L&T, Tech Mahindra fined Rs 1 crore for delaying smart city projects
SMART CITIES

L&T, Tech Mahindra fined Rs 1 crore for delaying smart city projects

The Pimpri Chinchwad Municipal Corporation (PCMC) has imposed a fine of over Rs 1 cr on Larsen and Toubro (L&T) and Tech Mahindra for delays in smart city projects.

The matter came forward during the meeting of the Board of Directors of Pimpri-Chinchwad Smart City Limited. The meeting took place at Auto Cluster in Chinchwad. The State Principal Secretary, Chairman Nitin Kareer, Municipal Commissioner Rajesh Patil, and other directors attended the meeting.

On Saturday, Joint CEO Neelkanth Poman said that the Board of Directors had rejected the requests made by the firms to waive their fines. However, the Board has rejected their demand. The Board had given all the relief as per the government's resolution. Besides, they had given an extension to complete the works, he added.

A total of five contractors were implementing 38 Smart City projects. Out of these, L&T and Tech Mahindra are implementing six and 16 projects, respectively, but both the firms are unable to complete the project on the allotted deadline. Therefore, L&T was fined with Rs 36 lakh, while Tech Mahindra was fined Rs 1.36 crore, Poman said. The amount is to be deduced from their bills.

He said both the firms requested the Board of Directors to waive their fine amounts, as the delay was made due to the Covid-19 pandemic and lockdown. Both the firms requested that they faced a shortage of laborers and material due to the pandemic and lockdown. They said that the migrants had gone home, and the material was not available due to lockdown in various countries.

The Board has given necessary relief under the government's resolution, and no further relief can be given to both the firms. However, the Board has provided an extension of six months to complete the project, he said.

Image Source


Also read: Over 5,000 smart city projects in 100 cities remain incomplete

Also read: Smart City scheme: Aurangabad on the verge of modernisation

The Pimpri Chinchwad Municipal Corporation (PCMC) has imposed a fine of over Rs 1 cr on Larsen and Toubro (L&T) and Tech Mahindra for delays in smart city projects. The matter came forward during the meeting of the Board of Directors of Pimpri-Chinchwad Smart City Limited. The meeting took place at Auto Cluster in Chinchwad. The State Principal Secretary, Chairman Nitin Kareer, Municipal Commissioner Rajesh Patil, and other directors attended the meeting. On Saturday, Joint CEO Neelkanth Poman said that the Board of Directors had rejected the requests made by the firms to waive their fines. However, the Board has rejected their demand. The Board had given all the relief as per the government's resolution. Besides, they had given an extension to complete the works, he added. A total of five contractors were implementing 38 Smart City projects. Out of these, L&T and Tech Mahindra are implementing six and 16 projects, respectively, but both the firms are unable to complete the project on the allotted deadline. Therefore, L&T was fined with Rs 36 lakh, while Tech Mahindra was fined Rs 1.36 crore, Poman said. The amount is to be deduced from their bills. He said both the firms requested the Board of Directors to waive their fine amounts, as the delay was made due to the Covid-19 pandemic and lockdown. Both the firms requested that they faced a shortage of laborers and material due to the pandemic and lockdown. They said that the migrants had gone home, and the material was not available due to lockdown in various countries. The Board has given necessary relief under the government's resolution, and no further relief can be given to both the firms. However, the Board has provided an extension of six months to complete the project, he said. Image Source Also read: Over 5,000 smart city projects in 100 cities remain incomplete Also read: Smart City scheme: Aurangabad on the verge of modernisation

Next Story
Infrastructure Urban

Shoals' Q3 2024 revenue falls 23.9% due to project delays, supply chain

Shoals Technologies Group, a U.S.-headquartered manufacturer of electrical balance of systems (EBOS) for solar, energy storage, and e-mobility, reported a 23.9% year-over-year (YoY) decline in revenue, which dropped to $102.2 million in the third quarter (Q3) of 2024. This decline was mainly attributed to project delays and supply chain disruptions. The company posted a net loss of $300,000, a significant improvement compared to the $9.8 million net loss in Q3 2023. Adjusted net income was reported at $13.9 million, reflecting a 58.2% YoY decrease. Adjusted EBITDA stood at $24.5 million, a 4..

Next Story
Infrastructure Energy

FTC Solar sees 67% YoY decline in Q3 revenue from lower volumes

FTC Solar, a U.S.-based provider of solar tracker systems, reported a revenue of $10.14 million in the third quarter (Q3) of 2024, surpassing analyst expectations by $240,680. However, this figure marked a 66.8% year-over-year (YoY) decline compared to the same quarter in 2023, primarily attributed to reduced product volumes. The decline in solar tracker revenue was mainly due to an 82% decrease in the amount of MW produced, which was negatively impacted by delays in customer projects. This was partially offset by an increase in the average selling price (ASP), which led to better pricing an..

Next Story
Infrastructure Urban

Dilip Buildcon wins bid for BharatNet Phase III broadband project

Dilip Buildcon announced on Tuesday, November 12, that its STL-DBL consortium had submitted the lowest bid for BSNL's BharatNet Phase III broadband connectivity project. The USOF-funded project, which aims to provide middle and last-mile connectivity in Jammu Kashmir and Ladakh, is valued at Rs.1,625.36 Crore. Dilip Buildcon holds a 70.23% stake in the implementation of the project. The project is expected to be completed in three years, and the corporation will secure a 10-year maintenance contract. In recent days, BSNL has awarded several contracts for the BharatNet project. On Monday, No..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000