BERHAMPUR: High drama unfolded at the dredging site of Indian Rare Earths Ltd (IREL) in Aryapalli on the outskirts of Chhatrapur after a sub-contractor reportedly threatened to die by suicide by climbing atop a feeding plant machine over non-payment of his pending dues.
A native of Hyderabad, sub-contractor K Mahendra Reddy (49) has been carrying out transportation and other works at the SMP-1 plant of IREL for the past several months.
Reddy said he had received work order from Gujarat-based Saraswati Builders, the principal contractor engaged by IREL. However, despite completing the assigned work, he had allegedly not received his full payment.
He alleged that Saraswati Builders owes him Rs 1.25 crore for work executed since November 2025. “After repeated requests, the contractor agreed to settle the amount at Rs 73 lakh, but only a portion of the revised amount has been paid so far,” claimed the sub-contractor.
Reddy further alleged that instead of being paid his dues, he was allegedly threatened through local anti-social elements in Chhatrapur area, leaving him mentally distressed and financially helpless.
Protesting the delay in payment, the sub-contractor climbed onto the feeding plant and threatened to end his life unless his pending dues were released. After receiving information, Aryapalli Marine police rushed to the spot. Following prolonged negotiations, police personnel climbed onto the machine and safely rescued him. He was subsequently taken to Aryapalli Marine police station.
Reddy claimed he has repeatedly approached IREL authorities regarding the issue. However, company officials say all payments due to the principal contractor have already been released.
No official of IREL or Saraswati Builders was available to comment on the allegations levelled by the sub-contractor. Police said efforts are underway to resolve the payment dispute. Reddy was in the police station till reports last came in.
