Thiruvananthapuram: The Congress in Kerala has agreed to settle the outstanding dues of RS 2.8 crore of a contractor who built the Rajiv Gandhi Institute of Development Studies at Neyyar Dam here.

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The move came after the contractor sent a legal notice to party President Sonia Gandhi.

Despite several requests by Heather Constructions, the Congress reportedly had not made the payment.

"We will settle the outstanding dues at the earliest. Everything will be settled amicably," senior Congress leader Ramesh Chennithala said on Wednesday.

The research centre was inaugurated by Sonia Gandhi in 2013.