May, 29, 2014
If the Krrish Group is unable to carry out its project on the four acre land at the Fort in Colombo, the group could hand over the project to any other investor or implement it together with another investor according to the laws in the country, said the Investments Promotion Minister.
India’s Krrish Group has paid a sum of Rs. 4,355 million for this particular plot of land and still owes a sum of Rs. 639.5 million, said Investments Promotion Minister Lakshman Yapa Abeywardena.
Since the group had failed to pay this amount before the agreed date the government had added a 12 percent interest on this amount.
While commenting on this issue, Minister Lakshman Yapa Abeywardena said that the government has not signed any investment agreements with Krrish and this project would not be tabled for parliamentary approval until the full amount for the land is paid.
“There are no issues for the government. The government has received payment from Krrish for a plot of land in Colombo. Apart from the money thus received being banked and is gaining interests the government is also charging interest for the money due. This happens to a few investments in any part of the world.
With the Krrish Group continuing to delay payment for this land, the minister said that if this group is unable to handle this project by itself it could invite involve another investor.
When unveiling this project, India’s Krrish Group said it is to construct an 85 storied tower comprising luxury homes, shopping complex, a seven star hotel etc along with another four additional towers.
The four acres and 37.10 perch land with the present Transworks Building and bordering Chatham Street, York Street and Lotus Street in Colombo is to be provided to the Krrish Group by the Urban Development Authority on a 99 years lease.