Usman Merchant for Mumbai Mirror
Bangalore, Jum 15: Two days after Karnataka Chief Minister H D Kumaraswamy alleged that the promoters of the Bangalore-Mysore Infrastructure Corridor (BMIC) had tried to bribe him, his government came in for a major embarrassment when a cheque issued by it to the promoters of the project bounced on Wednesday.
The Rs 5 lakh cheque was issued in favour of Nandi Infrastructure Corridor Enterprise (NICE), promoters of the BMIC, by the state Public Works Department after a Supreme Court directive on April 20 ordering the government to pay this amount to NICE as exemplary cost for opposing the project with “mala fide intention”.
The cheque — which was issued on May 26 this and presented by the NICE for collection last week — was retuned on Wednesday due to the lack of funds in the PWD department’s account, according to NICE managing director Ashok Kheny.
“How can this government talk about taking over a multi-crore project when it cannot make a payment of Rs 5 lakh,” he said in an apparent reference to the government’s moves to take over the BMIC project by means of a new legislation.
Principal secretary (PWD) P B Mahishi admitted the cheque issued by his department had bounced but said it was due to some computer error as a result of which the amount in the PWD department’s account was shown incorrectly.
He also said the cheque had bounced last week itself and the government had asked the NICE to present it again for collection but the company refused to do so.
“Therefore we have now issued a local demand draft in favour of the NICE to ensure that they receive the amount as directed by the Supreme Court,” Mahishi added.
The Rs 2250-crore BMIC project which comprises a 111 km express highway and five satellite townships between Bangalore and Mysore has been in the news of late with Karnataka Chief Minister H D Kumaraswamy himself leading a campaign against the promoters of the project.
• How can this government talk about taking over a multi-crore project when it cannot make a payment of Rs 5 lakh?
— Promoter firm NICE managing director Ashok Kheny