Metrostav will sue over a debt for the construction of the town hall in Prague 8

Prague - The construction company Metrostav wants to sue the company Centrum Palmovka, which is owned by Prague 8, over unpaid work on the construction of the new town hall in Palmovka. It intends to turn to the arbitration court. Metrostav's spokesperson František Polák informed ČTK today that the city district owes Metrostav about 240 million crowns. The Centrum Palmovka is expected to cost about 1.1 billion crowns, and it is unclear when it will be completed.
    "No agreement was reached in the conciliatory meeting. Metrostav is filing a lawsuit with the arbitration court today," said Polák. Builders have already significantly reduced work this May due to the debt.
    Centrum Palmovka did not want to comment on the ongoing negotiations or the filing of the lawsuit. "This is new information because the last meeting in the framework of the conciliatory proceedings is supposed to take place on Friday. Only then will we be able to comment on it," said František Králík, spokesperson for Centrum Palmovka.
    The construction of the center, costing more than 1.1 billion crowns, was approved by Prague 8 back in late summer 2010. The actual construction began last April. The building is expected to cover an area of more than 16,000 square meters. Representatives of the now opposition ODS and TOP 09, under whose governance the construction started, indicated at the June city council meeting that they are considering filing a criminal complaint against an unknown perpetrator specifically due to the halt in work.
    The plan for the construction of Prague 8's town hall was previously criticized by then-opposition councilors, who described it as "megalomaniacal." The current coalition of ANO, ČSSD, and the Green Party (governing with the support of the KSČM) stated after the elections that they want to review the construction of the town hall along with other contracts.
    Metrostav has previously sued the City of Prague at the arbitration court over the construction of the Blanka tunnel. The company was successful in court, which ordered the payment of work amounting to billions.