European Stars and Stripes (Newspaper) - December 12, 1991, Darmstadt, Hesse The stars and stripes thursday december 12, 1991housing project spawns pay trouble americans complain of raw Deal in Germany by Ron Jensen staff writer Vilseck Germany a for Lee Tennison the Opportunity to install dry Wall at the new american government housing project Here meant a Chance to see Europe while saving Money for a Down payment on a House in the states. Instead the 48-year-old Washington d.c., resident says that after two years he is out of Money and out of work. A when 1 came Here i had Money in the Bank a he said. A now i dozens of people associated with the building project on this base in Southeastern Germany Are claiming to be in similar Straits. They say their paychecks when they come have been late and often too Small. De Slaydon 32, a dry Wall contractor from Atlanta said Quot i should have made $2,000 a month this summer. In be made about 1,000 Marks $650 a month. 1 can make that at Mcdonald s. I m three months behind on my rent. They Cut my Gas off last several workers have been unable to pay Bills. Some have quit work. Others still work accepting partial pay. To protect themselves from unpaid rent some landlords in the area Are holding their tenants passports. Meanwhile the 558 housing units a $53 million project were to be finished this month but Are now scheduled for completion in june 1992. The housing is part of an Overall improvement project at the Community Worth about $300 million that has seen the construction of among other things a commissary Post Exchange Bowling Alley schools and child care centers. The project has employed anywhere from 120 to 200 workers depending on the time of year and the work required. And while the unpaid workers Are pointing the Finger at the company holding the government contract for the work that contractor deflects the blame to the subcontractors who employed these people the company president said. A we have several major disputes with a couple of subcontractors a said . Farouk of the the Aegis group of companies based in Reston a. The subcontractors were hired by Aegis and came from the states bringing workers and equipment with them. Those subcontractors either did work unacceptable to Aegis or failed to meet project deadlines said Farouk. As a result Aegis penalized those subcontractors who were then unable to pay their employees. Many of those subcontractors pulled out leaving behind some unpaid employees or taking their employees with them to the states. A any subcontractor who we have no dispute with we Are current with a he said. That claim is disputed however. Slaydon said a a in be been Here two years and i do not know of one contractor or subcontractor who has left the Job with All the Money owed he said he was unable to pay his workers All of the Money owed them. A sometimes a Man i owed 3,000 Marks $1,900id give him 500 Marks $320 a he said. A and they a expect him to keep Gene Kelly construction manager for shelter systems in Maryland which supplied roofing materials amps map _ Ien i came Here i had Money in the Bank. Now i Lee Tennison said his company has been paid in full. But carpenters he knows who did work there Are still owed Money despite doing work that was accepted by Aegis he said. Those carpenters could not be reached in the states. Georg and Trudi Piehler own heavy equipment that they used in april May and Early june to prepare the building site. But when the paychecks did t come the Vilseck couple stopped work. The couple has a letter from Aegis dated sept. 17 promising payment in full of More than 28,000 Marks $18,000 by the end of september. Trudi Piehler said she received Only 10,000 Marks $6,500 and that came in october. Her husband said every business in town that has been associated with the project a hotels restaurants material suppliers or service stations a Are owed Money. James e. Wise Deputy District Engineer for the army corps of engineers acknowledged there Are problems on the site but Laid much of the blame on the bankruptcy in 1990 of one contractor Nordhaus a German company that shared the projects contract with Aegis. A normally we would have terminated the contract but Aegis came in and pleaded hey we think we can finish this a he said. Already behind schedule and suffering Cash flow problems because of Nordhaus bankruptcy Aegis has done an admirable Job Wise said. The first part of the project 370 units was completed in october and the remaining 188 units should be completed before july. A we did not think we would get this far when we agreed to let Aegis go ahead a he said. The original schedule called for the project to be completed this month. A query tuesday to determine what the delay is doing to the housing situation in the Community was not immediately answered. Wise said Aegis is