The works of the Dhaka Elevated Expressway project have come to a near halt following altercations between the three foreign investment and shareholding companies implementing the project over ownership of shares.
Currently, the Thailand-based Italian-Thai Development Public Company Limited owns 51 per cent share of the project, while China Shandong International Economic and Technical Co-operation Group (CSI) and Sinohydro Corporation Limited own 34 per cent and 15 per cent shares of the project respectively.
The Italian-Thai Development Public Company Limited filed an appeal at the Appellate Division on Monday after the High Court on Sunday dismissed their appeal for a status quo on the transfer of shares.
Earlier this year on January 28, the Italian-Thai company filed a case with the High Court challenging the demand of the two Chinese contractors for transfer of shares.
Elevated expressway project director AHM Shakhawat Akhtar told 抖阴精品 on Monday that the Italian-Thai company did not pay an instalment of interest of the loan taken under this public-private-partnership project triggering this conflict.
鈥楤ecause of the legal battle between the three shareholders the pace of the work is slow now,鈥� he said, adding, 鈥榖ut our work is ongoing at Hatirjheel and Moghbazar areas.鈥�
On Monday afternoon, a visit at the project site at Moghbazar saw no work going on there.
In Hatirjheel area near the BFDC level crossing, some workers were seen working at the project site.
The 46.73-kilometre expressway project connects Hazrat Shahjalal International Airport with the Dhaka-Chattogram Highway at Kutubkhali, near Jatrabari.
The project was undertaken in 2011 to reduce traffic congestion in the capital and save time and money.
It was revised in 2013 due to alignment changes, and construction began in 2015 at an estimated cost of Tk 8,940 crore.
The First Dhaka Elevated Expressway Company Ltd, a joint venture of the Italian-Thai and two Chinese companies, is implementing the project under the supervision of the Bangladesh Bridge Authority.
The three companies signed loan agreements with the China Exim Bank and Industrial and Commercial Bank of China in March 2019.
Prime minister Sheikh Hasina inaugurated the Airport-Farmgate section of the expressway on September 2, 2023.
The exit ramp of the expressway鈥檚 Karwan Bazar section, in front of the BFDC, opened to traffic on March 20 this year.
As of Monday, the project鈥檚 overall progress was 75 per cent, said the project director.
Barrister Imtiaz Farooq, on behalf of the Italian-Thai Development Public Company Ltd, told 抖阴精品 on Monday that they filed an appeal with the Appellate Division on Monday.
He also said that after hearing, the Appellate Division chamber judge referred the hearing of the appeal before the full bench on next Thursday.
The statement that his client has failed to pay dues of the loan in time is not true, he added.
Senior advocate barrister Mohammad Mehedi Hasan Chowdhury, on behalf of the China Shandong International Economic and Technical Co-operation Group, told 抖阴精品 that according to the loan agreements with the China Exim Bank and Industrial and Commercial Bank of China the three companies were to pay back the loan in instalments on January 21 and July 21 every year.
In case of failure in paying instalments, if the two Chinese companies pay the loan instalments of the Italian-Thai company, they will get 50 per cent share of the Italian-Thai company as per the agreements, he said.
This year as the Italian-Thai company did not pay the instalment, the two Chinese companies cleared the payment, he mentioned.
With the High Court dismissing the Italian-Thai company鈥檚 appeal on Sunday there is no obstacle in transferring the shares to the two Chinese companies, he added.
Major creditors, including Bangkok Bank, have agreed to inject fresh liquidity into the cash-strapped Italian-Thai company, to support its business operations, according to a report of Bangkok Post published on this April 18.
Dhaka Elevated Expressway project director said that this is an internal matter between the shareholders.
Replying to a question he said that they have targeted to complete the works of the expressway by December this year.
