The Anti-Corruption Agency (ACA) should investigate the landscaping and beautification contracts worth millions awarded to various companies by local municipalities in Penang over the past few years.

Penang DAP alleged that the secrecy shrouding the bidding and tendering of these contracts, the exorbitant cost of the projects and the quality of work carried out, raise suspicion.

Its organising committee chairperson Danny Law Heng Kiang alleged that both the Penang Island Municipal Council (MPPP) and the Seberang Perai Municipal Council (MPSP) have numerous times awarded contracts to higher-priced bidders than lower ones.

"The ACA should probe into the system and procedures deployed to award contracts, the exorbitant cost of the projects and background of companies which secured those contracts.

"We believe that these companies belonged to cronies of several municipal councillors and ruling Barisan Nasional (BN) leaders," he said.

He said expensive contracts were awarded to companies to carry out landscaping and beautification projects, even though the projects could be implemented at a much cheaper rate.

MPP gave out RM2 million while MPSP tendered out RM7.4 million worth of landscaping and beautification contracts in 2000.

In 2002, the cost leapt, with MPPP forking out RM6 million and MPSP RM8.8 million. In 2003, the figures stood at RM7.4 million and RM10 million respectively.

Poor work

Law said the companies awarded these contracts were also guilty of producing poor work.

As an example, he said MPPP gave out a RM145,400-contract for a beautification project in Island Glades, Gelugor last year, but the company concerned has yet to upgrade the area.

Similarly , the respective company which carried out the task along Jalan Gurdwara failed to produce quality work, he added.

Penang DAP registered surprise over MPPP's inaction to punish both companies and rectify the situation.

According to Law, the party will lodge a report with the ACA over this matter.

"We believe something is amiss. The ACA should probe immediately as it involves public funds," he said.


ATHI VEERANGGAN is malaysiakini's Penang-based stringer.