Govt Awarded Contract To Bankrupt Company With Bad Track Record Loke

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PARLIAMENT | Anthony Loke Siew Fook (Harapan-Seremban) has questioned why the government awarded the concession for dredging and reclamation works at the country’s ports to a company that he alleged is bankrupt and has a bad track record.
“Can the minister deny what I said about this company having all sorts of problems? First of all, Inai Kiara Sdn Bhd, which is the holding company to the one awarded this concession, is a company that is bankrupt.
“Does the minister realise that many of the projects (the company worked on) could not be completed and had to be built by another company? This shows that this company’s capabilities are really questionable.
“How can a company which has a bad track record be given a new concession? The government giving a concession to a bankrupt company, isn’t that a scandalous decision?” he said.
Loke said this during Transport Minister Wee Ka Siong’s winding-up speech for the royal address debate in the Dewan Rakyat today.
Wee had earlier said the cabinet had agreed to award the concession for the dredging and reclamation works at the country’s ports to Integrated Marine Works Sdn Bhd (IMW), which is a subsidiary of Inai Kiara Sdn Bhd.
The minister said among the considerations they took was the company’s 15 years of experience, their involvement in over 200 projects worth RM2.2 billion and that they have already invested in the necessary equipment.
However, he noted that the concession being given to IMW is still in the process of being finalised.
When questioned by Loke about the company’s alleged bankruptcy and bad track record, Wee said it is currently facing some “financial difficulties” that are being handled by banks.
He also reiterated that the company already has the necessary equipment to carry out the works under the concession.
Loke noted that if the company is bankrupt, the equipment would be under receivership with a bank.
With regards to the bad track record of the company, Wee said Loke had only provided one case example, which is negligible in the face of the over 200 projects the company had completed.
When Loke retorted that there are many examples which Wee can check with his ministry, Wee merely urged Loke to provide him with the list of unfinished projects by the company.
It was previously reported that IMW had been appointed as the contractor to undertake dredging and reclamation works at the country’s ports starting July 7, 2021.
IMW was the concession holder for maintenance dredging for all federal ports for 15 years up to Dec 21, 2019.
Checks with the Insolvency Department show that IMW has a stay order on its winding-up, which means that it is still not technically bankrupt. Meanwhile, Inai Kiara does not appear to have any bankruptcy case against it. - Mkini

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