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VAC Group seeking $4m plus damages over light rail project

THE Berejiklian Government is facing another expensive setback with a second contractor filing a lawsuit for compensation over the beleaguered light rail project.

the latest court actions comes after light rail contractor Acciona launched a $1.2 billion court action claiming the government misled it. Picture: John Grainger
the latest court actions comes after light rail contractor Acciona launched a $1.2 billion court action claiming the government misled it. Picture: John Grainger

A SECOND contractor has filed a lawsuit against the NSW Government over the beleaguered Sydney Light Rail project, claiming it too had fallen prey to “conduct which is misleading”.

VAC Group, which was contracted to work on underground assets in preparation for laying the light rail tracks, is seeking more than $4 million, plus damages, from the government.

Federal Court documents filed last months claim: “Transport has engaged in conduct which is misleading and/or deceptive, or likely to mislead or deceive.”

The latest court actions comes after light rail contractor Acciona launched a $1.2 billion court action claiming the government misled it on how many utilities would have to be moved during construction.

Construction of the light rail on Charmers St, Surry Hills.
Construction of the light rail on Charmers St, Surry Hills.

Transport for NSW said the proceedings began in November 2016, were not new and were nor related to the Acciona proceedings.

A spokesman said the VAC Group were trenching contractors tasked with excavating roads surfaces and footpaths to reveal underground utilities to be surveyed by another company.

They said they would not comment further.

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NSW Opposition Leader Luke Foley said the government had mismanaged the project “from the outset”.

“Infrastructure NSW said don’t build it and the NSW Auditor General has made it clear that the project was being atrociously managed,” Mr Foley said.

“This has to be the contender for one of the most disastrous infrastructure projects in NSW’s history.

“It is killing businesses along the corridor and making us a laughing stock internationally.”

Shadow Infrastructure Minister Michael Daley also took aim at the Premier.

“The Premier’s incompetence is evident in the way this project has been mismanaged,” he said.

The VAC Group has been contacted for comment.

Original URL: https://www.dailytelegraph.com.au/newslocal/southern-courier/vac-group-seeking-millions-plus-damages-from-nsw-government-over-light-rail-project/news-story/937c528daedd5e14b75c8872975bde78