IMM denies shell company allegations: Response to money transfer accusations
Istanbul Metropolitan Municipality (IMM) has responded to allegations regarding an urban transformation project carried out by KİPTAŞ. The municipality denied claims that '2.1 billion liras were transferred to a shell company' via its official social media account.
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In the statement, it was noted that the project in question was implemented in an area declared a risky zone by a Council of Ministers decision in 2018. The IMM stated that the goal was to provide citizens with safe housing in an area containing earthquake-vulnerable structures.
It was stated that the tender process was conducted through the Electronic Public Procurement Platform (EKAP). Officials noted that a contract was signed with the company İstcon İnşaat on February 13, 2024, for a value of 2.1 billion liras.
It was announced that a 10 percent advance payment was made to the contractor in exchange for a bank letter of guarantee. It was emphasized that 77 million 395 thousand 964 liras of this advance was recovered through deductions.
It was reported that as of February 2025, 13 progress payments had been processed, and a total of 596 million 725 thousand 844 liras had been paid. The IMM stated that all transactions were carried out in accordance with legal regulations.
Municipal officials emphasized that urban transformation projects are managed transparently and that oversight mechanisms are functioning effectively.