Naveen, son of a migrant labourer couple, was rescued by after a nearly three-hour long operation, Deputy Commissioner Mohammed Shayin said here.
The child was admitted to Government Medical College and Hospital (GMCH), sector 32, where his condition was stated as stable.
The rescue team dug a parallel 5-feet wide hole and rescued the child, he said.
The housing colony is being constructed by Central Public Work Department and the contractor, Rakesh Aggarwal, was summoned on the spot, the official said.
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Jagmohan, father of boy, said "I and my wife Hira Wati along with Naveen were on way back to our residence after completing work at the construction site, when the minor, who was walking behind us, accidentally fell into the hole."
The parents raised alarm and construction supervisor, Upinder Kumar, called up the police control room.
The rescue operation, however, could start only after the arrival of JCB machine and a water tanker, Upinder said.
Subsequently, a team of health department rushed to the spot and an oxygen cylinder through a pipe was installed inside the hole.
A senior official with rescuing team said, "A parallel 5-feet wide hole was dig out by a JCB machine along side the small hole, in which boy was fallen, and from the newly dig hole, a small tunnel was dig for brining out the boy."
Naveen, has no visible injuries but he has been admitted to a Government medical college and hospital.
Shayin said action would be initiated against the contractor for leaving the pit uncovered.