Tajuddin says RM3.47 billion paid to LRT3 subcontractors


Mohd Farhan Darwis

Prasarana Malaysia Bhd has paid main contractor MRCB-George Kent RM3.47 billion up to October last year for work done on the LRT3 project, says chairman Tajuddin Abdul Rahman. – The Malaysian Insight file pic, January 4, 2021.

SUBCONTRACTORS in the Light Rail Transit 3 (LRT3) project who have not been paid should complain to the main contractor, MRCB-George Kent (MRCBGK), said Prasarana Malaysia Bhd chairman Tajuddin Abdul Rahman.

The joint-venture firm, which engaged the subcontractors is responsible for paying them, and not Prasarana, he told a press conference this afternoon following a raid by the anti-graft authorities at its office earlier today.

He also said some of the subcontractors have yet to sign contracts with MRCBGK, even though work has commenced and in some cases been completed.

“I have received a lot of complaints work has been completed but contracts have not been signed. Some of these are Bumiputera contractors. As chairman, I cannot allow this to happen.”

He said he would not heed advice to not interfere in the project as Bumiputera subcontractors were being unfairly treated.

Tajuddin was referring to the need for new contracts between subcontractors and MRCBGK after the joint-venture firm was appointed as the LRT3 project’s main contractor. 

He denied recent reports and letter signed by 17 subcontractors and consulting firms to the Finance and Transport Ministries that Prasarana had been delaying payments of more than RM700 million for work done.

Tajuddin said the government-linked company had paid MRCBGK RM3.47 billion up to October last year.

“We have been paying, it’s not a small amount. Every time they make a claim, we will pay,” he said.

MRCBGK, however, in a statement this evening said the payment Tajuddin referred to was for construction works done ending June 2020, and that the RM700 million owed were for payments from July to October. – January 4, 2021.


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  • This is what happens when you put a politician in as chairman! The chairman and the board is not supposed to interfere in the running of the business but to appoint the right CEO and provide good direction and corporate governance. Here you have not only a politician that interferes with payment to the companies main contractor but one where his family is involved in contracts around Latitude8 and a clear conflict of interest. And he claims there is no conflict of interest because the contract was awarded 8 years ago. If you are chairman and your family is getting a contract it is conflict of interest. Conflict of interest does not have a shelf life. This chairman has failed on more than one account and must resign.

    Posted 3 years ago by Loyal Malaysian · Reply