Karnataka Contractors Demand Immediate Payment of ₹38,000 Crore Dues from CM Shivakumar
Contractors in Karnataka urge CM Shivakumar to expedite payment of ₹38,000 crore in pending dues affecting 1.5 lakh families.
Bengaluru, November 2 (Daily Kiran) : The Karnataka State Contractors Association has appealed to Chief Minister D.K. Shivakumar for the immediate release of approximately ₹38,000 crore in pending payments owed by various state government departments. The association highlighted that delays in payments since the 2021-22 fiscal year have left around 150,000 contractors and their families in financial distress.
In a memorandum presented to the Chief Minister on Monday, the contractors reminded the government of its previous assurances to settle all outstanding dues within two months. However, they expressed concern over the lack of tangible progress in this regard.
The association also called for a halt to the tendering process for new projects that do not have budgetary provisions. They emphasized the need to ensure that pending bills for existing projects are settled before initiating any new development work.
Additionally, the contractors demanded the abolition of the package tender system, the prevention of interference by public representatives in the tendering process, and an extension of the eligibility period for work experience and turnover to ten years.
The memorandum further requested the release of the 8% VAT-GST differential amounts for the fiscal years 2017-18 and 2018-19, as well as the withdrawal of the mandatory contract management module condition for payment processing.
Concerns were also raised regarding delays in payments for projects under the Jal Jeevan Mission, the distribution of funds allocated for the welfare of the Karnataka region, and payments withheld by the Greater Bengaluru Authority. The contractors urged the Chief Minister’s intervention to resolve these issues.
Moreover, they accused the Karnataka Forest Department of irregularities in its tendering process, claiming that projects worth thousands of crores were awarded without following established procedures under Section 13(B).
The contractors requested the Chief Minister to convene a meeting with relevant ministers, departmental secretaries, and officials to address these issues promptly, allowing for relief for contractors and acceleration of development projects.
