Tuesday, June 26, 2007
KRG loses $1 mn. after U.S. company withdraws from a project
Kurdistan
(Voices of Iraq) - A foreign organization caused a one million U.S. dollar loss to Iraq's Kurdistan Regional Government (KRG) after withdrawing from a project to build a village, which was assigned to it in 2004, a source from Duhuk's municipal council said on Sunday. "As a result of the withdrawal of Mission East, a U.S. organization, from a project to build Bosla village, the KRG suffered a huge financial loss of $1 million dollars, including construction materials and workers' fees," Hamid Ahmed Saleh from the council told the independent news agency Voices of Iraq (VOI).
"Without notifying or coordinating with the local administration, the organization agreed with a number of residents to built 300 residential houses in Bosla village… Due to the insufficiency of its budget, the organization asked the administration for help," Saleh explained. "After studying the project, the number of residential houses was reduced to 150. Local residents rejected this reduction, which led the organization to leave the project, causing massive losses to the regional government," Saleh indicated. When asked about damages from the organization, Saleh said that the organization "apologized for this unintended mistake," noting that the regional government did not sue it for compensation.
"Without notifying or coordinating with the local administration, the organization agreed with a number of residents to built 300 residential houses in Bosla village… Due to the insufficiency of its budget, the organization asked the administration for help," Saleh explained. "After studying the project, the number of residential houses was reduced to 150. Local residents rejected this reduction, which led the organization to leave the project, causing massive losses to the regional government," Saleh indicated. When asked about damages from the organization, Saleh said that the organization "apologized for this unintended mistake," noting that the regional government did not sue it for compensation.
Labels: Bosla village, Duhuk, KRG, Mission East
