MEIL’s ₹1,697 Cr Project Stalls Amid Worker Protest
• NHAI Blacklists MEIL: What Went Wrong
• From Infra Giant to Blacklist: MEIL’s Fall from Grace
Unmesh Gujarathi
Sprouts News Exclusive
Contact: +91 9322755098
Over 300 workers on MEIL’s NH 66 project in Kasaragod are on strike over four months of unpaid wages. The protest halts subcontractor work, raising concerns as MEIL faces NHAI blacklisting and major project delays. The ₹1,697 crore stretch now risks missing its extended March 2026 completion deadline.
Wage Crisis Grips MEIL Subcontractors on NH 66
Over 300 workers on the Chengala–Nileshwar stretch of NH 66 in Kasaragod district, Kerala, have launched an indefinite strike over unpaid wages pending for the past four months. Employed through nearly 25 subcontractors linked with Megha Engineering and Infrastructures Ltd (MEIL), the aggrieved workers have assembled in protest outside MEIL’s camp office at Mylatty, demanding immediate release of their dues.
A majority of these workers are migrants engaged in high-risk manual labour—ranging from earthworks to logistics, concrete mixing, and road laying. With no resolution in sight, the strike has completely stalled construction activity managed by subcontractors. Workers have declared that they will not resume duty unless their full wages are cleared.
MEIL Acknowledges Dues, Blames Project Dynamics
In a statement to the media, Abdul Nisar, MEIL’s liaison and vigilance officer, confirmed the pending wage issue and assured that payments would be settled by July 25. “Though the workers are subcontracted, MEIL has taken ownership of the dues to expedite resolution,” said Nisar.
However, internal sources suggest that subcontractors themselves are under financial strain due to non-payment by MEIL, triggering the present crisis. “This protest is also a reflection of contractor frustration,” said one MEIL official, who also insisted that in-house operations remain unaffected. MEIL has denied deliberately withholding payments and attributed the delay to routine bottlenecks in large infrastructure contracts.
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Cashflow Disruptions Threaten Worker Safety and Morale
Field reports reviewed by the Sprouts News Investigation Team (SIT) indicate that many of the affected workers are without sufficient food and shelter due to prolonged non-payment. A few are even contemplating returning to their native villages, fearing further uncertainty. Local trade unions have begun intervening, calling for government-led mediation and immediate inspection of the contractor’s financial arrangements.
The lack of a formal grievance redressal system for subcontracted labourers working on NHAI-funded national highways has been spotlighted. Despite the project’s national importance, there seems to be little oversight in ensuring fair and timely treatment of the lowest-tier workers.
Timeline Delays and NHAI Blacklisting Add to Pressure
As labour issues worsen, MEIL’s delivery performance on NH 66 is also drawing sharp criticism. The 37-km Chengala–Nileshwar segment, awarded for ₹1,697.55 crore, was initially slated for completion by April 15, 2024. It is now rescheduled to March 31, 2026. The adjacent 40-km Nileshwar–Taliparamba stretch, worth ₹2,251 crore, has similarly missed its original January 11, 2024 deadline and now shares the same revised target.
Meanwhile, Uralungal Labour Contract Cooperative Society (ULCCS)—tasked with the adjacent Talapady–Chengala stretch—has nearly completed their 39-km project for ₹1,704.12 crore, which is now on track for inauguration by July 31, 2025. The contrast between public cooperative-led execution and private EPC contractor-led delays is becoming increasingly apparent to stakeholders.
NHAI Penalty and Project Reputation in Jeopardy
The Sprouts News Investigation Team (SIT) has also confirmed that MEIL was recently blacklisted by the NHAI for poor execution of a slope protection wall on this very stretch of NH 66. The penalty prohibits the company from bidding on new highway contracts for the time being.
This blacklisting has further dented MEIL’s public image and has triggered internal reviews within both the NHAI and the Ministry of Road Transport and Highways (MoRTH). According to officials familiar with the matter, there is now a growing case to reassign parts of MEIL’s incomplete work to alternative contractors if meaningful progress is not achieved soon.
Policy and Stakeholder Impact: A Brewing Crisis in Highway Infrastructure
This labour protest reflects deeper systemic issues in India’s infrastructure development model—particularly the outsourcing of labour through unregulated subcontractor chains. Without clear liability structures or enforced payment mechanisms, wage theft becomes a recurring threat, especially in mega-projects where funds move through multiple administrative layers.
The Sprouts News Investigation Team (SIT) will continue to monitor the developing situation. With project delays, worker unrest, and blacklisting mounting pressure, MEIL may face not just financial and operational setbacks, but long-term exclusion from India’s most critical national infrastructure contracts.
Also Read: ED Chargesheet Against Robert Vadra Sparks Heated Political Backlash.
Megha Engineering (MEIL): Key Controversies at a Glance
NH 66 Wage Strike – Kerala:
Over 300 workers on MEIL’s Kasaragod highway project went on strike in 2024–25 due to four months of unpaid wages. NHAI later blacklisted MEIL for poor-quality construction work.
Polavaram Delay – Andhra Pradesh:
MEIL faced criticism for cost escalations and slow progress on the ₹55,000 crore Polavaram Irrigation Project. Allegations of political favouritism surfaced.
Nagpur Sewerage Irregularities:
MEIL was accused of receiving payments for substandard work under the AMRUT sewerage scheme. Civic bodies demanded audits.
Hyderabad Pharma City Land Dispute:
Maharashtra: Farmers accused the state and allied firms of unfair land acquisitions. MEIL was indirectly linked to disputed land parcels.
Kaleshwaram Project Bidding:
Telangana:
MEIL won large irrigation contracts without open bidding, sparking nationwide concerns over transparency and procurement violations.
Electoral Bonds Controversy:
MEIL donated large sums via electoral bonds. Activists flagged potential conflict of interest as political donations followed major contract awards.
Ganga Expressway Tender Row – UP:
Bidding irregularities were reported in the ₹36,000 crore project, where MEIL’s participation drew legal scrutiny.
Environmental Violations:
Several MEIL projects began without valid environmental clearances, leading to NGT action and project halts.
Power Project Escalation – Karnataka:
CAG flagged financial irregularities in a MEIL-led power project due to unexplained cost overruns.
Legal Disputes Nationwide:
MEIL faces multiple arbitration and legal cases with vendors and subcontractors across India over payment and contract issues.
Sprouts News has consistently exposed the corrupt practices and opaque operations of Megha Engineering and Infrastructures Ltd (MEIL), uncovering a troubling pattern of political favoritism, unpaid worker wages, tender irregularities, and substandard project execution across multiple states. Through rigorous on-ground reporting, RTI disclosures, and stakeholder interviews, the Sprouts News Investigation Team (SIT) has brought national attention to how MEIL’s influence in high-value government contracts often bypasses transparency and accountability—posing serious risks to public funds, infrastructure quality, and labour rights.
