Outgoing Firms Aware Of Kl Tower Change Since July 2024 Says Govt

---

 
The communications ministry asked all parties in the dispute over the operations of KL Tower to give room for the legal process to proceed smoothly.
PETALING JAYA: Menara Kuala Lumpur Sdn Bhd and Hydroshoppe Sdn Bhd were aware of the looming change in the management of Kuala Lumpur Tower since July 2024, says the communications ministry.
The ministry said the Hydroshoppe-owned Menara Kuala Lumpur was already made aware about the change in operational management after signing a fifth interim extension to its concession which started on July 1, 2024.
In a list of frequently asked questions concerning the issue, it also said KL Tower staff working under the company Menara Kuala Lumpur will be unaffected by the change in management.
“All KL Tower workers have been guaranteed by the government that they would be offered jobs by the new management, LSH Service Master Sdn Bhd,” it said.
The ministry said this would be based on the “no less favourable” principle, and that this was outlined in the concession agreement signed by the government and LSH Service Master.
LSH Service Master is a joint venture between LSH Best Builders Sdn Bhd and Service Master Sdn Bhd. The former is a subsidiary of Lim Seong Hai Capital Bhd (LSH Capital).
In a statement, the ministry urged parties involved in the dispute over the operations of the iconic tower not to do anything that would disrupt the legal process, since a case was before the court.
It reiterated that KL Tower belonged to the government and that the transfer of the concession to manage the skyscraper and its surrounding areas had gone through an open tender, in line with the Cabinet’s decision.
It also said the winning bidder had already been announced by the government in May 2024.
“The ministry acknowledges the writ of summons and injunction application filed by Menara Kuala Lumpur following the appointment of the new concessionaire.
“The government, through this ministry, will ensure that any action taken would be in line with legal processes. Therefore, the ministry asks all parties to give room for the legal process to proceed smoothly.
“All parties involved, including the public, are advised against making statements or actions that can disrupt the ongoing legal process,” it said.
This comes just as Hydroshoppe and Menara Kuala Lumpur are to hold a press conference at 11pm at KL Tower’s entrance over the issue.
Last week, LSH Service Master signed a 20-year lease agreement with the federal lands commissioner, effective from April 1, 2025 to March 31, 2045.
Hydroshoppe and Menara Kuala Lumpur filed a lawsuit to challenge the award of the concession, seeking RM20.13 million in losses and damages and for the concession to be transferred to them.
They claim there was an existing “understanding” pertaining to the tower’s management, and that LSH Capital had “induced a breach” of a contract they had agreed to with Putrajaya in August 2022.
The two companies also claimed that they are set to be evicted from the tower at midnight tonight by the police and Kuala Lumpur City Hall, contending that their eviction would be unlawful since there was a suit pending in court.
LSH Capital has said it was not privy to any prior agreement or discussion between the government and the two companies, and would continue to fulfill its obligations under the 20-year agreement. - FMT

---