Chu said the bureau would continue to monitor progress by the contractor, which has submitted a plan to speed up construction of the signaling system. Should the bureau deem that the contractor has been ineffective in executing its plan to speed up construction, Chu said the contract with Marubeni could be terminated.
Chu said that the bureau did not know that Marubeni had violated the terms of the contract by outsourcing the signaling system to Invensys until the bureau received a letter from the subcontractor admitting that it was building the signaling system.
Marubeni also had disputes with another subcontractor for the railway construction in 2010. The subcontractor withheld the design plan for the railway construction and did not hand it over until it was ordered by a court to do so.
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