Excessive delays in the release of Xxx due progress payments
Our Ref: xxx
Date: xxx
To : xxx Mideast
Oman Branch
Attention : Mr. xxx Sing
Project : xxx Building, Oman
Subject : Excessive delays in the release of Xxx due progress payments
Dear Mr. xxx,
We are writing to seek your support in the release of our progress payments which is now excessively overdue with the Main Contractor M/s Shapoorji.
Although we have completed the delivery of all the PODs over three months ago (on 13th December 2020), we still have not received any of our progress payments on the project. Xxx has effectively fully financed and completed the entire project while having received only the advance payment.
We have been following up on a regular basis with the Contractor on the status of the due payments without success, and we are completely in the dark as to when these will be released.
Payment is now overdue for both IPA-1 and IPA-2 which alone account for a gross certified amount of 480,770 OMR representing over 93% of the value of our contract.
Considering the challenges faced in the initial stages with the Main Contractor, Xxx involvement on this project was based in no small part on the grounds of its good business relationship with M/s xxx and the cordial assurance of the support that your esteemed company would provide in light of our reservations towards the foreseen risks at the time.
We therefore kindly urge you to intervene on an urgent basis for the release of our due payments as Xxx finances and cashflow cannot sustain such excessive payment delays and exposure on one single project.
Thanks,
On behalf of Xxx LLC
xxx
Project Manager