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OSHA inspectors and city building officials are usually the people that can make life pretty uncomfortable for construction companies, but it’s a whole different story when the FBI comes calling. A new stadium for the Double-A minor league baseball team, the Hartford Yard Goats, was supposed to open before the 2016 season, but delays and cost overruns have pushed that opening well into 2017. Now, the FBI is investigating, according to the Hartford Courant.
Originally budgeted for $56 million of taxpayer dollars, the new stadium’s budget later ballooned to $63 million and now stands at $71 million. The cost increased, along with the overall delays, eventually lead to the firing of the project’s original developers in mid-2016. Since then, FBI agents have been contacting people with knowledge of the project, the Courant reported.
The mayor of Hartford told the Courant that the investigation was prompted by his administration and is focused on the the original developer. Anonymous sources elaborated to the Courant that as much as $8 to $12 million may still be outstanding to subcontractors.
The developer, on the other hand, believes the company was wrongfully terminated and the fees due are under dispute and the outcome will be decided by a judge. Several lawsuits have also been filed, both by and against the developer.
It’s never a good situation when a company gets fired and when a slew of lawsuits are filed, but it will be interesting to see how the FBI’s involvement will take it further.
Full Story: FBI Launches Probe Into Dunkin' Donuts Park Construction Payments | Hartford Courant
One of the toughest things to deal with on any project can be the relationships between owner and general contractor or the general contractor and subcontractor. In the worst case scenarios, tensions between those relationships can sometimes lead to one of those parties packing up their tools and walking off the job before it’s complete. But that action may make the situation a little hairier than you might expect, if you don’t do it the right way.