http://www.news.com.au/story/0,10117,12405828-2,00.htmlSniper...

http://www.news.com.au/story/0,10117,12405828-2,00.html

Sniper threat to building giant
By Paddy Manning and Brad Norington
March 01, 2005



Target ... Multiplex's Wembley Stadium project / AFP

THE nation's largest construction company has been targeted in a worldwide $50 million extortion bid - possibly from the Russian mafia - after receiving a ransom note that includes threats to shoot crane drivers.

New South Wales police confirmed last night that detectives were investigating a plot to extort millions of dollars from Multiplex, which built Sydney's Olympic stadium and is redeveloping Wembley Stadium in London.
The Australian understands the written threat sought $50 million and the extortionist's deadline is some time today.

The company this morning confirmed the threat originated in Sydney - where the company has its corporate headquarters.

UK managing director Martin Tidd said: "I can't comment on the specifics of the threat because it's subject to ongoing police investigation.

"The criminal threat was made in Sydney and that's why it's under New South Wales jurisdiction, but clearly we are treating it as a threat on a global scale."

Mr Tidd could not confirm reports of alleged Russian mafia links to the extortion bid or say whether it involved specific major projects by Multiplex in the UK, such as the $1.16 billion redevelopment of Wembley Stadium, which began in September 2002.

The Metropolitan Police Service in London said it was "working closely with the Australian police, the victim and the unions to monitor the situation and minimise any potential risk".

At the centre of the drama is a threat that snipers will begin shooting crane drivers at Multiplex sites in Australia and overseas if the company does not hand over millions of dollars in ransom money by today.

Construction Forestry Mining and Energy Union NSW secretary Andrew Ferguson said the union and company regarded the matter as serious.

"We've heard suggestions it may be the Russian mafia, or a disgruntled contractor owed money for work completed on a project," Mr Ferguson said.

A police spokeswoman would not disclose the exact nature of the threat or the amount demanded, but said detectives were taking it seriously.

Construction workers at Multiplex sites in Australia will stop work today to discuss how to handle the threat. The CFMEU was made aware of the threats last week and has spoken with crane drivers.

Mr Ferguson said the extortion threat may have stemmed from a disgruntled contractor. However, the union was not aware of the origin of the threat.

"The union has been liaising with Multiplex management and police in respect of this extortion racket," he said.

"Both Multiplex and the CFMEU regard the matter as serious."

Mr Ferguson said the union would work towards an "intelligent response that doesn't create any unnecessary alarm to building workers or their families, or undue losses or costs to Multiplex".

NSW police last night declined to comment on how the extortion threat was delivered to Multiplex, or precisely when it was received.

They also could not confirm any link between the extortion bid and the Russian mafia.

"The threat against Multiplex is considered serious and police officers are working closely with the company, staff and relevant unions to resolve the situation," the police spokeswoman said.

"Detectives from the State Crime Command's robbery and serious crime squad are conducting this investigation."

The Sydney-based Multiplex is one of the world's biggest construction companies, with projects worth a combined $6.9 billion under way internationally.

Coincidentally, Multiplex founder John Roberts yesterday stepped in to stop his company's dramatic share price slide, offering a £20 million (about $50 million) indemnity over any losses that emerged on the troubled Wembley Stadium project.

The strategy appeared to put a floor under Multiplex shares yesterday, which recovered 10c or 2.2 per cent to close at $4.60.

Last week, Multiplex was hammered by investors, losing $1.08 or 19.3 per cent in two days to close at $4.50 on Friday, after it announced $68 million in writebacks on profit already booked on two British construction projects including Wembley Stadium.

The Roberts family owns 26 per cent of Multiplex, estimated to be worth $983 million. Last week's share price falls would have wiped $235 million from the family's wealth.