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TNUHDB imposes fine on constractor for delayed project in Chennai

Apr 19 2025

TNUHDB imposes fine on constractor for delayed project in Chennai

The Tamil Nadu Urban Habitat Development Board (TNUHB) has imposed a fine of 15 lakh on a contractor for slow progress of reconstruction work at sites at Gandhi Nagar, Periyar Nagar, and Goyathoppu under the Pradhan Mantri Awas Yojana (Urban) – Affordable Housing in Partnership (PMAY-AHP) scheme. Each of these projects, involving the construction of tenements using pre-fabricated concrete technology, was awarded on a turnkey basis with a stipulated completion period of 18 months from the date of site handover. The contractor was expected to complete 75% of the work by now, as per the agreement. However, field inspections revealed delays across all locations. At the Gandhi Nagar site, only 44% of the work was completed. The Periyar Nagar project progressed even slower, with just 34% of the construction done. In Goyathoppu, work completion stands at 45%. In allcases, field officers reported that the production of precast concrete elements at the contractor's casting yard was slow. The consequences of these delays are significant. All three projects fall under vital reconstruction schemes by TNUHDB, and the intended beneficiaries already vacated their original homes in anticipation of timely completion. Many are now burdened with rental costs as they continue to wait for possession of their new homes,"  Recognising the social and financial impact on the displaced residents, TNUHDB has levied a fine of 5 lakh for each project, amounting to 15 lakh in total.  The contractor has been directed to immediately mobilise adequate manpower and materials to bring the projects back on track. Additionally, the firm has been asked to submit a detailed micro-level action plan before April 30, outlining specific measures to speed up the work. 
 

 

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