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The Lopesan construction company's dispute with a children's hospital in Colombia turns 10.

The Lopesan construction company's dispute with a children's hospital in Colombia turns 10.

Newsroom Wednesday, March 12, 2025

This is a matter that falls under the jurisdiction of Lopesan's construction division, not the tourism business. However, since they made the mistake of keeping the same name after the separation of interests, the tourism division is burdened in terms of reputation, as it is the most well-known in the world. The problem with Lopesan's alliance with the construction company on El Hierro, Fronpeca, which collapsed during the real estate bubble, is now 10 years old. It is a €15,4 million project. On January 25, 2015, the Hernando Moncaleano Perdomo University Hospital in Neiva, Colombia, filed a lawsuit against the members of the Lopesan Fronpeca Consortium (hereafter referred to as the "Lopesan Fronpeca"), seeking a declaration of non-compliance with the contract. 


This Tuesday, it was learned that the appeal by the Lopesan and Fronpeca joint venture to avoid paying the Colombian government €15,4 million plus interest has failed. A high court has just dismissed an appeal seeking to annul the proposed liquidation of the Hernando Moncaleano University Hospital, which still lacks a maternal and child care center to reduce infant mortality.

In theory, the Canary Islands-based UTE was supposed to have 60% of its working capital and additional equity available to execute the works with its own resources, but this did not happen because it lacked the financial muscle, as initially agreed, to complete the project. On March 8, 2022, the Administrative Court of Huila issued a first-instance judgment declaring the UTE in breach of the construction contract and ordering it to pay damages. The damages were estimated at €15,4 million plus interest.

The project was awarded on September 7, 2011, in a public tender to the UTE Lopesan Fronpeca during the administration of Governor Luis Jorge Sánchez. Construction began in November 2011 amid serious design problems, a lack of supplies, and, essentially, a lack of resources. According to the initial schedule, the first phase was scheduled to be delivered on October 23, 2012. However, it was not delivered to the bidder due to a lack of funding. 

Due to repeated non-compliance, the Neiva University Hospital declared the contract void on January 25, 2013. According to Jesús Antonio Castro, the hospital's manager at the time, the consortium had only completed 41% of the work. The matter reached the Colombian courts, and the Canary Islands-based UTE (United Nations Joint Venture) challenged the court's decision, but the judge ruled against the island group due to "contradictions in all the actions."

 

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