NCC Limited (NCCL) has said that they have not received any communication from the Andhra Pradesh Government about any cancellation of projects awarded to it by the previous Government.

The Hyderabad-based construction and infrastructure company in a statement to BSE had said, “We observe from the news reports that the new Government in the State of Andhra Pradesh proposes to review some of the contracts that were awarded by the previous Government.”

“We have not received any communication from the AP Government in this regard. We understand that the AP Government is considering to cancel work orders issued prior to April 1, 2019 but not grounded (work not commenced),” NCCL statement said.

AP CONTRACTS WORTH Rs 6,100 CRORE

Further it said “lf this were to happen, work orders totaling to approximately Rs.6,100 crore issued to our Company are likely to be cancelled by the Government of AP.”

“NCC started Finacial Year 2020 with an Order Book of Rs 41,197 crore. In the event the orders totaling to around Rs 6100 crore are cancelled by the Govt of AP, the remaining Order Book will be Rs 35,097 crore (approximately) and we expect to maintain current year (FY 2020) turnover at the same level as that of FY 2019,” AAV Ranga Raju, Managing Director of NCC, said.

The NCCL response comes after BSE sought clarification from the company on some news reports about cancellation of infra contracts by the YS Jagan Mohan Reddy, State Chief Minister, making a statement about move to review old contracts awarded by the N Chandrababu Naidu Government.

NCCL contract in AP relates to housing and irrigation projects.

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