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23 November 2017

PAC: Selection of contractors for govt projects must be via open tender

(File pix) The Public Accounts Committee (PAC) Datuk Seri Hasan Arifin. Pix by Yazit Razali
KUALA LUMPUR: The Public Accounts Committee (PAC) today stressed that the selection of contractors for government projects must be done through open tender.
These include the construction of religious secondary schools (SMKA).

PAC chairman Datuk Seri Hasan Arifin said the projects must also be implemented by the Public Works Department (PWD).
"The tender process should be carried out only upon approval of the local authorities to avoid any problems on the site.
"Strict action should be taken against contractors, consultants and suppliers if they fail to supply or install project components, especially if it affects the project's functionality," he said in a statement.
The Rompin Member of Parliament added that contractors and consultants who fail to implement projects in accordance with the tender should be blacklisted as a lesson to others.
In a meeting on March 18, the PAC had summoned Education Ministry secretary-general Datuk Seri Alias Ahmad to clarify issues related to the management of SMKA construction projects.
The matter was raised in the 2014 Series 3 Auditor-General Report presented to Parliament on Nov 23, 2015.
Matters raised included late issuance of the Letter of Acceptance, late contract signing, impractical construction design and unsatisfactory quality of work.
Hasan said the PAC concluded from the meeting that SMKA projects - which were awarded through direct negotiation or limited tender and monitored by consultants - had faced problems.
"The consultants failed to ensure that contractors complied with the designs provided such as in the case of the elevator mains not being according to size," he explained.
Hasan said the consultancy company also lacked experienced staff at the project site for monitoring purposes, resulting in a lot of work not carried out according to specifications

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