HC directs Centre, state to expedite payments to Assam flood control contractors

Guwahati, Aug 14: The Gauhati High Court has set timeframe for the State government and Centre for releasing payments due to contractors of various flood control schemes that were part of the 11th Plan.

A group of contractors had filed separate petitions over non-payment of dues, despite completion of the works and certification from government engineers.

The stand of the State government was that the contractual dues of the petitioners have not been paid, due to the fact that the Central government has not been releasing their share of the funds pertaining to the Flood Control Schemes that have been implemented in the State of Assam. The State government has, however, released their share of the funds. As and when the Central government releases its share of the funds, the petitioners would be paid their contractual dues.

A coordinate bench of the court had in 2022 set a time frame of four months for clearing the pending dues of the petitioner contractors, but the payments have not been made yet.

The Central government admitted that Rs 10.84 crore were still due to contractors and not Rs 42.83 crore as claimed, as a number of the 17 schemes (11th Plan) which had not been completed, had been foreclosed. Some payments, pertaining to the State government, are stuck due to delay in audit clearances.

The Office of the Chief Engineer, Water Resources Department, has been asked by the high court to submit replies to the AG (Audit) Office at the earliest, which would enable the AG’s Office to take a decision. The entire exercise should be completed within a period of one month from today, the court directed.

“The facts enumerated above clearly show that though the State government had prepared Flood Management Projects/Schemes with a fixed requirement of funds, the fund requirement aspect was not accepted by the Government of India. Thus, it is clear that the liability of the Government of India can only be limited to the amount of funds it has approved for payment for the Flood Management Projects/Schemes in question,” the court said.

A bench of Justice Michael Zothankhuma directed the Ministry of Jal Shakti to release the arrear funds of Rs10.84 crore in respect of the 17 schemes within a period of two months.

The court ruled that State and Central government will have to pay the bills of the contractors for work done even on the foreclosed schemes, if the work orders had been issued prior to the foreclosure of the schemes in 2019, as per their respective shares.

The entire exercise should be concluded within six months.

By

Staff Reporter