The SOE, China Railway Sixth Bureau Group, admitted that 80 of its workers got into a fight late last month with the protesting workers employed by Xintong Company. The SOE told local media that its personnel has been blocked from working on the Bijia Mountain tunnel project since last March, after the company backed out of its contract to build more than 16km of tunnels.

Xintong was subcontracted by the SOE to build 11 tunnels on a new railway linking Hefei, Anhui Province to Fuzhou, Fujian Province. The contract was worth CNY 846M yuan (USD 133.38M). The China Railway Sixth Bureau Group claims it paid 418M (USD 66M) yuan to Xintong after it backed out of the project in February 2012 after completing just 7km of tunnels.

The SOE said it will cooperate with the police investigation.