Dispur is planning to initiate action against Malaysian firm Emaskiara for the Matmora embankment breach which has led to floods in Lakhimpur district.

Emaskiara had won a global tender bid to construct a 5km long embankment using Australian technology. The deadline was July 3, 2009. The firm has been able to complete 3.5km of the embankment. Waters had rushed out from the unfinished 1.5km stretch earlier last week.

The Centre had sanction Rs 142.42 crore for the Matmora embankment. Of this Rs 100 crore was for the construction of this geo-textile dyke, and the rest for strengthening and repairing the remaining portion of the embankment.