The story
Ferrocarriles Chiapas-Mayab became a subsidiary of the Genesee & Wyoming on August 26, 1999 with a 30-year concession to operate the railroad. The railroad was damaged by Hurricane Stan in October 2005. The hurricane damaged over 175 miles (282 km) of track and Genesee & Wyoming was not financially capable to repair the railroad. On 25 June 2007, Genesee & Wyoming Inc announced it was giving up its 30-year concession and liquidating FCCM S.A. by the end of 2007. As a result, Ferrosur operates on the Yucatan Peninsula from Coatzacoalcos. Later, Ferrocarriles Chiapas-Mayab was officially taken over by Ferrocarril del Istmo de Tehuantepec in 2008. Through Ferrocarril del Istmo de Tehuantepec, the government invested approximately 1.2 billion pesos in track rehabilitation between 2007 and 2013. It is also implementing a plan from 2014 to 2018 with a budget of 6 billion pesos. In 2012, Secretary of Communications and Transportation amended the railway concession in order to keep the railways under government control while allowing any potential investor to operate the cargo operations. By 2013, The Secretary of Communications and Transportation announced it had given the new amended concession to Viabilis Holdings to continue operations of Ferrocarriles Chiapas-Mayab for a period of 30–50 years.
In September 2014, the Secretary of Telecommunications and Transportation announced that the federal government was going to invest 6 billion pesos to rehabilitate the railway in part to deter Central American Immigrants from hitch-hiking on the train, as well as to increase rail cargo speed in the region.
By 2016, The Secretary of Communications and Transportation (SCT) grew impatient about the deterioration of the railroad, as well at the migrant crises in which Central American migrants were riding on top of the trains. On August 23, The Secretary of Communications and Transportation revoked the concession to Viabilis Holdings. Citing that, "For reasons of interest, public utility and national security" as the reason it was revoking the concession. Viabilis Holdings was given 60 days to remove and dispose of property, equipment and facilities owned off the railway.
One of the shareholders in Ferrocarriles Chiapas Mayab, Pedro Topete Vargas, denounced the revocation of its concession as, "an act of revenge" from Secretary of Communications and Transportation Ruiz Esparza. Due to litigation of his other company, Infraiber, towards SCT favorite OHL, which Vargas has accused of corruption and favoritism.
In 2018, the operation of Ferrocarriles Chiapas-Mayab reintegrated with Ferrocarril del Istmo de Tehuantepec.
From Wikipedia’s article on Ferrocarriles Chiapas-Mayab, shared under CC BY-SA 4.0.3