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Akon-ic ce
performan
pg27
RM147m
bill for PKA
by R. Nadeswaran
and Terence Fernandez
newsdesk@thesundaily.com
PORT KLANG: After the initial shock
of the extent to which the Port Klang
Authority (PKA) is exposed to billion-
ringgit loans for the Port Klang Free
Zone (PKFZ) project, it has now been
slapped with a RM147 million bill for
“corporate advisory services”.
Mega-Wan Corporate Services Sdn
Bhd submitted three invoices and
an accompanying letter dated Sept
12, 2008 requesting for payment.
The letter addressed to PKA’s then
general manager, Lim Thean Shiang,
had requested the amount as settle-
ment for:
» RM97.27 million as professional
fees for corporate advisory and as-
sociated services on the manage-
ment of the PKFZ from January 2006
to August 2007. This ambit of the
services includes consultation on the
appointment of Jebel Ali Free Zone
(JAFZI) to manage the free zone, as
well as the eventual termination of
the management agreement;
» RM1.9 million being professional
fees for corporate advisory and asso-
ciated services to PKA on issues and
queries related to the PKFZ project
between August 2007 and May 2008;
and
» RM48.6 million for professional
fees to advise and conduct financial
re-engineering rendered to PKA to
facilitate the appeal for a RM4.6 billion
loan from the Ministry of Finance to
fund the PKFZ project.
On receipt of the letter and the in-
voices four days later, Lim had sought
copies of letters of appointment or
contracts between Mega-Wan and
PKA or PKFZ. It is not known if these
documents were provided, but yester-
day, Mega-Wan filed a suit at the High
Court in Shah Alam.
PKA sources are in the dark over
such arrangements and have categori-
cally stated that it would be wrong to
appoint agents or intermediaries to
deal with the Finance Ministry.
“Furthermore, although the re-
lationship between JAFZI and PKFZ
were not cordial, they parted ways ac-
rimoniously and the termination was
almost instantaneous with no room
for discussion,” the source said.
Mega-Wan group corporate adviser
Sangar Nallappan confirmed the filing
of the suit but declined to elaborate
on the case as the summons has yet
to be served on PKA. “The sealed copy
should be served by this week,” he
said when contacted yesterday.
According to the Companies Com-
mission of Malaysia, Wan Haslinda Wan
Yusoff, 34, is the major shareholder of
Mega-Wan. As group managing direc-
tor, she signed the letter for payment
addressed to the PKA.
Other shareholders are Hamidah
Bibi Zakaria Marican, Ahmad Tajuddin
Ismail, Suhaila Yaakob, Safina Hasnita
Hasmoni and former MAS managing
director Tan Sri Dr Abdul Aziz Abdul
Rahman who is also group chairman.
Member of Audit Bureau of Circulations (Malaysia)
» 22 RTD personnel get the boot pg2
Consultant solely
responsible
by Charles Ramendran
newsdesk@thesundaily.com
ETALING JAYA: The architect
P
in charge of the demolition of
the former Jaya Supermarket in
Section 14 is solely responsible
for any tragedy on the site, according
to local by-laws.
Petaling Jaya City Council
(MBPJ) development and planning
committee member Derek Fernan-
dez said according to the Uniform
Building By-laws 1984, the person
submitting the plans for demolition
work and construction of a building
– in this case the architect and con-
sultant firm DP Architects Sdn Bhd
or another firm appointed by them
with the approval of the MBPJ – is
responsible for the proper execution
of works until its completion.
(The consultant did not return a
call from theSun at press time.)
Fernandez said due to changes
in the law by the Housing and Lo-
cal Government Ministry in 2007,
local councils no
longer issue
Certificates of
Fitness (CFs)
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Tuesday
June 2, 2009
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» Model escapes from Kelantan prince pg2 News without
borders
for new building or be responsible day when part of the building who is entrusted to treat patients
for its worthiness. collapsed. While the cause of the professionally. He is a professional,
He said the ministry came up collapse is being probed, Fernandez he should know what to do. We, the
with a new endorsement called said the risks involved in the con- local council, are no longer inspec-
the Certificate of Completion and struction of the building, including tors. It is not cost-effective for local
Compliance (CCC) which will be the way it crumbled, had been councils to have their own building
submitted by the approved building outlined in a document (Methods consultants,” he said.
consultant who applied to erect a Statement) submitted to the coun- He said there are no discrepan-
building. With the introduction of cil before the building consultant cies in the work plan submitted by
the CCC, the consultant bears sole started work at the site. the consultant as he had observed the
responsibility of ensuring the fitness “Whether the consultant failed to daily building plan accordingly.
of the building and the safety of take steps to prevent this incident Fernandez said the government
the workers at the site. is yet to be known and is should revert to the old system where
The 10-storey being probed but these local councils had the final say on the
building owned risks had been clearly worthiness of a building and issued
by Jaya Section stated and it is the CFs. “If the CCC does not protect the
Fourteen Sdn consultant’s respon- public and if the government cannot
Bhd was vacated sibility to take all the rely on the competency of profession-
about two years necessary precau- als, the law must be changed and
ago and was tions to ensure there we must have consultants from the
undergoing are no mishaps. We government to check on them.
demolition for the have done away “If this is done, there is a huge cost
reconstruction of with monitoring as which will be passed on to the devel-
a new seven- the architects are oper. We cannot be using taxpayers
storey shop- professionals and money to fund such evaluations for
ping complex. they should know a project that belongs to the devel-
Seven workers and be best at what oper. Building consultants should
died last they are doing. also have indemnity or professional
Thurs- “It is a self- insurance to bear the responsibility
regulated profession of restitution for any mishap which
similar to a doctor may affect others,” he added.
It is learnt that according to the
CHARLES RAMENDRAN/THESUN
Methods Statement which refers to
the procedures, risks and precau-
tions involved in the demolition of
the building, the work involved the
hoisting and placing of four mini
excavators on the fourth floor for the
progressive removal of the floors.
In SHAH ALAM, Selangor Depart-
ment of Safety and Health director
Amir Yahya told Bernama yester-
day a structural expert would be
appointed to advise an investigation
committee to determine the cause of
the collapse.
He said the investigations would
take a while as the department
needed time to investigate from
various angles. It would also inspect
the machinery used in the demolition
works.
The department had also issued a
“Stop Work” order to the contractor
as the area was unsafe for workmen
to perform their tasks.
Meanwhile, MTUC Safety and
Health Committee chairman A.
In plain view ... The English
Balasubramaniam said the commit-
words hide the purpose of the poster
tee members visited the site yesterday
which is to broadcast loan services. The
to help workers who needed help.
real message is in big Chinese characters:
The MTUC vice-president said
“Borrow 1,000, receive 960” referring to the
the congress was concerned over the
sum of the loan and the amount disbursed.
welfare of the workers and would
Selangor CPO Datuk Khalid Abu Bakar
ensure they were protected.
holds up the poster yesterday to announce
He hoped the families of the
the seizure of items which bore details of
seven workers killed in the building
moneylending services. Full report page 4.
collapse would be duly compensated
by the contractor.