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news without borders
Husna Yusop and Giam Say Khoon at the Dewan Rakyat yesterday
PAC finds no evidence of
abuse in Eurocopter deal
THE Public Accounts Committee (PAC) did
not find any evidence of abuse of power in
the tender process by the Defence Ministry
for the RM1.6 billion purchase of 12 Euro-
copter EC725 helicopters.
However, PAC chairman Datuk Seri
Azmi Khalid expressed concern that the
deal, now on hold, was struck without any
physical inspection.
“Although we did not find anything
incriminating in the two-day inquiry, PAC
members have expressed the need to
continue monitoring the progress of the
deal because it is a high-profile case.
“We will not hesitate to conduct inquiries
and call back witnesses or new witnesses
if necessary.
“ We were unable to determine the cor-
rect price for the deal because we could only
Audit finding will be revealed tomorrow: Azalina
THE finding of independent audit firm
PriceWaterhouseCoopers (PwC) on Tour-
ism Malaysia’s subsidiary companies will be
revealed on Wednesday, Tourism Minister
Datuk Seri Azalina Othman Said said.
This includes its audit on Pempena Sdn
Bhd – the driver of Malaysia Kitchen – and
Tourism Malaysia’s official portal Malaysia
My Destination, she said in her winding-up
speech on the 2009 Budget yesterday.
“The ministry has asked PwC to audit the
Malaysia Kitchen. If it was found to have mis-
used power or wasted people’s money, action
will be taken against those responsible.”
Earlier, she addressed Lim Kit Siang’s
(DAP-Ipoh Timur) query about Pempena
executive director Datin Paduka Chew Mei
Fun, who is former PJ Utara MP and Women,
Family and Community Development Minis-
try parliamentary secretary.
Lim had asked why Chew was appointed
to the post and paid RM10,000 monthly,
given a car and a driver and Pempena had
hired more staff than the number allowed
by the government.
Azalina said there was nothing wrong
with Chew’s appointment and her service
Guan Eng hopes Najib will be PM for all
LIM Guan Eng (DAP-Bagan) congratulated
Deputy Prime Minister Datuk Seri Najib Ab-
dul Razak for winning the Umno president’s
post uncontested and hoped that he will be
“the new prime minister for all races instead
of for Umno only”.
The Penang chief minister said he will
try to make an appointment with the prime
minister-designate to discuss healthier and
more appropriate cooperation between the
state and the federal government.
“We do not want to see Penangites
sidelined as they pay about RM5 billion in
income tax yearly, so they must also be
taken care of. It is unacceptable if what we
get back is less than 20% of what we gave,
evaluate from the best tender. According to
the terms of tender, the tendered price of
RM1.604 billion from the Eurocopter will
only hold until February.
“After that, it will have to depend on
whether the manufacturer is still willing to
sell at the same price,” he added.
However, Azmi said PAC was not satis-
fied with the ministry for not having a physi-
cal inspection before choosing Eurocopter.
He said the test flight pilots of the Royal
Malaysian Air Force (RMAF) had tried the
helicopter and thus opined that physical
inspection was not necessary.
“So we suggested to the RMAF to make
physical inspection compulsory in future
and a decision was made that a thorough
pre-delivery inspection will be conducted
when the deal is done,” he said.
Azmi and his deputy Tan
Seng Giaw at the PAC
meeting yesterday.
was sought because of her past experience,
adding her remuneration was the same as
that received by her predecessor.
“The minister’s office has only eight offic-
ers. The others as mentioned by Lim was for a
subsidiary company (Pempena) and they were
recruited based on procedures, including by
going through interviews,” she added.
Lim said he was not questioning Chew’s
job but the fact that Pempena had hired
some 20 people for political work and not for
tourism-related jobs (as reported by theSun)
and this is a waste of people’s money.
To this, Azalina said since the ministry has
ordered the audit, they should all wait for the
PwC to present its report tomorrow.
Earlier, she was taken to task by Datuk
Anifah Aman (BN-Kimanis) over a promise
made while helming the Youth and Sports
Ministry – that a mini stadium will be built in
every parliamentary constituency.
