PSP Projects Limited Counters Alleged Payment Claims by Surat Diamond Bourse

Surat : Ahmedabad-based construction giant PSP Projects Limited has refuted the purported claims made by the Surat Diamond Bourse (SDB) committee, dismissing assertions that 98% of the project cost has been settled, leaving a mere 2% outstanding.

Amid a directive from the Surat district court mandating the SDB to deposit Rs 100 crore in the bank within seven days, PSP Projects Limited has vehemently contested the alleged payment status put forth by the SDB committee. The company has submitted a comprehensive 1000-page dossier to the Surat court, highlighting pending dues amounting to Rs 538 crore.

Bhagirath Patel, legal advisor and advocate representing PSP Projects Limited, rebuffed the claims made by the SDB committee, labeling them as false. Patel emphasized PSP Projects’ extensive portfolio, having successfully completed around 200 renowned projects across India, including the Surat Diamond Bourse, which received its completion certificate in June 2022.

Bhagirath Patel, Legal Advisor and Advocate, PSP Projects Limited said, “We stand firm against the false claims made by the SDB committee. PSP Projects has a proven track record and a commitment to integrity in all our dealings. Our submission of a detailed 1000-page report to the Surat court emphasizes the factual status of the pending dues amounting to Rs 538 crore.”

According to Patel, the SDB has failed to remit a 2.5% retention deposit, equivalent to Rs 42 crore, subsequent to issuing the project’s completion certificate. The outstanding dues owed to PSP Projects Limited stand at approximately Rs 538 crore, with the construction liability period set to conclude within six months in 2024.

Asserting the company’s reputation and accountability to shareholders, PS Patel, Chairman and Managing Director (CMD) of PSP Projects Limited, highlighted their pursuit of rightful dues. Patel emphasized their reliance on evidence and trust in the judicial system.

“PSP Projects takes pride in its reputation and commitment to shareholders. We are seeking fair and rightful dues owed to us for our work, in line with legal agreements. We trust in the judiciary and have presented substantial evidence to support our claims. Our intent remains clear: to ensure fairness and uphold our legal rights.” Patel said.

Regarding the imminent inauguration of the Surat Diamond Bourse by Prime Minister Narendra Modi, Patel clarified PSP Projects’ stance. While expressing pride in constructing the building to be inaugurated by PM Modi, the company reiterated their sole intent to seek clearance of the outstanding Rs 538 crore from the SDB committee.

In response to queries concerning the Covid-19 lockdown, Patel underscored the contractual clauses governing force majeure delays, asserting PSP Projects’ entitlement to payments aligned with the contract’s terms and conditions.