Shanghai Construction demands $54 million for work done for state

File: Michael Zhang (centre) with former UDeCOTT boss Calder Hart and former PM Patrick Manning

The managing director of Shanghai Construction Group (SCG) is demanding that the state pay his company $54 million, which he said is owing for several projects, including additional work done on the National Academy for the Performing Arts (NAPA).

Michael Zhang told the Newsday newspaper he understands that the Government is under pressure and would like to allow some more time for it to pay the bills.

Newsday said it has seen a letter, dated December 15, 2010 from Zhang to Minister of Finance Winston Dookeran seeking the full payment, which includes $16 million for the construction of police stations in relation to a contract that UDeCOTT awarded a few days before Parliament was dissolved last year.

The paper published a breakdown of the money:

• $14 million for NAPA
• $16 million for work on the Ministry of Education tower in Port-of- Spain;
• $7.3 million for work on a “police station academy infirmary”
• $2.3 million in relation to the South Academy for the Performing Arts
• $16 million “advance payment” for the controversial multiple police station contract

“These large amounts of money do play a vital role in the operation of the company, including our daily expense and payments to local contractors and local suppliers,” Zhang told Dookeran

Zhang's company received contracts valued at about $2 billion from UDeCOTT. Some of them were awarded on a sole-select basis.

His company was building the controversial church at the Heights of Guanapo for Juliana Pena, the “spiritual adviser” of the former prime minister Patrick Manning.

Shanghai Construction is the under investigation by police in connection with several projects.