A table showing the arrears claimed by the contractors.
Credit: KSCA
Bengaluru: The Karnataka State Contractors’ Association (KSCA) on Friday served an ultimatum to the state government to clear their arrears, up to Rs 33,000 crore, within a month, or else threatened to call a strike from December first week, which could potentially stall civil works in the state.
Speaking at a press conference here, KSCA president R Manjunath said: “Since this government came to power two-and-a-half years ago, we are demanding payment. We met the CM two to three times. They assure but haven’t given money. They are paying only 10-15% of the payment. We will wait till November-end and after that will go on a strike and stop the work.”
He said that they would write to the national-level Congress leadership, and even try meeting the Leader of the Opposition in the Lok Sabha Rahul Gandhi.
In July 2021, the KSCA had written to PM Narendra Modi complaining that contractors were forced to pay a cut to ministers, elected representatives, and officials. This gave birth to the viral ‘40% commission’ allegation, which was among the factors contributing to the saffron party’s defeat in the 2023 Assembly polls.
According to Manjunath, there were Rs 52,000 crore dues when the Congress came to power in May 2023,
and is currently around Rs 33,000 crore from eight departments.
“Except for the Public Works Department (PWD), no one is following seniority. The package tenders by the Urban Development Department in 10 city corporations are a grave injustice against medium and small contractors. Despite meeting with the minister, there hasn’t been any use,” he added.
Manjunath urged Siddaramaiah to abolish package tenders.
He conceded that the corruption had continued under the current regime too, but refused to disclose the exact percentage or number.
‘Let them go to courts’
In response to allegations by the association, Chief Minister Siddaramaiah asked them to “go to the courts.”
‘20% commission’
However, the honorary president of the association Jagannath B Shegaji went beyond Association president R Manjunath’s statement, and alleged that “70%” of the MLAs cutting across parties in the Kalyana Karnataka region were taking a commission of 20%.
“Officers are also taking money and MLAs cutting across parties are taking 20% of the money. We will take names in the letter. If they are taking 20% for tenders only, you can imagine how much they are taking for everything.”