The ICourt has ordered that the irregularities in the steel price hike be investigated through appropriate legal action.
Coimbatore: The ICourt has ordered that the irregularities in the steel price hike be investigated through appropriate legal action.
Udayakumar, the Chairman of the Coimbatore Contractors Association and KCP Secretary Chandra Prakash issued a press release in this regard. "According to the report, steel prices have peaked in Tamil Nadu. The price of steel, which was Rs. 42,000 per ton has now risen to over Rs. 72,000 per ton.
Steel prices have risen by 55 percent in the past one year. Over a dozen major steel companies have been raising syndicate board prices in the wake of rising raw material cost. It is obvious that steel companies are taking people's money as illegal profit. The Coimbatore Corporation Contractors Welfare Association, Coimbatore Builders and Contractors Association condemns steel price hike," highlighted the press release.
"The Prime Minister's Office of India has forwarded the complaint to various departments, including the Steel Authority of India, but no price reduction has been made so far. In Tamil Nadu, projects worth about 1 lakh crore rupees are being carried out on behalf of work contractors in the government and non-government sectors. Construction work is being carried out by the private sector for several lakhs of crores of rupees. Rising steel prices have hit both government and private sectors hard. Costs range from 20 to 30 percent due to the rise in pricing by government project evaluation tasks. Due to this, all the government contract work was taken up by the government contractors and they are also concerned that some have neglected to come forward to carry out project work," added the release.
"A case has been filed in the Chennai High Court on behalf of the Coimbatore Corporation Contractors Welfare Association regarding thesteel prices. The tribunal ordered that the steel price issue be investigated and action taken in accordance with the relevant legal provisions.
All parties expect the CBI to file a case under the order and conduct an inquiry into the alleged illegal profiteering in steel prices. Government projects in Tamil Nadu will only be completed if the steel prices are reduced. Otherwise government contractors will face a huge loss making us give up the projects in hand. We hope the violations come to an end," stated the release.