BBMP contractors slam government’s decision to freeze bill payments

However, Congress leaders maintain that this action is routine when any new government is formed

May 23, 2023 10:27 pm | Updated May 24, 2023 12:33 pm IST - Bengaluru

Members of Karnataka State Contractors’ Association staged a protest to draw the attention of the Government regarding its various demands and issues in Bengaluru on January 18, 2023. File photo

Members of Karnataka State Contractors’ Association staged a protest to draw the attention of the Government regarding its various demands and issues in Bengaluru on January 18, 2023. File photo | Photo Credit: Sudhakara Jain

The State government’s decision to freeze payments of bills for all ongoing and completed works of various departments has now infuriated Bruhat Bengaluru Mahanagara Palike (BBMP) contractors whose payments have been pending since 2021. 

It should be noted that, the allegations of previous Bhartiya Janata Party (BJP) government demanding 40% commission to clear bills was picked up by the Congress as one of the key poll planks in the recently concluded Assembly elections in the State.

In the normal course

Terming the decision of the new government “unfair”, BBMP contractors said the move would further deteriorate their financial plight. However, Congress leaders maintained that this action is normal recourse when any new government is formed.

K. T. Manjunath, president, BBMP Contractors’ Association, speaking to The Hindu said over 1,000 contractors were affected by this decision and their debts have been mounting. Under the previous government, the alleged 40% commission drained the pockets but now the hopes of recovery after a new government assumed office is also wearing thin, he rued. Mr. Manjunath said the association will seek an appointment with Chief Minister Siddaramaiah to request him to withdraw the order failing which contractors will stage a protest in the city.

Tushar Giri Nath, Chief Commissioner, BBMP, said since May 6, payments were withheld for election purposes. Now with the government notification, this would continue until further orders. Mr. Giri Nath said that the bills of completed works in 2021 which comes about ₹400 to 450 crore is still to be paid and ₹600-650 crore that was received by the BBMP from the State government under Amrit Nagarothana Scheme recently was also withheld. Many ongoing works also come under the same. 

‘Will assure contractors’

Ramalinga Reddy, Congress leader and BTM Layout MLA, said withholding of payments is usual business whenever a new government is formed. After reviewing the works and completing other procedures, payments will be made. Mr Reddy said, “I will talk to the BBMP contractors and assure them that payments will be released soon.”

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