“You made this promise but to date nothing
came of it. How can we believe when you say
you will set up a homestay in every parliamen-
tary constituency?” Anifah asked, suggesting
Azalina was just making false promises.
Azalina said the homestay programme
so he must be a prime minister that cares
for all Malaysians,” he told a media confer-
ence in Parliament lobby.
Najib on Sunday garnered 138 nomina-
tions from 191 Umno divisions to win the
top post uncontested.
Lim said he hoped Najib, who is also
finance minister, can announce some meas-
ures that benefit the people in his ministry’s
wrap-up for Budget 2009 tomorrow.
“So far, he (Najib) has announced RM5
billion to buy under-valued shares in the
stock market and nothing for ordinary
Malaysians. So I reiterate DAP’s proposed
RM48 billion economic stimulus.”
The DAP proposed in its stimulus plan
Azmi said PAC also proposed the govern-
ment set up an independent review panel
to monitor any expensive procurement.
“It is up to the government to determine
whether procurement involving RM100 mil-
lion and above should be monitored by a
panel but that will ensure that a purchase is
done in a more transparent manner.
Azmi also explained that there was
confusion in the price of the helicopters as
different figures had been reported.
“All figures were incorrect as we had
seven tenders and only three of them were
suitable. Of the three, the lowest tender was
RM1.262 billion, followed by RM1.604 billion
and RM2.442 billion, but the government
had chosen the RM1.604 billion tender as it
met the requirements set by the Air Force,”
he said.
Asked why the government did not
choose the lowest tender, Azmi said only
Eurocopter has managed to meet the
requirements set by the ministry. “The
requirements, I cannot reveal,” he said.
“The Nuri helicopters are in the proc-
ess of being phased out although RMAF
has ensured that the helicopters are still
airworthy until 2015. A total of 95 persons
died in helicopter crashes involved Nuris
and it is difficult to determine whether the
crashes were due to human error.
“We are also worried about delaying the
replacement of the Nuri.”
On the allegation by Lim Kit Siang
(DAP-Ipoh Timur) that the Nuris can still
function for another 20 years, Azmi said the
Nuris did not have night flight capability and
were unable to perform auto-pilot rescue
in the air. “These can only be overcome by
using new helicopters and it will cost more
for the Nuris to be upgraded.”
she had announced was regulated by pro-
cedure whereby every constituency was
informed about it in a letter and the MPs
in turn will have to reply, and this will be
followed with the necessary forms later.
This annoyed Anifah who asked why do
the MPs have to ask for the forms as the
ministry should just send it to them.
Azalina said the ministry did not send the
forms to everyone as not all were interested.
Anifah pressed on with his views on
the homestay and demanded to know if it
would end up like Azalina’s “mini stadium
promise,” asking how many mini-stadiums
have been built to date.
Azalina replied that any decision on the
mini-stadium would have to be determined
by the Youth and Sports Ministry and the
Economic Planning Unit.
She then raised the anger of the opposition
when she told Dr Siti Mariah Mahmud (PAS-
Kota Raja), in the first phase, letters about the
homestay programme were only sent to the
BN MPs, while the opposition MPs may be
included later under the next phase.
Fong Po Kuan (DAP-Batu Gajah) said
the approach was wrong.
on Sunday that:
» RM6,000 annual oil bonus be given to all fami-
lies earning less than RM6,000 a month, or RM
3,000 annual bonus to bachelors earning less
than RM3,000 a month. The amount, Lim said,
would cost RM35 billion or a third of Petronas’
2007 gross profits of RM107 billion;
» A progressive reduction of corporate tax
rate from the present 25% to 17% which
will cost RM13 billion;
» A daily revision of petrol prices to take
into account changes in the international
price of oil; and
» A reduction in electricity tariffs, earlier
increased by 26% for businesses, to reflect
the latest change in the price of oil.
theSun | TUESDAY NOVEMBER 4 2008
briefs
Lim wants assurance on Nuri safety
LIM KIT SIANG (DAP-Ipoh Timur) wants the Nuri helicopter
manufacturer Sikorsky to make a professional submission
whether the helicopters are “flying coffins” because air force
personnel are exposed to constant danger.
