AMC commissioner Dharmpal Gupta admitted that dues worth 1.5 crore were pending to be paid to Antony Waste Handling cell Private Limited, but denied that this was the reason for snapping ties with the firm.
Gupta alleged that the private firm was irregular in lifting garbage and the two parties had agreed to replace the team of workers.
However, the corporation later decided to end the contract with the firm.
Gupta said that 15 private vehicles were being arranged to clear the garbage on priority basis and shortly the city would get rid of this problem.