K’taka Contractors’ delegation meets Shivakumar, seeks release of Rs 38,000 crore pending dues
Bengaluru: A delegation of the Karnataka State Contractors’ Association, led by its President R. Manjunath, met Chief Minister D.K. Shivakumar at his official residence, Krishna, on Monday and urged him to intervene for the immediate release of nearly Rs 38,000 crore in pending payments due to contractors across various government departments since 2021-22.
The delegation, comprising association office-bearers, submitted a representation to the Chief Minister highlighting several issues faced by contractors, including delays in clearing pending bills.
The association said nearly 1.5 lakh contractors and their dependents were facing financial difficulties due to the prolonged delay in payments. It also recalled Shivakumar’s earlier assurance that the pending dues would be cleared within two months and urged him to take immediate action.
Chief Minister’s Economic Adviser L.K. Atheeq, Additional Chief Secretary Tushar Girinath, Finance Department Additional Chief Secretary Ritesh Kumar Singh and other senior government officials were present during the meeting.
The contractors’ association urged the state government to stop inviting tenders for works without budgetary allocations and ensure that pending bills are cleared before new development projects are taken up.
It also sought the abolition of the package tender system and an end to what it alleged was interference by legislators in the tender process. The association further demanded that the work experience and turnover eligibility period be extended to 10 years.
Among its other demands, the association sought the release of the 8 per cent VAT-GST differential amount for 2017-18 and 2018-19 and the withdrawal of the mandatory Contract Management Module requirement for releasing payments.
The delegation also raised concerns over delays in payments for Jal Jeevan Mission projects, funds allocated for Kalyana Karnataka and payments allegedly withheld by the Greater Bengaluru Authority, seeking the Chief Minister’s intervention to resolve the issues.
It further alleged irregularities in the Karnataka Forest Department’s tendering process, claiming that works worth thousands of crores of rupees had been awarded under Section 13(B) without following due procedures.
The association urged Shivakumar to convene a meeting with the concerned ministers, department secretaries and senior officials to discuss the issues and find an early resolution.