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Posted On: 1 November 2009 02:49 pm
Updated On: 12 November 2020 02:10 pm

Ashghal wins legal battle against German firm

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The Public Works Authority (Ashghal) has won a legal battle with the German construction major Bilfinger-Berger, the main contractor of the 22 February Road project. The court lifted a ban on Ashghal against awarding the construction works of the delayed project to another contractor, an Arabic daily reported. Ashghal and the Bilfinger have been on a tug of war after the German company allegedly failed to carry out the project works as per the original schedule. Ashghal later announced that it would award the project to three other contracting companies. Bilfinger approached the court against the Ashghal decision and the court delivered an order temporarily restricting the Authority from its move. The court, however, after hearing Ashghal delivered an order in favour of Ashghal. It was in March 2009, Ashghal formally announced that Bilfinger partially suspended the project work. Both the parties tried to reach a consensus to resume work. As the talks failed, Ashghal announced its decision to award the works to other contractors. It was against this backdrop, Bilfinger approached the court.