Construction Firm Sues BMA & Governor for 50 Million Baht Over Training Centre Project

[Georgealbert]

 

 

Ngamwongwarn Construction is suing the Bangkok Metropolitan Administration (BMA) and Bangkok Governor Chadchart Sittipunt, seeking 50 million baht in damages. The lawsuit claims compensation for losses incurred following the abrupt cancellation of the Fire Prevention and Rescue Training Centre construction project.

 

According to court documents, the plaintiff has detailed a breakdown of the damages, which include:

 

• Project Bid Preparation Costs: 590,000 baht for initial project preparation.

• Project Management Expenses: 3.7 million baht in salaries for essential project staff (manager, engineer, and architect), along with 11.3 million baht for setting up a prefabricated office and crane. An additional 100,000 baht was reportedly spent on bid submission.

• Bid Guarantee Fees: 34.3 million baht paid in bid guarantee fees, with another 556,806 baht incurred after the cancellation.

• Damages from Unused Guarantee: Calculated at 3.9 million baht (5% per annum over 27 months) due to lost financial opportunity.

• Loss of Expected Payments: A projected loss of 30.9 million baht in expected payments, as well as a 1 million baht expense attributed to the construction work valued at 634 million baht. The overall claim for damages totals 51.6 million baht, though only 50 million baht is being sought.

 

The lawsuit asks the Administrative Court to:

 

1. Overturn the BMA’s cancellation of the bidding process.

2. Require the BMA to resume the bidding process and continue contract negotiations.

3. Extend an invitation to Ngamwongwarn Construction to sign a contract.

4. Compensate the plaintiff with 50 million baht in damages, plus 5% interest until fully paid.

5. Cover the plaintiff’s legal and attorney fees.

 

The claim emphasises Ngamwongwarn Construction’s financial investments and projected losses due to the BMA’s decision to halt the project. Governor Chadchart Sittipunt and the BMA have yet to issue a public response to the lawsuit. The court’s decision could have significant implications for future public contracts and projects managed by the BMA.

 

File picture for reference only.

-- 2024-11-05

 

[ChrisY1]

"34.3 million baht paid in bid guarantee fees".....wow..this novel!

I don't blame them for suing...sounds like a pretty profitable scam!

[Gottfrid]

Good Luck!

[hotchilli]

7 hours ago, Georgealbert said:

The lawsuit asks the Administrative Court to:

 

1. Overturn the BMA’s cancellation of the bidding process.

2. Require the BMA to resume the bidding process and continue contract negotiations.

3. Extend an invitation to Ngamwongwarn Construction to sign a contract.

4. Compensate the plaintiff with 50 million baht in damages, plus 5% interest until fully paid.

5. Cover the plaintiff’s legal and attorney fees.

Best of luck...