Mikhail Ilyin made comments for Business FM on both contractors’ suspension from participating in tender for servicing of KAD

16 April 2013
In September, 2012 when servicing of KAD was first put out for tender; the initial contract value was about 1.5 billion rubles. Over the past half-year the price of the contract fell by more than 200 million rubles. Initially it was planned that the contractor will proceed to service KAD in February when the road should to be cleared of snow and treated with snow-melting agents. Meanwhile, the resolution of the issue is put on hold. Earlier on, the DSTO commission has three times prevented one of the candidates, OOO Lentransstroy, from participating in the tender procedure; this time, both candidates (in particular, Rosdorstroy) were rejected. Interestingly, the applicants made identical mistakes. Aleksei Izmaylov, official representative of GU Directorate for construction of St. Petersburg By-pass of the Federal Road Agency (DSTO) told that documents contained “false data related to specifications of materials to be used in works”. Izmaylov said that in accordance with GOST, maximum permissible concentration of 5 mg/m3 harmful substances in the air of working space corresponds to the 3 class of hazard, and not to the 4 class of hazard as specified in the tender application.

Today the Ring Road is serviced by “Rosdorstroy”, subject to temporary contracts. “Rosdorstroy” works on KAD since the day when the road was opened to traffic. We didn’t manage to contact the company top managers: contact numbers posted online either belong to another the company with the same name, or individuals. DSTO refused to provide us the telephone number of “Rosdorstroy”. Maksim Shvetsov, the official representative of Vozrozhdeniye (the business group which includes “Lentransstroy”), described protraction of the tender as “a travesty of the truth”. He believes that the company is going to lodge a complaint with the antimonopoly service and the court. “Our application is in full compliance with tender documentation, and that is the main statutory requirement. GOSTs are merely of advisory nature. In this case, specifications described in tender documents will prevail,” said Shvetsov.

Mikhail Ilyin, an expert in the field of corporate conflicts, lawyer of S&К Vertical, points out that if maintenance of a site involves health and safety issues, then GOST specifications shall apply to contractors. “The issue of validity of dismissal depends on how the court qualifies the moment when participants were dismissed,” explained Ilyin. He believes that the law provides for the opportunity to dismiss contractor at any stage of the order placement.

Let's remind that the contract provides for servicing of the ring road over the period till June 30, 2014. However, given than “Lentransstroy” intends to lodge complaints and the forthcoming May holidays, it may be assumed that Rosdorstroy (the second tender applicant) will continue to service KAD at least for several weeks.

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