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Construction & Engineering News South Africa

Contractors not yet paid for Zimbali resort

The main contractor for construction work at the Fairmont Zimbali Hotel in KZN, G Liviero and Sons, has still not been paid by Dubai-based developers, IFA Hotels, for the work it did on site, reports IOL Property.

IFA was apparently desperate to get the resort completed in time for last year's Football World Cup and entered into contracts with various sub-contractors to complete the job.

Last year, according to the IOL Property report, the company was instructed by the Pietermaritzburg High Court to pay Liviero R18 million but this money is being held as security and cannot be used by the contractor until the counter claim from IFA has been settled. Liviero says it is not obliged to pay the other sub-contractors for work they had done because the main contractor has not been paid.

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