Chandigarh: Contractors stop work over non-payment of dues

The contractors said that in such a scenario, it was impossible for all contractors to carry out further work as they were facing a very hard time due to the non-release of payments by the Municipal Corporation.

Written by Hina Rohtaki | Chandigarh | Published: May 12, 2018 10:27:37 am
Contractors stop work over non-payment of dues Contractors during protest in Sector 17, Chandigarh, on Friday. (Express photo by Kamleshwar Singh)

CONTRACTORS working for the Municipal Corporation (MC) stopped work on Friday over non-payment of funds. Around 150 contractors protested against the civic body outside its office in Sector 17 during the day.

The contractors have threatened to turn off the supply of tube well water which most of them are managing and lock public toilets, the maintainance of which lies with some of them, if their dues were not cleared.

Among those works which were halted on Friday were the laying of Ductile Iron pipelines at Ramdarbar, Mauli Jagran, Manimajra and installation of paver blocks at Sector 22, Kajheri, Industrial Phase II and other parts of the city. Also, the work of laying sewerlines which was going on at Maloya Colony, Dhanas, Indira Colony and Manimajra have also been stopped.

Hari Shankar, a contractor of public health, said that they have given time to the mayor to clear their dues by May 20. “The mayor said that there is a financial crisis at the Municipal Corporation and there would be a meeting on May 16. We have given them time till May 20 and if our dues are not paid, we will shut the water supply from tube wells and public toilets,” he said, adding that contractors were managing the maintenance of tube wells and public toilets under the Municipal Corporation.

The agitating delegation of the contractors’ association met Mayor Davesh Moudgil in this regard.

During the meeting, the contractors submitted a memorandum to the mayor in which they conveyed that they have not received any payment since the month of February this year for any work that includes maintenance of water supply, sewerage and stormwater, operation and maintenance works, plan works and non-plan works.

The contractors said that in such a scenario, it was impossible for all contractors to carry out further work as they were facing a very hard time due to the non-release of payments by the MC.

A meeting with MP Kirron Kher has also been fixed for Saturday.

Works stalled:

  1. Installation of paver blocks at Sector 22
  2. Installation of paver blocks at Kajheri
  3. Installation of paver blocks at industrial Area Phase II
  4. Laying of DI pipelines at Manimajra
  5. Laying of sewerlines at Maloya Colony, Dhanas, Indira Colony and Manimajra
  6. Laying of DI pipelines at Ram Darbar and Mauli Jagran

Due to financial crunch, bills amounting to Rs16 crore to contractors for works already completed by them have been returned. Not just have the new development-related agendas been stopped but the existing work of road recarpeting, sewerage, green belts and toe walls for an amount of Rs 20 crore have been put on hold.MC’s financial position

* Annual committed liabilities for 2018-19 financial year Rs 492 crore.
* Expected own receipts of the MC for 2018-19 fiscal Rs 171 crore.
* Funds allocated under GIA by the UT Finance Department to MC Chandigarh Rs 267 crore.
* Total income of MC Chandigarh 2018-19 Rs 171 crore + Rs 267 crore = Rs 438 crore.

Still shortfall of Rs 54 crore (Rs 492-438 crore = Rs 54 crore) even for meeting, paying salary and other committed liabilities.

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