China Harbour Engineering Company (CHEC), a subsidiary of the state-owned China Communications Construction Company (CCCC), has proposed the construction of new facilities at Sri Lanka’s Hambantota Port. the CHEC proposal focuses on the construction of a new shipbuilding and repair dockyard, reports said. The proposal is part of the third phase of the construction of the Hambantota Port.

Incidentally, CHEC is at the center of a Sri Lankan government investigation into corrupt practices by the former Sri Lankan government. According to media CHEC is accused to having offered a bribe to facilitate Rajapaksa’s reelction bid. 

CHEC has denied all accusations of impropriety as “baseless and false” and rejects the idea that it bribed Rajapaksa. “CHEC calls on all the relevant Sri Lankan officials and parties not to misunderstand their responsible and cooperative partner, and not to send a wrong signal to the investors from China and all other countries,” it said in a statement.

According to reports last week, despite the investigation against CHEC, the company has received the Sri Lankan government’s approval to move ahead with a feasibility study for the proposed additions to Hambantota Port. According to the Sri Lankan Ports ministry, CHEC has also proposed that it would handle the management and operations of the dockyard.

(With inputs from The Diplomat)