Austin, Texas: Former SH 130 executives accused of hiding road defects from lenders

The new owners of the private company that owns and operates the southern sections of SH 130 has accused the company’s former owners of concealing construction defects from lenders during the building of the private portion of the tollway.

The original SH 130 Concession Company filed for Chapter 11 Bankruptcy in 2016, less than four years after the tollway opened to traffic. Court filings in that ongoing bankruptcy case accuse the original owner/operator of the tollway, Ferrovial (a Spanish company) and Zachry (a San Antonio-based construction firm) of paying $329 million in “fraudulent” payments to a construction company Ferrovial and Zachry created to design and build SH 130.