Bengaluru: The Karnataka government has put a stop to nearly 6,000 projects worth Rs 4,500 crores that were to be carried out by the state’s Public Works Department (PWD).

Sources within the PWD informed Deccan Herald that the decision was taken as the result of a “fund crunch” caused by flood relief activities that are being undertaken across the state, especially in the flood-hit areas of North Karnataka.

However, Finance Department officials said that the PWD projects were being stalled in order to allow the newly-formed Yediyurappa government to scrutinise them.

The project suspensions were revealed when the PWD Ports and Inland Transport Department Additional Chief Secretary wrote a letter to the department’s chief engineers.

The letter, written on September 6, directs PWD officials to “temporarily withhold” projects that had not yet commenced, pending government approval.

Most of the 6,000 projects were sanctioned by the Congress-JD(S) coalition government that was in power till July 23.

The letter is said to have been written based on recommendations made by the state’s Finance Department.

Speaking to Deccan Herald, a PWD official said, “The major reason for temporarily withholding the works, it appears, was to divert some portion of the funds allocated for roads towards flood relief.”

“As soon as the situation improves in the flood-affected regions of the state, the government order will be revoked and work orders will be issued to all projects that were sanctioned but were withheld,” he added.

Finance Department Additional Chief Secretary ISN Prasad, however, denied that the projects were halted due to a “fund crunch”.

Prasad said, “Many of these projects were sanctioned during the fag end of the coalition government’s tenure. Funds will be allotted to the temporarily stalled projects as soon as the government completes scrutinising them.”

Sources within the Finance Department also mentioned that the upcoming budget session in the state Assembly might be another reason for the abeyance of the projects.

It can be recalled that the RDPR Department had withheld the construction of over 3,000 rural roads estimated at Rs 865 crores since the Yediyurappa-led BJP regime had “wanted to look into special grants sanctioned by the previous government.”