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Photo courtesy of Yonhap News |
[Alpha Biz= Kim Jisun] SEOUL, November 5 (local time) — Hyundai Rotem Co., a key affiliate of Hyundai Motor Group, has strongly denied media reports alleging that the company supplied substandard locomotive components to Bangladesh Railway, calling the claims “entirely false and misleading.”
In a statement released on Tuesday, Hyundai Rotem said,
“The allegation that our company was involved in corrupt practices with a former senior official of Bangladesh Railway is completely untrue. Hyundai Rotem has no connection whatsoever to any corruption involving the agency, and there was absolutely no misconduct throughout the project.”
The company added that it has never been sanctioned by Bangladesh Railway during the implementation of its diesel locomotive supply project, rejecting media claims as “speculative and baseless.”
Hyundai Rotem further clarified that it supplied 2,000-horsepower engines and generators in accordance with contractual requirements and proper procedures.
“The engines and generators were delivered following a mutually agreed contract modification process with the client agency,” the company said.
Hyundai Rotem signed a contract with Bangladesh Railway in May 2018 to supply 10 diesel-electric locomotives. During the design phase, a potential safety issue was identified, prompting a technical specification adjustment that was finalized through consultation with the client.
The company also dismissed separate allegations that a Korea Railroad Corporation (KORAIL) executive leaked ₩390 billion ($285 million) worth of bid information to Hyundai Rotem, calling the report “entirely unfounded.”
“We did not receive any advance information related to the EMU-260 bid commissioned by KORAIL in 2023,” the company emphasized.
Hyundai Rotem reaffirmed its commitment to transparency and ethical business practices in all overseas projects and said it will take legal action if necessary to address the dissemination of false information.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
