OC sues Dutch firm for damages

Even as it busies itself in wrapping up activities relating to last years Commonwealth Games,the Organising Committee is embroiled in a dispute with Dutch firm Infostrada Sports,which was contracted for providing media services during the sporting event at a cost of USD 20.60 lakh.

Even as it busies itself in wrapping up activities relating to last years Commonwealth Games,the Organising Committee (OC) is embroiled in a dispute with Dutch firm Infostrada Sports,which was contracted for providing media services during the sporting event at a cost of USD 20.60 lakh.

While the firm insists that it is yet to receive 30 per cent of the contract value (USD 6.18 lakh),the OC has sued the firm,making a counter claim of USD 13.12 lakh for breaching the agreement,dated June 17,2010. We examined the terms of contract one by one over a period of two months,and figured the company actually owes us USD 1.30 lakh against the total contract amount. The OC also reserves the right to claim damages from Infostrada Sports for breaching the agreement dated June 17,2010. They owe us USD 13.12 lakh in all, OC CEO Jarnail Singh told Newsline.

As the firm is yet to respond to the OCs claim,it has filed a legal suit against Infrostrada Sports. We will also write to the International Olympics Association with regard to the deficiency in services rendered by the firm,and breach of agreement, Singh said.

After its two-month-long investigation into claims made by the Dutch company,Jarnail Singh wrote a letter to Infostrada Sports CEO Philip Hennemann and forwarded copies to the Secretary,Ministry of Sports,and Dr Pankaj Sharma,Minister at the Embassy of India in the Netherlands.

The Dutch were part of the eight-country representation that lodged an official complaint with the Indian government over USD 740 lakh in unpaid bills from last years Games,warning that delays could affect future investments in the country.

Australia,Belgium,Britain,France,Germany,Italy,the Netherlands and Switzerland signed the letter to demand action on the issue.

In a statement issued in February,Infostrada Sports CEO Hennemann said his company had put in extra work to rescue the Organising Committee in the days leading up to the Games. This was when there was a near breakdown of media communication facilities in the first few days of the October event. We never had any official or unofficial statement that we were ever in default of our contract,nor a single warning that this was likely. Our scope of services was very clear and detailed. However,as demonstrated,such a contract can be disregarded with great ease.

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In his August 12 response letter,OC CEO Jarnail Singh wrote: M/s Infostrada Sports did not deliver strictly as per the contract as far as part-A of scope of services in Schedule-2 of the contract is concerned. It was a breach of agreement and hence the performance is zero. Therefore,no payment becomes due for the incomplete services… You are,therefore,to ensure that the excess payment of USD 13,12,220 is refunded to the OC CWG Delhi 2010 within two weeks from the receipt of this letter. In case of failure to do so,the OC shall be compelled to initiate appropriate proceedings against M/s Infostrada.

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commonwealth games

OC sues Dutch firm for damages

Even as it busies itself in wrapping up activities relating to last years Commonwealth Games,the Organising Committee is embroiled in a dispute with Dutch firm Infostrada Sports,which was contracted for providing media services during the sporting event at a cost of USD 20.60 lakh.

Even as it busies itself in wrapping up activities relating to last years Commonwealth Games,the Organising Committee is embroiled in a dispute with Dutch firm Infostrada Sports,which was contracted for providing media services during the sporting event at a cost of USD 20.60 lakh.