Contractors Association Demands immediate release of long pending payments due against Languishing Projects of JKUT

MT News Service
Jammu, January 19:

S Balvinder Singh Gen Secretary J&K Contractors Co-ordination Committee while addressing the press conference flayed the Government and Finance Department in particular for a huge delay of about 06 months in clearing the bills for the works already completed under Languishing Projects scheme.

In a statement issued to mercury times, several developmental works have been taken up under this project out of which so many works have been completed by the contractors and bills have been passed by the PWD offices and sent to Finance Department for payment after completing all requisite formalities such as Technical Sanction and Administrative Approval but for last 06 months, the Finance Department could not arrange funds for this prestigious projects, whosoever when contacted the Finance Department makes one or the other excuse but no clear commitment is made.

It is very strange and surprising that the Finance Department itself issued Circular with reference to Government Order OM No. F.1/1/2021 Dated 29-10-2021 on expenditure procurement policy categorically states in item No. 12 Para 12.1 reads- “aligning the interest of stakeholders” delay in eligible payment to contractors lead to delay in execution of projects and disputes. Hence, adhoc payments of not less than 75% of eligible running bills due stage/payment shall be made within 10 days of the submission of the bill by the contractor, the remaining payment is also to be made after final checking of the bills within 28 days.

In case due payment has not been released within 10 working days as per prescribed above, it shall be made as soon as possible. After payment a written explanation for the delay shall be submitted to next higher authority within 03 months.

Para 12.2 reads as public authorities may put in place a provision for payment of interest in case of delayed payment of more than 30 working days, after the submission of bill by the contractor, the rate of interest should be the rate of interest on G.P.F. Notwithstanding the above circular the Finance Department is sitting over the issue of payments to the hapless contractors who have been suffering for last 06 months, bills amounting to Approx. Rs. 250 Crores are already lying with the Finance Department and several bills are in pipeline, it is also noticed that some bills are being sent back to PWD(R&B) Department with some unwanted queries to suppress the load of bills on Finance Department.

Singh also criticized the one sided approach of the authorities to warn to black list those contractotrs who fail to complete the work within the prescribed time but themselves failed to arrange funds for release of payments to the contractors as per the instruction in the circular, quoted above,. Which resulted the stall of all ongoing languishing projects.

All present there urged upon the Lt Governor Jb Manoj Sinha to kindly intervene as all convcerned authorities has totally failed to address the most burning issues of the Contractor.

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