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Indian Railway to terminate Chinese firm’s contract

It said that the company was supposed to complete the work by 2019, but only 20 per cent of the work has been completed so far.

Indian Railway to terminate Chinese firm’s contract

[Representational Photo : iStock]

Following the violent clashes between India and China on the ridges or ‘fingers’ area around the Pangon Tso, Indian railways have decided to terminate the contract of a Chinese company engaged in the signalling and telecommunication work on the Eastern Dedicated Freight Corridor’s 417-km section between Kanpur and Mughalsarai.

The railways have stated company’s ‘poor performance’ as their reason.

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It said that the company was supposed to complete the work by 2019, but only 20 per cent of the work has been completed so far.

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The Railways had given the contract worth Rs 471 crore to Beijing National Railway Research and Design Institute of Signal and Communication Group in 2016.

Earlier in the day, the Department of Telecom (DoT) had asked state-owned Bharat Sanchar Nigam Ltd (BSNL) not to use Chinese telecom gear in its 4G upgradation. And a similar message is also expected to be extended to the Mahanagar Telephone Nigam Ltd (MTNL).

Apart from this, DOT may also start reworking on its tender in this regard.

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