It is believed that despite the ‘Centre’ mediating between ‘L&T’ and the Telangana government and working out a compromise formula regarding the ‘Metro Rail’ project, the former is far from happy.
The trouble for the infrastructure giant started after the formation of Telangana with KCR enamored of his new status as CM ordering many changes to the route map of the Metro Rail.
Now this is not the route of bus No 40 from ‘Secunderabad’ to ‘Koti’ which can be changed at a person’s whims and fancies.
Highly disappointed at the populist demands of KCR, the Chairman of ‘Metro Rail Project’ shot off a letter to KCR in which he stated unambiguously that the project was turning out to be a huge burden for ‘L&T’ and he even expressed their firm’s willingness to exit the project and demanded a compensation package.
He said that when ‘L&T’ bid for the project, it was because Andhra was united. Now that the ‘State’ was divided and an acrimonious atmosphere prevailing, it was doubtful whether the economic health of the Telangana government alone would warrant a project of this scale and he further expressed doubts over the revenues accruing to the project from the State of Telangana alone.
Unfortunately, this letter was leaked to the ‘media’ and created a storm. And what does KCR do? He immediately called for the sacking of the Chairman of the project for having made political references in his letter.
When any MNC plans a project of this scale, they do take the prevailing political scenario into account for understandably, they would be concerned about the viability of the project in an uncertain atmosphere.
For example: would any MNC take up a project in Iraq or Syria today? The letter by the Chairman to KCR was a personal one and he was thoroughly justified in explaining the rationale behind his firm’s decision to take up the project.
What KCR should have done was to find out the person who leaked the letter to the media and punish him appropriately. Instead, he calls for the Chairman’s head.
Now, it is being whispered that ‘L&T’ is once again seriously contemplating putting forth a demand for compensation of over Rs 1500 crore and planning to exit the project.
