Authorities urged to probe awarding of RM4.6b contract to company by ex-premier

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Mahasiswa Keadilan Malaysia (MKM) is urging the authorities to investigate the awarding of an RM4.6bil government contract to a company by a former prime minister.

MKM vice-chairman K Yuveraaj said the group – which is the university students’ wing of PKR – has lodged 14 separate police reports on the matter nationwide.

“The contract to supply government vehicles was initially awarded to the consortium between Berjaya Group and Naza Group through a letter of intent (LOI).

“However, according to Berjaya Group founder and adviser Tan Sri Vincent Tan, the LOI was cancelled by a former prime minister and the project was awarded to another company, whose offer was RM700mil more,” he told reporters after lodging a police report at Dang Wangi police headquarters here on Friday (July 28).

MKM is urging both the police and the Malaysian Anti-Corruption Commission (MACC) to conduct an investigation into the matter as the consortium of Berjaya-Naza had initially won the contract as its offer was the cheapest, said Yuveraaj.

Last week, Tan said a joint venture between Berjaya and Naza has filed a legal suit against the Finance Ministry over the termination of the LOI in relation to the supply of government vehicles.

He said the contract was terminated three months after Tan Sri Muhyiddin Yassin took over from the previous government, adding that the deal went to Spanco Sdn Bhd despite the Berjaya-Naza consortium providing a bidding price of RM700mil cheaper than Spanco’s offer. – The Star