2010 contractor cries foul

2009-08-18 11:47

Nelspruit - An Mpumalanga contractor is taking legal action against construction giant Basil Read for an outstanding payment of nearly R740 000 for work he did on the province’s 2010 Soccer World Cup stadium.

WJA van Dyk Construction was contracted to complete concrete works at the Mbombela stadium in Nelspruit, but was forced to stop work in May due to non-payment.

"We couldn't continue with the contract and have suffered enormous damages due to this act," said Willie van Dyk.

Van Dyk claims both his employees and material suppliers are now sitting without money, forcing his company to institute legal action against Basil Read and construction partner, Bouygues.

Van Dyk claims that after a financial reconciliation was done, the invoice was sent. Yet despite extensive correspondence, Basil Read refused to pay the outstanding amount, stating overpayment had occurred.

Van Dyk's attorney, Hans Badenhorst, confirmed that a first letter of demand was recently served on Basil Read/Bouygues.

'Breach of contract'

He said the non-payment was due to overpayment to the company as well as delays in construction brought about by strikes at the site.

Basil Read/Bouygues chief operating officer, Eugene du Toit, said he didn't know what money Van Dyk was referring to as the company had paid him for the work that he had already done.

"There are many other people whom Van Dyk owes money to. He left the site and is in breach of contract. We have handed the matter to our attorneys for further investigation," said Du Toit.

Differ Mogale, 2010 Soccer World Cup coordinator for Mbombela local municipality, said he wasn't aware of a dispute between Van Wyk and the construction company.

He said the municipality would investigate.