doing business in myanmar – what you need to know as a singaporean
The operator of Yangon Water Bus said it is ready to respond legally to the accusation of a local fuel firm over alleged nonpayment of debt amounting to K70 million (US$ 48,000).
The Petro & Trans Group alleged the privately run river transport service failed to pay for the fuel it used for its operations from September to December 2018, amounting to K77 million.
It alleged Yangon Water Bus, promised to pay the amount in August 2019, but failed to fulfill its obligation.
The fuel company said that if Tint Tint Myanmar Group, which operates the Yangon Water Bus, does not pay its debt on February 28 it would file a case in court.
But officials of the Tint Tint Myanmar Group said they do not know about the transaction with the said company.
Daw Tint Tint Lwin, chair of Tint Tint Myanmar Co, allegedly did not meet anyone from the Petro & Trans Group. Moreover, there was allegedly no indication on who purchased the fuel and company accountants could not find invoices issued by Petro & Trans Group for the fuel it sold to the river transport service.
Yangon Water Bus started running in 2017. It suspended operations in September 2019 as Tint Tint Myanmar Company is testing new ferries, according to U Hla Aung, the joint secretary of the Yangon Region Transport Authority (YRTA). He did not say when the river transport service would re-start operation.
The estimated cost of the project is between $20 million and $37 million, funded with a loan from KBZ Bank.
The regional government implemented the waterbus system to reduce traffic congestion and to cut the waiting time for buses.
Source: Myanmar Times
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