May 5: The Samdrupjongkhar district court slapped a fine of Nu. 5,59,000 on K Gangri Construction for breach of contract terms. The company was awarded the contract to construct a 14 kilometre farm road in Jomotshangkha Dungkhag.

The verdict was passed on Monday, May 3. The contract to construct the 14 kilometre Serthi-Lauri farm road was awarded to K Gangri Construction in February 2007.

Funded by the International Fund for Agriculture Development, the contract was worth close to Nu. 10 million. The farm road was supposed to be completed in February last year but the contractor failed to complete it on time. He was given an extension of six months.

Despite the extension, the contractor could only construct about three and a half kilometres. The dzongkhag terminated the contract in November last year.

The contractor said the work was delayed because there were more blasting and excavation works than anticipated.

The contractor said the verdict is not fair and that he will appeal to the high court. The construction of the road has now been taken up by the dzongkhag.