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KMDA's two project face financial hurdles

Monday, 20 Jul 2009
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The Kolkata Metropolitan Development Authority (KMDA) is facing problems in completing the Rs 33,000 crore Dankuni Township project after DLF pulled of the project, which comes under the JNNURM scheme.

DLF paid the KMDA around Rs 300 crore as advance for the project. The KMDA also invested around Rs 50 crore to develop the infrastructure at the site, including setting up a water treatment plant, roads and drainage network. However, after the exit of DLF, the KMDA had to repay the amount and suffered huge losses.

The authority has also put the Rs 66 crore Howrah station area development project on hold for a few more months. According to sources, the executing agency's refusal to develop the project at a lower cost has caused the delay.  

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