AVE contracts suspended after corruption suspected

100 million euros worth of contracts to build parts of the Extremadura high speed train AVE network have been suspended after the Ministry of Development found “irregularities” in the awarding of the contracts.

Above, the Minister for Development, Ana Pastora, in front of part of the contracted line which is now suspended.

Translations: They found kickbacks to someone who is no longer in political favour?

It seems that the companies who won the contract were passed confidential information about the scale of the other bids in the tender, and so were able to modify their own bids to win. An investigation by Development into the tender process, which was carried out by ADIF the railways operators, has been opened. It seems that some of the other bidders in the tender complained that people within ADIF had offered the information to the highest bidder.

The contract is for 17km of AVE line through Extremadura which will connect Madrid with the capital of Portugal.

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