Reliance insists it is paying contractors on time

Vol 7, PW 6 (04 Jun 03) News in Brief

Drillers in Mumbai tell us Reliance is facing a severe cash crunch and is delaying payments to contractors because of its over exposure in the telecom sector.

Reliance denies this. There is no cash crunch or delay in payments," reveals a Reliance source.

"We are dealing with 698 contractors and some have submitted double claims. We are carefully examining their claims before making a final payment." Industry sources tell us Transocean is one company facing a payments delay from Reliance.

However a source strenuously dismisses the claim and stresses that Transocean is being paid on time. Transocean's Discoverer 534 drillship was deployed with Reliance for over a year.

Without naming names, Reliance suspects that companies who have made double claims are behind the rumors.

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