Maharashtra Contractors Announce Statewide Stop-Work From April 7 Over Rs 96,400 Crore Pending Dues

Mumbai, 4th April 2026: Civil contractors across Maharashtra have announced a statewide stop-work protest from April 7, alleging that the state government has failed to clear massive pending payments for development projects across departments.

The Maharashtra State Contractors Association (MSCA) claimed that dues amounting to nearly Rs 96,400 crore remain unpaid, despite repeated representations to the government.

MSCA president Milind Bhonsale said the pending amount stood at around Rs 1,16,500 crore last year and has only marginally reduced since then. According to him, payments of about Rs 20,000 crore have been released over the past 17 months, which he said is insufficient considering that around three lakh contractors and developers depend on government projects for their livelihood.

Bhonsale alleged that nearly four crore people associated with construction and allied sectors could face financial distress due to the delay in payments. He said the association had repeatedly sought meetings with the state leadership to resolve the issue but had not received any concrete assurances.

The protest call has been supported by multiple contractor and engineering bodies, including the Maharashtra State Contractors Federation, State Engineers Association, and Maharashtra State Water Supply Contractors Association. These organisations have informed the government that development works under various departments will be halted if payments are not cleared.

Bhonsale further claimed that the financial situation within the state administration appears strained despite large allocations announced in the budget. He said that in the 2025–26 financial year, many departments did not sanction new development works due to funding constraints.

Providing examples, he said pending payments in the Public Works Department were around Rs 37,000 crore last year and still remain close to Rs 29,000 crore. Similarly, dues linked to projects under the Jal Jeevan Mission and the Maharashtra Jeevan Pradhikaran have reportedly remained high, declining only from about Rs 39,000 crore to Rs 35,000 crore.

He also alleged that local self-government bodies and municipal authorities have slowed down new project approvals because of financial limitations, while payments for previously completed works remain pending.

According to the association, memorandums were submitted to Chief Minister Devendra Fadnavis, Deputy Chief Ministers, and concerned ministers in February and March. A warning about the proposed work stoppage was also issued during a state-level contractors’ meeting held in Karjat on March 9.

Contractors had expected that the government would release funds by the end of March, Bhonsale said, but claimed that the lack of payments has pushed many contractors and developers into a financial crisis.