The Auditor General’s latest report reveals that the Lotus Tower has become a mountain of debt with no income received so far.
By the end of last year, the Telecommunications Regulatory Commission (TRC) had to repay over Rs. 722 crores to the EXIM Bank of China.
As a result, the Telecommunications Regulatory Commission (TRC) has reduced the annual contributions to the Consolidated Fund by Rs. 3,040 million over the past three years. The amount credited has been reduced to Rs. 52 billion in 2017, Rs. 615 crores in 2018 and Rs. 1905 crore last year.
Although the Lotus Tower project was planned to repay loans and installments, so far no revenue has been generated.
According to the agreement with the Chinese companies, the project was to be completed in 912 days from November 12, 2012 to May 12, 2015. Since then, it was scheduled to earn an annual income of Rs. 1680 million but lost revenue due to delays in project activities.
According to the agreement reached, the project should have been completed and handed over on October 31, 2017, but the project had not been completed by August 31, the Auditor General said in his report.