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Subject: Re--Important dates ERG (court case--Cubic) Jan29th Feb 15th 2002


Author:
Steve Bonkers.
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Date Posted: 13:42:55 01/14/02 Mon
In reply to: Steve Bonkers. 's message, "Re: Use this for some balance sheet work." on 05:04:45 01/07/02 Mon

Start of topic by Scanbox

Message *ERG* Ticketing tender case accelerated (read 10 times; 0 replies)
Conference ASX
Posted Tue 15-Jan-02 04:46


Member Scanbox
Email Address withheld
Member Since 15-Mar-00
No. Connections 537
No. Posts 440

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http://www.smh.com.au/news/0201/15/biztech/biztech12.html


Ticketing tender case accelerated

By Anne Lampe

The NSW Supreme Court yesterday ordered an expedited hearing of a legal challenge to the State Government's tendering process by smartcard ticketing provider Cubic Transportation Systems.

Cubic Transportation's rival, Integrated Transit Solutions (ITS), was last year selected by the Government as preferred tenderer for a $100 million-plus ticketing system covering trains, buses and ferries.

ITS is a joint venture between smartcard specialist ERG and former shareholder Motorola.

Cubic Transportation claims the Government intervened in the tendering process with the result that ITS gained an advantage.

Before Christmas the court granted an interlocutory injunction preventing the contract between the Government and ITS from progressing.

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Cubic wants to set aside ITS's selection and restrain the Government from entering into a contract with the group.

Yesterday, John Griffiths, SC, for the Government, told the court his client wanted the injunction dissolved and that "24 or 25 affidavits" denying the allegations had been served on Cubic Transportation.

The tender was first announced in May 1999. Bids closed later that year and a contract was originally expected to be awarded in March 2000.

However, a final price still has to be negotiated. As the price crept up, the contract was again put out to tender.

It is unclear what role remains for Motorola in respect of the proposed contract sought by ITS.

Mr Griffiths said the Government "has a very keen interest in moving to tie up a contract with ITS".

ITS has given a deadline of February 15 for a decision. It will then withdraw its offer.

A final hearing on the interlocutory matter before then therefore "is critical", Mr Griffiths said.

Counsel for Cubic Transportation agreed an early hearing was required.

Justice Harold Sperling therefore suggested it be placed on the expedited list for January 29.

He said a hearing of the matter in the second week of February would enable a decision to be made before the February 15 deadline.

A spokesman for the Department of Transport said yesterday that the Government would continue to vigorously defend the allegations.

ERG closed yesterday at 53c.

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Replies:
Subject Author Date
Re: Re--Important dates ERG Brisbane contract approaching decision time AFR 15/1/2002.Steve Bonkers.14:00:09 01/14/02 Mon


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