No takers for Infotech site; auction flops for second time in 3 months

Chairman questions private firms role; lakhs spent go down drain.

Punjab Information and Communication Technology Corporation Limited (Infotech) once again failed to sell its prime commercial site,which found no takers at an open auction that turned out to be a complete flop show at Mohali here Friday. This was despite the fact that the government agency had slashed by 25 per cent the reserve price of 1.52 acres site meant for setting up a commercial complex,including shopping mall,retail complex,multiplex,hotel or any other allied facility,at IT Park,Sector 67 here after finding no takers for it during the previous auction that had flopped on February 1.

Upset over the second consecutive flop show in less than three months,Infotech Chairman Harjit Singh Grewal has questioned the role and work of Knight Frank India Pvt Ltd,a private firm hired as a transaction advisor. Calling for a detailed report from administrative officials on the reasons for the flop show,Grewal told Newsline that he would take up the matter at the next Board of Directors meeting and certainly put to task whoever is found responsible for Infotechs failure despite spending heavily on conducting the auction twice.

Besides paying around Rs 10 lakh to the private firm,official sources revealed that several lakhs of rupees were spent on the advertisement and publicity campaigns undertaken for both the auctions. However,senior Infotech officials seem least bothered about the failure as they took solace by claiming,Some prospective buyers did come to the auction but none of them participated.

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Asked about the reasons for their non-participation and how it benefitted the company if some persons came but did not make any bids,Infotech Senior Executive Director (Technical) Dr R K Sangwan said,We are still to evaluate the reasons for it. On the role of the private firm,Sangwan remarked,Few persons appearing at the auction site proved that the firm really worked to conduct the advertisement and publicity campaign successfully.

Wrong Timing?

One of the reasons for the flop of the auction was felt to be wrong timing. In summer,no reasonable mind would justify holding an auction at 2 pm,that too under the direct sun, felt market experts. Also,the lack of proper signboards and arrangements at the auction site were felt to be another reason for the failure.

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No takers for Infotech site; auction flops for second time in 3 months

Chairman questions private firms role; lakhs spent go down drain.

Chairman questions private firms role; lakhs spent go down drain.