normally responsible for determining if the work of subcontractors is acceptable. But he said the corps knew of at least two companies whose work fell below standards. Some of the employees claim however that Aegis is Labelling some work unacceptable Only so it can refuse to pay. A unfortunately a Wise said a there is probably some of Wise scheduled a meeting this week with Aegis officials to ascertain the dimensions of the problem. Meanwhile the affected workers Are growing More and More frustrated. A you re a hostage Over Here a said Tennison. Americans Are restricted by German labor Law from working for German companies so they simply pile up More debt. If they continue to work for Little or no pay he said the wages they Are owed grow and grow. A now you re in so deep you can to walk away a Tennison said. Many people who came to Europe to work maintained financial obligations in the states he said which started slipping away. A people have been forced to leave Here because they would lose too much in the states a Tennison said. A so they kiss off what they re owed Over a i got paid every month until the sixth month a said Mark Pullen 38, who was hired in september 1990 As a Painter. He is now owed $1,000 in salary and 1,000 Marks $650 in living expenses. He can to afford to leave Europe but if he did he said he Likely would forfeit the Money he is owed. Some of the people Are living with friends. Others have received help from the Chapel on the base. A a in be always worked for my Money. I have to take Charity a said one subcontractor who declined to give his name. He said he was Given 20,000 Marks $13,000 one time to meet a payroll of $27,000. The Bottom line is that these workers dream of living and working in Europe has turned sour. A fall of us sitting right Here a said Tennison at a table with four other workers a i doubt if we could put 100 Marks on the son linked to pension firm s actions Kevin Maxwell London apr substantial evidence links Kevin Maxwell to transactions of a pension fund management company at the heart of the mystery surrounding the missing Maxw Cal millions investigators say. Kevin Maxwell publisher of new Yorkus daily news and his brother Ian Are under court order to disclose by next week what they know about the affairs of the company Bishops Gate investment management Ltd. Bishops Gate is one of several companies controlled by their late father Robert Maxwell. Kevin 32, and Ian 35, resigned last week As directors of Bishops Gate and the two publicly held Maxwell companies Mirror group pc and Maxwell communication corp. Pc. A the evidence we were Able to collect and present to the court Over the weekend regarding Kevin Maxwell appeared to be very substantial a said attorney Margaret Cole. Maxwells flagship paper the daily minor reported last week that $931 million vanished from Maxwell company Cor fers in the weeks before jigs death. The London tabloid reported that the sum included $754 million from pension funds. In another development a published report said documents show creditors face losses of at least $905 million on Loans to the late Robert maxwells private companies. The financial times reported wednesday that confidential documents reveal Bank Loans to the private companies total $1.75 billion $126 million More than previously disclosed. Britain s leading business daily said details were contained in a report by investigators from the London accounting company Coopers and Lybrand Eloitte delivered to the Banks dec. 3. The inquiry led to a court order on sunday freezing Kevin maxwells personal assets and ordering him to surrender his passport said Cole who is working with Neil Cooper the court appointed provisional liquidator of Bishops Gate. Although Robert Maxwell was a obviously centrals to the Transfer of millions in pension fund assets Cooper told a news conference that some questionable transactions possibly took place after he died nov. 5. Two other former directors of Bishops Gate Larry Trachtenberg and Alan Stephens have also been ordered by a court to provide information. The sunday times newspaper quoted unidentified officials As saying Robert Maxwell ordered Trachtenberg an american to gather almost $180 million Worth of share certificates owned by pension funds and to place them in maxwells Safe in late june. The shares were sold or mortgaged and Money raised on them was used to prop up maxwells Empire the newspaper said. Kevin Maxwell won permission from the court to visit new York on tuesday to pursue efforts to hold on to the family owned daily news. While in new York Kevin Maxwell responded to a reporters question by saying a a it a fair comment Quot to Call his father a Crook. Cooper said he met tuesday with the governments serious fraud office which is investigating Mirror group newspapers Plch a pension fund assets
