Keetmans Council contemplates legal action

Keetmans Council contemplates legal action

DESPITE experiencing cash-flow problems, the Keetmanshoop Town Council is contemplating legal action against a Windhoek-based construction company for alleged “substandard workmanship”.

This was revealed at the Council’s tenth ordinary meeting held last month. The Council resolved to seek legal advice in order to take KL Construction Company to court.In 2004 the Council awarded a N$3 million tender to the company to build a two-kilometre-long tarred road in the Tseiblaagte and Kroenlein residential areas.When approached for comment, the manager of KL Construction, Achim Saeck, denied that the company’s work was substandard.He said the road was built in accordance with a consulting engineer’s specifications, but because the Town Council had defaulted on monthly payments, the tender agreement was terminated before the road was completed.”Therefore the company was not even bound to a one-year maintenance contract to repair any defects after project completion,” he added.When the agreement was terminated, the company instructed its lawyers to recover N$1 million in outstanding payments from the Council, he said.According to Saeck, the Council still owes the company N$100 000.It also emerged at the Council meeting that the Council had failed to honour an agreement with NamWater to pay outstanding water fees in instalments because it first wanted to settle its account with KL Construction.The Town Council was granted an extension of 36 months to settle its debt with NamWater.The Council resolved to seek legal advice in order to take KL Construction Company to court.In 2004 the Council awarded a N$3 million tender to the company to build a two-kilometre-long tarred road in the Tseiblaagte and Kroenlein residential areas.When approached for comment, the manager of KL Construction, Achim Saeck, denied that the company’s work was substandard.He said the road was built in accordance with a consulting engineer’s specifications, but because the Town Council had defaulted on monthly payments, the tender agreement was terminated before the road was completed.”Therefore the company was not even bound to a one-year maintenance contract to repair any defects after project completion,” he added.When the agreement was terminated, the company instructed its lawyers to recover N$1 million in outstanding payments from the Council, he said.According to Saeck, the Council still owes the company N$100 000.It also emerged at the Council meeting that the Council had failed to honour an agreement with NamWater to pay outstanding water fees in instalments because it first wanted to settle its account with KL Construction.The Town Council was granted an extension of 36 months to settle its debt with NamWater.

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