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Karnataka minister seeks blacklisting of L&T over water project delays

Karnataka's Rural Development and Panchayat Raj Minister Eshwar Khandre has directed officials to blacklist Larsen & Toubro Limited, citing sluggish progress on critical drinking water infrastructure projects across the state.

LSN India · 11 November 2026

Karnataka minister seeks blacklisting of L&T over water project delays

Minister Khandre issued the directive after expressing concern over delays in project execution by the major engineering firm. The blacklisting move is intended to hold the contractor accountable for what the minister characterized as insufficient pace of work on the drinking water schemes under his ministry's purview.

The decision reflects growing frustration within the state government over project timelines, particularly in rural water supply initiatives that are meant to serve communities across Karnataka. Khandre's action signals a tougher stance on contractual compliance and project delivery standards.

L&T, one of India's largest multinational engineering and construction firms, has numerous ongoing contracts with government agencies across the country. The blacklisting would prevent the company from bidding on future projects under the state's Rural Development and Panchayat Raj department until performance standards are met.

The minister's directive comes as part of broader efforts to accelerate infrastructure development in rural areas. State officials are expected to document specific instances of delay and coordinate with relevant departments to enforce the blacklisting measure.