Chennai Metro Rail Sub-contractors file complaint against Russian firm ‘Mosmetrostroy’

Chennai Metro Rail Sub-contractors file complaint against Russian firm ‘Mosmetrostroy’

Chennai (MAS): Russian-based firm Mosmetrostroy, one of the key contractors of Chennai Metro Rail (Mosmetrostroy India is a joint venture of Gammon India Limited and OJSC Mosmetrostroy of Russia) has allegedly failed to pay its 64 subcontractors nearly Rs. 26 crore and left the project work, claims Chennai Vendors Association. The members protested outside Russian Consulate here on Tuesday and claimed to have met the officials.

R.Mathiazhagan, Vice-President of the association, claimed that they had met Consul-General Sergey L.Kotov and briefed him about the issue. “Sometime back, we met the officials of Chennai Metro Rail Limited (CMRL) who said they would return this amount on the condition that Mosmetrostroy gives an authorisation for the same.” However, a source at the Russian Consulate said no representation had been made.

Gammon India in a joint venture with Mosmetrostroy was awarded a contract of Rs. 1,947 crore by CMRL for construction of seven underground stations from Government Estate to Saidapet.

S. Murugan, a contractor who supplied water to the company, said: “I have been supplying water for over a year now; the problem with regard to payment has been going on only for the last two months. Before that, there was no issue at all. Now, they have to pay me Rs.20 lakh.”

Earlier, a team of sub-contractors met Chennai police commissioner S George on 30th April, and lodged a complaint against Mosmetro India Limited which was involved in the execution of the Chennai Metrol Rail project. The sub-contractors alleged that the company had failed to pay dues, amounting to more than Rs 20 crore, to them. Fourteen of the total 40 sub-contractors met the police commissioner and submitted separate complaints against the company.

They claimed that they had supplied all the construction materials for the last two years. Though Mosmetro India had encashed the bills, it allegedly didn’t pay dues to the sub-contractors. A sub-contractor said they approached the police as the two officials of Mosmetro had suddenly disappeared from its office. Other employees at the company’s office in Chennai told the contractors that the duo left for Russia on Tuesday.  “CMRL officials told us that they cleared the company’s bills amounting to Rs 19 crore on Saturday,” he said.