PM Tariceanu approves supplementary funds for Transylvania highway. Anti-graft prosecutors investigate Bechtel for tripled price on asphalt

Joi, 21 august 2008, 15:49 English | Business

While visiting the Bechtel construction site in the Cluj county, Prime Minister Calin Popescu Tariceanu announced that the Romanian state paid 238 million euro for the first 5 kilometers built in the Transylvania highway project. At the same time, the prime minister announced that the funds for the construction will be supplemented. Meanwhile, the contract for the highway construction is under investigation by the Anti-Graft prosecutors.

In brief:

- Prosecutors in the National Anti-Graft prosecution Office opened an investigation in the Bechtel case. Three managers in CNADR (The National Roads Company) resigned.
- According to CNADR document, the Romanian state has to pay 75% of the works, regardless of their quality.
- The price of the Transylvania highway has tripled since 2004 and is estimated to go over 7 billion euro.
- CNADR officials say that the only investigation going on is issued by the Control Body in the Transport Ministry.
- The Bechtel Company has an international reputation in rising prices during work. In the US, Bechtel increased the price of a highway seven times.

According to PM Tariceanu, the payments are on schedule, without any delays.

According to judicial sources, the anti-graft prosecutors investigate the way the governmental funds were managed by the Roads Company (CNADR).