Due to non-payment by the Housing Development Corporation for almost a year, a small contractor has been forced to reduce his staff and operations.
Left with no other choice, the contractor intends to sue HDC if outstanding payments amounting to over $200,000 are not settled by next month.
However, the HDC has assured payments will start next week.
Under pressure from financial institutions and running low on his savings, the contractor told reporters yesterday that he does not know how much longer he can keep his business afloat.
Requesting anonymity, the contractor, managing director of Dirt “B” Janitorial & Maintenance General Services Ltd, complained, “It’s affecting my business, part of it close down and I had to send home some staff.”
Four of his employees are now on the breadline and he has since relocated his business to a smaller office.
In 2016, the contractor was awarded a contract to provide waste disposal services at HDC’s Ridgewood Gardens, Phase Two development in Golconda. However, he claimed HDC stopped paying him last November.
Despite sending correspondence personally and through his attorney, he said HDC has not made any payments. He, however, has not stopped working.
“I never stopped the service. They have no complaints about that, everything I am required to do as per contract and agreement I am doing that. But the contract states that they are supposed to pay within or no more than 30 days and if you check, you will see that it is since last year October, that’s a year now, no payments and the thing about it is they do not communicate with you.”
The contractor said his attorney has been liaising with HDC’s legal department, with lawyers there indicating the matter will be looked into. But that was since July and there has been no feedback to date.
The contractor complained that he has had to dip into his savings to keep his business afloat.
“Right now, the bank, it hitting me hard with credit card payments and all that stuff. I had to close down the office at Coffee Street, I was renting, COVID did not make it any easier?”
Contacted by Guardian Media yesterday, the HDC promised that payments to contractors and service providers will start in the upcoming week.
Responding via WhatsApp Messenger, the HDC stated, “The Trinidad and Tobago Housing Development Corporation (HDC) regrets the inconvenience caused to contractors. The expected injection of $500 million via the Government’s guaranteed loan will ensure that the debt to contractors and service providers will be substantially reduced. We will begin payments to contractors and service providers in tranches in the upcoming week. The Corporation is asking our service providers for their continued patience as we honour our commitments.”
