Sources close to the project, which is not named for legal purposes, say work was stopped at least four times due to delayed progress payments. Such stoppages are rare in the Vietnamese construction sector
It is understood the client, a global gas giant, stepped in to make the payments on behalf of the Australian contractor.
EnergyReview.net has sighted a letter in which the contractor has acknowledged a debt to one company, a reputable firm holding Austrade contracts, of US$1.2 million.
Management of that business said no payment has been made since they received the letter of acknowledgement, which is dated early November, 2002.
It is understood from Vietnamese-based sources that the contractor owes around US$6m in Vietnam and a similar amount in nearby countries.
It is understood the Australian consulate has become involved in sorting out the debacle, which is negatively impacting the business image of other Australian-based businesses in the region.
