A GROUP of about 30 “genuine” Bumiputera contractors proposed that the Works Ministry set up a monitoring unit in Sarawak to keep an eye on the conduct of some of their peers whom they accuse of being “Ali Baba” contractors.

In a proposal forwarded to Works Minister Baru Bian in a dialogue in Kuching today, the G1 to G4 contractors called for the relevant authorities to act tough on the errant contractors by cancelling their licences altogether.

“We strongly propose that the licences of these ‘Ali Baba’ contractors be revoked immediately,” Mahran Jamel, chairman of Hak Bumiputera Sarawak, stated in a note to Baru.

“It’s an appropriate measure,” he said.

Mahran said however that there should first be an awareness programme to “rehabilitate” errant contractors.

“The awareness programme should send a clear message to these contractors that the government is serious in tackling the ‘Ali Baba’ way of doing things in Sarawak,” Mahran said.

Bumiputeras are given preferential treatment for some government contracts, and in the “Ali Baba” way of doing business, some licence holders “rent” their licences to non-Bumiputera businessmen who have the business know-how to bid for government contracts.

If they are successful, the Bumiputera licence holders will get 5% of the value of the contract in return.

Mahran said as a result, many “genuine” contractors failed to land any bids “in the last few years”.

“It’s affecting us seriously. Some of us are forced to sell our machinery and equipment to survive.

“Some were totally forced out of the business altogether,” he said.

Mahransaid the unit could be the eyes and ears of the government, and cases of Ali Baba incidents could be quickly channelled to the relevant authorities like the Construction Industry Development Board, Contractor Development & Entrepreneurs Division, or even to the Malaysian Anti-Corruption Commission for action.

Baru, in a media conference, said the “Ali Baba” problem was serious and widespread.

“It’s quite widespread and is a common practice,” Baru said.

Baru said that the Pakatan Harapan government would “take serious action” to stop the practice and get Bumiputeras to “learn how to stand on their own feet”. – October 6, 2018.