Lim said he had received an e-mail from a former Nuri
pilot that the helicopters could be upgraded for only a few
hundred million ringgit instead of a billion ringgit for the
purchase of Eurocopter’s Cougars, which were first manu-
factured 40 years ago.
“This e-mail from a former Nuri pilot claimed that 85%
of the Royal Malaysian Air Force Nuri crashes were due to
human error, 10% due to enemy aggression and only 5%
technical problems,” he said.
Symposium to discuss prices of goods
THE Domestic Trade and Consumer Affairs Ministry is organising
a symposium in the middle of this month to identify the causes
for the increase in the prices of goods, its deputy minister, Jelaing
Mersat, said.
He said the symposium would involve manufacturers, whole-
salers, consumers, consumer associations and the government.
“They will be given a day to identify, discuss and find out whether
the cause of the price hikes is due to transportation problems or
dishonest traders,” he said in reply to a supplementary question
from Ahmad Maslan (BN-Pontian) on measures taken by the
ministry to raise consumer awareness of high prices despite fuel
prices being revised downward four times. – Bernama
Project awarded through negotiation
THE Ipoh-Padang Besar electrified double-tracking project
was awarded to the MMC-Gamuda joint venture through
direct negotiation, Deputy Transport Minister Datuk Seri
Lajim Ukin said.
“We considered the expertise of the companies bidding for
the project,” he said when responding to a question from Sala-
huddin Ayub (PAS-Kubang Kerian) during question time.
Lajim said it was better for the project to be awarded
through direct negotiation than open tender as MMC-
Gamuda has the expertise to carry out the RM12 billion
project and meet the standards set by the government.
He said work on the project, which would be completed
in five years, started on Jan 8. – Bernama
‘No favouritism in issuing demo permits’
THERE is no double standard or favouritism in issuing permits
for gatherings or demonstrations, be it those organised by the
Barisan Nasional or the Opposition, Deputy Home Minister Datuk
Wan Ahmad Farid Wan Salleh said.
“The criteria used to determine whether a permit should be
given or not is not whether it (gathering) is organised by Umno or
PAS or anyone. The first criteria is whether it would affect national
security and public order,” he said in reply to a question from Lim
Guan Eng (DAP-Bagan).
Lim had said that no action was taken against Umno for
organising an illegal demonstration in Komtar just after he was
appointed Penang chief minister.
“It was the same in the case of several demonstrations led
by Rembau MP (Khairy Jamaluddin, who is the prime minister’s
son-in-law). No action was taken by police,” he said.
“Therefore, it would be better for the government to allow
peaceful demonstrations as it is a basic human right.”
MP seeks explanation on Silterra’s losses
TONY Pua (DAP-Petaling Jaya Utara) wants the Finance
Ministry and Khazanah Nasional, the government’s investment
arm, to explain the RM1 billion in losses incurred by its subsidiary,
Silterra Malaysia Sdn Bhd.
Speaking to reporters in Parliament lobby , Pua said Silterra
had not only incurred losses as reported by Chua Tee Yong (BN-
Labis) last week but the Companies Commission of Malaysia’s
record had shown that the company also made losses of RM864
million and RM646 million in 2005 and 2006 respectively.
“The revenue generated by the company in these years were
only RM461 million and RM551 million, lower than the losses
incurred. What is most fearful is the fact that the company is seek-
ing additional RM8.5 billion to fund its expansion in operations
despite its shareholder capital being reduced from RM5 billion to
only RM798 million in 2006, possibly even lower in 2007.”
HDC to become statutory body
THE Halal Industry Development Corporation (HDC) will
become a statutory body once the Halal Act, now being
evaluated, is passed by Parliament, Deputy Minister in the
Prime Minister’s Department Datuk Dr Mashitah Ibrahim
said.
“After taking over the halal certification programme
from the Islamic Development Department (Jakim) on Oct
15, HDC has approved 637 applications, including 10 at the
international level.
“HDC has also conducted training for 1,234 participamts
from 63 companies,” she told Datuk Sapawi Ahmad (BN-
Sipitang).
Mashitah also told Dr Siti Mariah Mahmud (PAS-Kota
Raja) the company has enough manpower as it is also
assisted by officers from Health and Domestic Trade and
Consumer Affairs Ministries.