Murray & Roberts [DATA JSE:MUR] could be liable for the Grayston bridge collapse in Sandton, which left two dead and several injured.
Michael Bagraim who is an attorney at Bagraim Attorneys said the municipality will most likely be looking into this accident and its effects. Over and above the inconvenience of people being unable to go about their business, there are direct costs that flowed from the medical personnel, emergency personnel, and traffic cops.
“The place [was] swarming with officials, it’s basically a disaster and disaster management will calculate the direct costs. The indirect costs to the economy will never be able to be claimed, but Johannesburg being the economical capital of Southern Africa really, it brings it to a standstill,” he qualified.
According to Bagraim, the construction company has to now brace itself for all sorts of claims for damages which are inevitable. This is be compounded by the reputational damage created by this accident.
“There are expected to be hundreds of hours spent on investigation, to work out what went wrong, who is liable… there will be hundreds of individuals pulled into the investigation," said Bagraim.
In a press release, Murray & Roberts confirmed that it has launched a formal investigation into the causes for the collapse of the bridge.
“The investigations will include analysis and research conducted by technical, engineering, legal and forensic specialists,” said the report.
The construction company shared the sentiment: “We are as concerned as everyone to understand what happened, and commit to sharing information as soon as the investigation is complete… Our immediate priority is to continue reaching out to the families of those affected and to ensure they are being taken care of.”
Following the incident, Murray & Roberts’ stock price took a sharp downturn dropping by more than 7 per cent, but recovered today. According to reports the company’s share price is 73 per cent lower than five years ago.