BENGALURU:
Karnataka State Electronics Development Corporation Limited (KEONICS) has reportedly been withholding payments to contractors for eight months. Contractors from various districts staged a protest in front of the office on Saturday, demanding the release of the outstanding amount and the continuation of the existing tender.
The contractors are demanding the immediate release of 150 crores in outstanding payments. They gathered in front of KEONICS Managing Director Sangappa’s office on the 2nd floor of TTMC, Shantinagar, demanding payment of the overdue bills. Shockingly, during the protest, a contractor named Syed attempted to poison himself.
Meanwhile, Rural Development and Panchayat Raj Minister Priyank Kharge held a meeting with officials at Vikas Soudha to address the delay in payment to contractors. KEONICS MD Sangappa participated in the meeting and assured the protestors that he would address their concerns after the meeting. However, the contractors continued to protest, shouting “Go back Sangappa, Go back Sangappa.”
There have also been allegations of commission against MD Sangappa. More than 450 contractors are suffering due to outstanding bills totaling around 150 crores.
MD Sangappa had promised to release the pending bills by October 21. However, despite being in the first week of November, the dues have not been paid, according to one contractor. The money was supposed to be released on September 15. The contractor accused MD Sangappa of delaying the commission payment by preparing and signing the cheque, only to cancel it later.
