[THE INVESTOR] South Korea’s leading train manufacturer Hyundai Rotem was banned from making new bids for government-run projects for 10 months after it was sanctioned by Daegu Metropolitan Transit Corp. for malpractice.
The company will not be permitted to submit bids from July 1 to April 30, 2017, according to the Daegu metropolitan authorities.
Hyundai Rotem is charged wth violating local subcontractor laws by adopting a turnkey approach for the entirety of a 23.3 billion won (US$20.1 million) subway screendoor construction project in Daegu City.
Hyundai Rotem, however, maintains that while there may have been clauses in its contract with suppliers that could be misconstrued, the charges are untrue.
By Kim Ji-hyun (
jemmie@heraldcorp.com)
