.2
    Respoll en

    Scanned with CamS canner


    .01 """'"

    Disbu~ment Of Payments

    Shlikont Karel<ar<shli<a nt.<ar.kar@oialliance.com>


    91~""""O,ll'''
    r•••
    r« ~<"""'_-....'
    C<o_'_'P''''
    __ '-".1""_"" __ "_"" <,. ,,; o.....~_.•.<"'~.••
    •
    >; •• ~_ •••••.••
    <~ >
    •••••••.••

    0«: sc ""'og; <><'.<tog<-.n<t., ••••,; 0.;;..0 0.. • ",... •• ,_.""".


    Dear Sir,
    This has reference to your mail dated 26 August 20Z0,We would like to bring to your kind not;ce that !he
    healing of our case in HOl'\Orable Delhi high court is scheduled on 9th Sept 2020, however, we were acquainted
    Ihat lhe heanng is postponed for 10 November 2020,
    The matter is prol9'-'Qed since Mard'l:2019 and tile site is closed from the said date. The mater~) of OIA .md
    BHEL is laying al Moroni port. A:> requested in our several communications, we once again request you to
    disburse our pending payments to mls Atlas shipping so thai they will deliver the matenallo site aoowe will
    remob<llze the site aM resume the woril:.
    we seek one joint meeting withal! slake holders (OIA,BHEL,Atlas Shipping) to resolve the abolle said matter
    urgenlly so Ihal we 'Mil remobilize ttle leam 10 restart the work.
    Awaiting for yourearliesl response.

    Regards,
    Shrikanl Karekar,
    Project Manager

    • Comoros,

    ___ ...••__.~.,____
    " ..•• ~ ".",_,

    You might also like

    pFad - Phonifier reborn

    Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

    Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


    Alternative Proxies:

    Alternative Proxy

    pFad Proxy

    pFad v3 Proxy

    pFad v4 Proxy