HDC chairman welcome to sue if facts were 'distorted', says Baru


Desmond Davidson

SARAWAK PKR chairman Baru Bian today challenged the Housing Development Corporation chairman Dr Abang Abdul Rauf Abang Zen to sue him if he feels the findings in the Auditor-General’s Report 2016 were distorted.

Baru said a trial “will provide a full opportunity for all parties to delve deeply into the facts of the matter and examine in full the details of the unsatisfactory findings of the AG in the report”.

Abang Rauf yesterday also threatened to sue DAP leaders over  their comments and posts on social media which “twisted” and “misinterpreted” the A-G’s Report and tarnished the image of HDC.

The threat was made even as a HDC engineer and a senior technician  were arrested by the Malaysian Anti-Corruption Commission (MACC) yesterday to facilitate investigation into HDC’s payment for a non-existent repainting job.

The 59-year-old engineer and 39-year-old technician had been summoned to the MACC office at Jalan Laksamana Cheng Ho to have their statements taken, during which process they were arrested.  They have since remanded for seven days.

Abang Rauf, a former assistant industrial development minister, said he would be calling an emergency board meeting next month where he would table a resolution for HDC to initiate the threatened legal actions.

Baru, a senior lawyer and the lawmaker for Ba Kelalan, said he fully welcomed “this novel initiative” of Abang Rauf.

“Our Miri MP Dr Michael Teo and Wanita deputy chief Voon Shiak Ni had made numerous site visits to the flats in Miri mentioned in the report, for which RM2.88 millon was paid for them to be painted and repaired, and which work was found not executed, or to have been carried out defectively or not done in accordance with the requirements of the job scope.

“The flats are in bad condition and some parts are even cracking up and chipping off.

“There are real problems on the ground and the chairman should direct his energy towards rectifying these and improving oversight rather than threatening the opposition with legal action,” Baru said in his media conference in Kuching this morning.

“Perhaps at the (HDC) board meeting, the board should obtain sound legal advice on the consequences of breach of statutory duties, misfeasance and breach of fiduciary duties before they make any decision.

“It would be best if their attempts at damage control be directed at their internal procedures and controls rather than at shooting the opposition for merely highlighting their shortcomings,” Baru said.

He said MACC must have had reason to believe that HDC was implicated in this impropriety, “otherwise they would not have carried out these arrests”.

Baru was also surprised that HDC should challenge the AG’s Report, and the MACC investigation.

“(It) was an eye opener to the commission’s defiance of the statutory duties of the institutions clothed with the power to check on accountability and integrity of public spending, abuse and misuse of power and corrupt practices by the public authorities.”

He said MACC should also delve into HDC’s financial practices, like why no prior approval was obtained from the State Financial Secretary for exemption from established financial procedures.

Baru was referring to the advance payment of RM16.80 million for a road upgrading project in Sibu, resulting in the government incurring interest charges of RM1.77 million.

There was also a payment of RM33.40 million made to suppliers without being verified by an authorised officer.

The A-G’s Report stated the supplier’s invoices for three progress payments amounting to RM10.33 million were not original copies; four progress payments amounting to RM2.30million were not supported by suppliers invoices from the contractor; and six payment vouchers amounting to RM20.77 million were not supported by payment certificates.

“I urge the MACC to investigate fully all these findings and bring those responsible to account if there is evidence of wrongdoing, especially since this involves a large sum of taxpayers’ money.” – August 19, 2017.
 


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