K’taka contractors set November deadline for Rs 38,000 crore pending dues, allege funds used for guarantees
Bengaluru: The Karnataka State Contractors’ Association on Wednesday alleged that around Rs 38,000 crore in payments were pending across eight government departments and warned that if the pending dues are not cleared by November, they would release documents related to bribes received as commissions. The association has also charged that their funds have been utilised to fund guarantee schemes by the Congress government.
The association has further claimed that contractors who paid commissions were being prioritised for the release of their bills.
Addressing a press conference, association President R. Manjunath alleged that the commissions demanded from contractors had increased compared to the previous government and claimed that contractors’ pending payments were being diverted to fund the state government’s guarantee schemes.
Manjunath said Chief Minister D.K. Shivakumar had earlier assured contractors that their pending bills would be cleared by June 30, but alleged that the government had failed to honour the assurance.
He also criticised the Congress government for its handling of the contractors’ concerns, recalling the agitation led by former association president Kempanna against the previous BJP government over allegations of a 40 per cent commission.
“Congress utilised Kempanna during its campaign and used to call him at odd hours. After the Congress government came to power, Siddaramaiah forgot us. He did not help us. We met him several times, but he did not care to respond,” Manjunath alleged.
The President said Shivakumar and PWD Minister Satish Jarkiholi had visited contractors during their agitation and assured them that all pending dues would be cleared after the Congress government came to power.
Manjunath urged the government not to use funds meant for contractors’ bills for guarantee schemes. “We have no connection with the guarantee schemes. The government should arrange funds from other sources and release our money,” he said.
He warned that if the government failed to release the pending payments by November, the association would release documents related to alleged commission payments.
The association also announced plans to intensify its agitation at the district level. Manjunath said contractors would undertake padyatras to the offices of Deputy Commissioners and submit memoranda if Shivakumar failed to convene a meeting with them.
Raising another issue, Manjunath alleged irregularities in the Karnataka Forest Department’s practice of awarding works under provisions referred to as 13B and 13C. He claimed that works worth hundreds of crores had been entrusted to officials and said the association had documents relating to the practice over the past four years.
He said Forest Minister Ramalinga Reddy had recently stopped the practice and explained that 13B and 13C provisions involved entrustment of works rather than awarding them through tenders.
Manjunath said contractors often did not know whether funds had been allocated when tenders were called. At the same time, he claimed that if local contractors did not participate, financially stronger contractors from other states could secure the works.
He claimed that around 1.5 lakh contractors had been facing financial difficulties for the past four to five years due to payment delays.
Manjunath said PWD Minister Satish Jarkiholi had been supportive of contractors and that the PWD department was providing them some relief. He also said Minister Krishna Byre Gowda had been cooperating with the association.
The contractors’ association has been engaged in a prolonged dispute with the Congress government over pending bills.