Jammu, July 10 (IANS) A Rs.70 billion hydro-electric power project in Jammu and Kashmir has been put on hold after a probe found technical and financial irregularities in the allotment of the contract to a Norwegian consortium.

The probe, ordered following complaints of severe irregularities, was conducted by IT Minister Taj Mohi-ud-din on the directives of Chief Minister Ghulam Nabi Azad, official sources said.

The project was to be executed by a consortium comprising SPAS of Norway, Ozaltin of Turkey and HCC of India.

The minister in his report pointed out that the consortium was allotted the contract for the construction of the 1,200-MW Sawlakote project on the Chenab river in a hush-hush manner without a proper bidding procedure. He hinted at financial irregularities in the allotment of the contract.

"Now the contract will be reviewed by the state government and whatever consensus emerges will be the guiding principle in the allotment of the contract for the project," a government official told IANS.

He said irregularities committed in the project would be undone.