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Hit by Rs 50 cr dues, 19-storey structure for sr officials in limbo

Sources added that the board was yet to give permission for the additional seven floors that were later added to the project.

Hit by Rs 50 cr dues, 19-storey structure for sr officials in limbo
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Representative image (Photo: TNHB)

CHENNAI: Having run up dues of Rs 50 crore to be paid to the construction firm, the Tamil Nadu Housing Board’s 19-storey high-rise project for All India Service officers in Nerkundram is staring at the possibility of stoppage of work.

Sources added that the board was yet to give permission for the additional seven floors that were later added to the project.

The construction of more than 450 apartments for officers of All India Service (IAS, IPS, etc.) is now in limbo as the Ramalingam Construction Company, the engineering contractors for the self-financing project, has written to the TNHB about possible stoppage of work due to non-payment of pending bills due to excess quantities carried out.

According to sources, permission was given only for 12 floors, but it was later decided to go up to 19 floors. “Permission to go up to 19 floors is not yet given by the board,” a senior TNHB official disclosed.

In the letter to the board, the construction firm said though 785 days have lapsed since it sought approval for additional floors and funds, the board has been dodging the request.

“If all the pending payments were not made within this month end, we are constrained to state that there is no alternative except to stop the work,” the letter cautioned TNHB.

The letter claimed that the firm had in December 2021 already notified the inadequate provisions in several items in the contract. “We stated that the structure could be executed only up to 12 floors due to inadequate provisions of several items in the contract, with a request to access the accurate provisions required to complete the project up to 19th floor and take action to get approval from the appropriate authority,” the letter added.

This self-financed project is a prestigious one of the State housing board, the second high-rise it is building for All India Service officers like Tamil Nadu All India Service Housing Apartments (TAISHA) in Nerkundram.

VP Raghu
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