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03-04-2012 17:19:00

Paris Files Complaint Concerning Defense Ministry's New Headquarters

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PARIS -(Dow Jones)- The Paris city council said Tuesday it has filed an official complaint against the French state over the construction of a new defense ministry headquarters, set to be built by Bouygues SA (EN.FR), because of alterations to previous building plans.

Changes made since the construction license was granted include failure to relocate a bus garage, the council said in a statement. Bouygues, a building-to-broadcasting conglomerate based in Paris, has said the contract to build and operate the compound in the 15th neighborhood of Paris for 27 years starting in 2014 is worth more than EUR2.7 billion.

The council's complaint is the latest potential snag facing the project. French prosecutors were looking into alleged "corruption and favoritism" linked to the tender offer, a spokeswoman at the Paris prosecutor's office said in December.

The ministry "has taken note" of the council's complaint and is "waiting to see its contents before responding," said an official at the defense ministry.

Bouygues declined to comment when telephoned by Dow Jones Newswires.

-By Nadya Masidlover, Dow Jones Newswires; +33 1 4017 1740; nadya.masidlover@dowjones.com

(END) Dow Jones Newswires

April 03, 2012 11:19 ET (15:19 GMT)

Copyright (c) 2012 Dow Jones & Company, Inc.

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