Turkish firm Gulermak working on Kanpur metro flees with Rs.80 cr unpaid dues

The underground metro work was executed as a joint venture between Indian company Sam India and Gulermak, with subcontracted firms handling on-ground construction

PGurus Newsdesk

May 27, 2025

The underground metro work was executed as a joint venture between Indian company Sam India and Gulermak, with subcontracted firms handling on-ground construction

Contractors left unpaid as Gulermak exits amid allegations and protests over Turkey’s role in Indo-Pak conflict

A controversy has erupted in Kanpur, Uttar Pradesh, after Turkish construction company Gulermak, involved in building the underground section of the Kanpur Metro, allegedly abandoned the project, leaving behind unpaid dues of approximately Rs.80 crore. The firm reportedly failed to pay 53 subcontractors over a span of ten months.

According to multiple contractors, senior officials of Gulermak left the city without clearing payments. When contacted, the company representatives allegedly gave evasive responses and refused to address the issue.

No immediate action by metro authorities

Contractors claimed that appeals to the Uttar Pradesh Metro Rail Corporation (UPMRC) were ignored, prompting nine firms to formally submit a memorandum to the District Magistrate’s office on Monday.

The pending dues include:

Rs.3.70 crore – Metro Marble
Rs.1.20 crore – Radiant Services
Rs.1.70 crore – Shreyans Infratech
Rs.74.80 lakh – S Interior
Rs.39.80 lakh – MD Ehasan Painter
Rs.8.54 lakh – Vinod Gupta Enterprises
Rs.29.50 lakh – Nandan Prefab
Rs.21.50 lakh – Shri Balaji Enterprises

Contractors link delayed payments to political sentiment

Some contractors alleged that the payment delays began following nationwide protests against Turkey’s position during the Indo-Pakistan conflict. The underground metro work was executed as a joint venture between Indian company Sam India and Gulermak, with subcontracted firms handling on-ground construction.

Contractor Gajendra Singh of Radiant Services reported that only 50% of the agreed payments have been disbursed to date.

UPMRC’s response and liability concerns

Panchanan Mishra, Joint General Manager (Public Relations), UPMRC, confirmed that Gulermak completed work on four metro stations under Corridor One, and full payment had already been made to the company.

He clarified that since these unpaid firms were subcontracted by Gulermak, UPMRC has limited liability. However, he mentioned that 5% of the total contract value is being held in reserve, which is normally released after one year but may be used to settle dues if Gulermak fails to pay.

Repeated attempts to contact Gulermak for comment were unsuccessful, as most calls went unanswered.

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