Suppliers picket CMRL office for payment

The protesting vendors accused CMRL of allowing other companies, which had taken up pending station and tunneling works on Saidapet-Anna Square underground stretch after termination of contracts awarded to Gammon and Mosmetrostroy, to take away material supplied by them. Contracts awarded to Russian firm Mosmetrostroy and Gammon Indian Limited were terminated after they repeatedly failed to meet the deadline. Subsequently, the pending tunneling and stations works near Gemini Flyover on the underground stretch were awarded to Afcons India Ltd and L&T. 

“Mosmetrostroy, original contractor, had fled to Russia without paying our dues. CMRL had agreed during arbitration that it would foot their bill or let them sell the left-over materials,” treasurer of Chennai Vendors Association G Pari Selvam told DTNext. 

“Now they have awarded the work to two other companies, which, instead of using required material, are transporting everything to their other work sites in violation of the agreement,” he added, arguing that nothing would be left for them if the two new contractors take away all the material. 

The issue hit the headlines months back when CMRL seized the work site and yard of the terminated contractor and claimed propriety for all the material a little less than a year back. When asked, a senior CMRL official said, “There is no contractual obligation to give them the materials to vendors. The material belongs to CMRL. We have allowed the new contractor to utilize whatever is necessary. The leftover material can only be given to other firm involved in the joint venture and not the vendors. If the vendors have any dispute in payment with the terminated companies, they have to approach them directly and not us.” The officer also denied giving any undertaking in the court regarding footing vendor’s bills.