Firm cries foul in hockey centre deal

John G. Cassar Ltd yesterday filed a judicial protest in the First Hall of the Civil Court holding the Hockey Association, Malta liable to damages.

The company claimed that since October 1999 the association had been involved in negotiations with it for the purchase and installation of an artificial grass surface and shock pad for the National Hockey Centre, Corradino. At no time did the association ever mention the fact that the award of the contract would be effected following the issue of a tender. On the contrary, the association had always led the company to believe that the negotiations were aimed at concluding a direct contract once agreement was reached on the price and on the terms and conditions that regulated the sale.

John G. Cassar Ltd said it had entered into the negotiations in the utmost good faith and had even revealed the name of the foreign company it represented and details of the product it was offering at the lowest price this could be sold at in Malta. The company said it had also incurred considerable expenses that exceeded what it might have expected to incur when submitting a tender.

On November 30, 2001 the company had provided its final offer to the association and had quoted a price of Lm16.24 per square metre of artificial grass surface and shock pad. The product offered by the company was approved by the International Hockey Federation as satisfying the latter`s own specifications.

However, on January 9 this year, the association abandoned all negotiations with the company even though the talks had reached their final stage. The association decided to issue a call for tenders for the supply and installation of the artificial grass surface.

The company said it was further aggrieved when it noted that the tender documents did not require that the product offered had to comply with the requisites specified by the International Hockey Federation.

When the tenders submitted were opened, John G. Cassar Ltd noted that the cheapest offer made was that of a firm in which David Agius, the association`s secretary, had an active interest. The secretary was also a member of the association`s technical committee and was directly involved in the negotiations that had been underway for some time with John G. Cassar Ltd prior to the issue of the call for tenders.

The association had decided, contrary to all principles of justice, to allow an offer to be made by a firm in which its own secretary had an active interest even though the association was aware that its secretary had been privy to the precise terms and conditions offered by John G. Cassar Ltd.

The company said it resulted that the firm in which the secretary had an active interest had submitted a tender quoting a price that was only three cents cheaper per square metre to that quoted by John G. Cassar Ltd in its final offer. The firm`s product was not approved or accredited by the International Hockey Federation and it included a shock pad that was inferior to that offered by John G. Cassar Ltd.

By means of a letter of February 25, John G. Cassar Ltd had formally registered its objections and had made a reduced offer that cut the price by 13 cents per square metre.

However, despite various letters from the association specifying that it was considering the company`s latest offer, John G. Cassar Ltd said it had not received any conclusive decision from the association about its objection or about the reduced offer it had made.

John G. Cassar Ltd said it was seriously worried about the tendering process because the fundamental principles of justice did not seem to be applied. It called upon the association to reply to its objections and held it liable in damages.

Dr Norval Desira signed the protest.