Opposition fury at civil aviation contract

MAIN opposition party DISY yesterday cast grave doubts on how the government is handling the restructuring of the civil aviation department in the wake of Cyprus’ worst air tragedy last August.

Last week, it emerged that the government had assigned an American air transport consultancy firm to carry out a “diagnostic report” on the department to outline shortcomings. The company, SH&E, was the same that back in 2000 had conducted a viability report for Hellas Jet, a subsidiary of Cyprus Airways, which last May was closed down after amassing debts of over £50 million.

The groundwork for the signing of the contract with SH&E was laid by President Tassos Papadopoulos himself, while on an official visit to the United States. Apparently, Papadopoulos had invited company experts to the island. Within days, the Cabinet directly awarded the contract to SH&E without inviting tenders

Yesterday, DISY’s no.2 Averoff Neophytou called a news conference, asking the administration to answer seven “crucial” questions:

1. Why did the President, who is no expert, and has no right to circumvent government procedures, personally undertake commitments with an American company on behalf of the government?

2. Why did Papadopoulos forget about the assistance from EU aviation experts, which he had requested in the first place? In a written statement issued on August 29, the President called on European experts to submit proposals for upgrading Cyprus’ civil aviation. Whatever became of this idea, wondered Neophytou.

3. Will European experts be coming to the island or not?

4. Is the government aware that air safety manuals used in the USA are based on standards different to those that apply in Europe? If so, why has the government opted for a company based in the United States?

5. Did the President know that SH&E had advised Cyprus Airways that Hellas Jet would be a viable enterprise?

6. How right is it for the President to intervene in state contract procedures, and is this intervention consistent with the institutions of the Republic?

7. Is the government certain that Papadopoulos’ intervention does not breach legislation governing public tenders?

“We all agree that the civil department needs upgrading as soon as possible,” noted Neophytou.
“But the government’s actions and intentions in handling this affair are baffling.”

According to the law on state procurements, the government must invite tenders for services rendered. However, in this case the diagnostic report was directly awarded to SH&E. The government is invoking a clause in the relevant law that states exceptions can be made whenever “national interest” is at stake.

But critics say this is merely a handy excuse to give the President’s unorthodox action a shroud of legitimacy.

Even the Communications Minister seemed bushwhacked by Papadopoulos’ initiative; last week the minister was unsure whether SH&E was the same company that produced the viability report for Hellas Jet.