21 Jan 2011

Delhi Games organisers being sued for payments

6:02 am on 21 January 2011

An Australian company that was behind the opening and closing ceremonies at the Commonwealth Games in Delhi last October, is taking legal action against the organisers for unpaid bills.

The Australian Commonwealth Games Association also says it's out of pocket.

Spectak says it is owed $A350,000 in unpaid bills relating for the opening and closing events, which were held on 3 and 14 October.

Indian Foreign Minister SM Krishna, who is visiting Australia, has pledged to take up the issue when he returns home.

Ric Birch of Sydney told the ABC that he has instructed lawyers to begin a class action against the Games organisers.

Mr Birch said his ciompany is not the only firm chasing unpaid bills from Delhi.

There were up to 15 other companies involved with the opening ceremony and many more companies involved with the Commonwealth Games overall.

The Australian Commonwealth Games Association is owed more than $100,000 in travel subsidies.

Chief executive, Perry Crosswhite said the matter would be taken up with the Commonwealth Games Federation.

Mr Crosswhite says the association is now short the money that it was planning to use to prepare local athletes for the 2014 Commonwealth Games.

Indian foreign minister SM Krishna says he will take up the issue of outstanding payments relating to the Games when he returns home. Mr Krishna is currently visiting Australia.

As soon as I go back to India I will take it up with the minister of sports and I will certainly be the interlocutress on behalf of Australia so that the dues can be settled, he said.

Investigations

Earlier this month, India's top investigative agency questioned the organising committee chief Suresh Kalmadi. He denies any wrongdoing.

Two other senior officials from the organising committee were arrested on charges of forgery and cheating over the awarding of contracts before the event.

Last month, Mr Kalmadi's homes in the capital, Delhi, and in the western town of Pune, were raided by investigators.

Investigators also raided about a dozen locations, including the homes of organising committee secretary general, and the director general VK Verma.