PKFZ: Ex-ministers' 'support letters' questioned
Hafiz YatimPublished: Aug 13, 2009 8:26 AM | Updated: Aug 13, 2009 8:34 AM
DAP national publicity secretary Tony Pua has questioned the wisdom of two previous MCA transport ministers in issuing four letters of support in relation to the Port Klang Free Zone (PKFZ) project.
DAP national publicity secretary Tony Pua has questioned the wisdom of two previous MCA transport ministers in issuing four letters of support in relation to the Port Klang Free Zone (PKFZ) project.
According to the Petaling Jaya Utara MP, "It makes no perfect sense" for Dr Ling Liong Sik and Chan Kong Choy to issue the letters which were deemed as guarantee letters.
"I do not think there is a need for a letter of support to boost the company's (Kuala Dimensi Sdn Bhd) chances to get financing.
“It is either they are financially able to develop it or not. That is the question that should have been posed or raised.
“If four letters of support had to be issued, it shows what type of company the government was dealing with and its true capability,” he told Malaysiakini.
Citing an example, Pua said when Gamuda-MMC was awarded the double tracking railway project, it was based on its financial resource and strength.
AG calls it 'letters of guarantee'
Yesterday, Attorney-General Abdul Gani Patail was called up before the Public Accounts Committee over the matter.
Abdul Gani said it was up to a court of law to decide if the four letters issued by the two former transport ministers were letters of guarantee.
He said while the status of the letters were open to interpretation, but from his own point of view, they were tantamount to guarantee letters.
It was also reported that Abdul Gani had claimed that during the timplementation of the project, "the AG's advice was not followed and at times the AG was not consulted."
PAC chairperson Azmi Khalid had said there were some parties, including the former ministers, who signed those letters and told the PAC that they were letters of support for the controversial project and not guarantee letters and had no financial implication.
"It is up to the Port Klang Authority to decide whether the issue should be brought to the court for a decision," he was quoted as saying.
It was also reported that Chan had signed three letters of support while Ling had signed one during his tenure.
Chan had told the PAC when he was called up that he had sought the opinion of a Queen's Counsel in London, who agreed with him that they were not letters of guarantee.
PAC: Recover lost funds
Meanwhile, Pua said it seemed that Chan had a major role to play in issuing the letters to support the controversial project.
“There is no reason for Chan or any minister for that matter to issue or use the letter of support. In fact, I feel they should not use their position to issue letters to support the project,” he said.
Azmi had said despite the ambiguous status of the letters, it was more important to recover the lost funds which had been used to facilitate the PKFZ's development project.
“Whether they are guarantee letters or otherwise, the money is gone.
“If they are not guarantee letters, how can we get the money back since the fund has already been spent. If the court says that they are not guarantee letters, the authorities need to find out how to get the money back,” he added.
Today, the PAC will call in Transport Ministry secretary-general Zaharah Shaari and other former PKA and ministry officials.
According to the Petaling Jaya Utara MP, "It makes no perfect sense" for Dr Ling Liong Sik and Chan Kong Choy to issue the letters which were deemed as guarantee letters."I do not think there is a need for a letter of support to boost the company's (Kuala Dimensi Sdn Bhd) chances to get financing.
“It is either they are financially able to develop it or not. That is the question that should have been posed or raised.
“If four letters of support had to be issued, it shows what type of company the government was dealing with and its true capability,” he told Malaysiakini.
Citing an example, Pua said when Gamuda-MMC was awarded the double tracking railway project, it was based on its financial resource and strength.
AG calls it 'letters of guarantee'
Yesterday, Attorney-General Abdul Gani Patail was called up before the Public Accounts Committee over the matter.
Abdul Gani said it was up to a court of law to decide if the four letters issued by the two former transport ministers were letters of guarantee.
He said while the status of the letters were open to interpretation, but from his own point of view, they were tantamount to guarantee letters.
It was also reported that Abdul Gani had claimed that during the timplementation of the project, "the AG's advice was not followed and at times the AG was not consulted."PAC chairperson Azmi Khalid had said there were some parties, including the former ministers, who signed those letters and told the PAC that they were letters of support for the controversial project and not guarantee letters and had no financial implication.
"It is up to the Port Klang Authority to decide whether the issue should be brought to the court for a decision," he was quoted as saying.
It was also reported that Chan had signed three letters of support while Ling had signed one during his tenure.
Chan had told the PAC when he was called up that he had sought the opinion of a Queen's Counsel in London, who agreed with him that they were not letters of guarantee.
PAC: Recover lost funds
Meanwhile, Pua said it seemed that Chan had a major role to play in issuing the letters to support the controversial project.
“There is no reason for Chan or any minister for that matter to issue or use the letter of support. In fact, I feel they should not use their position to issue letters to support the project,” he said.
Azmi had said despite the ambiguous status of the letters, it was more important to recover the lost funds which had been used to facilitate the PKFZ's development project.
“Whether they are guarantee letters or otherwise, the money is gone.
“If they are not guarantee letters, how can we get the money back since the fund has already been spent. If the court says that they are not guarantee letters, the authorities need to find out how to get the money back,” he added.
Today, the PAC will call in Transport Ministry secretary-general Zaharah Shaari and other former PKA and ministry officials.
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