Court rejects bid to stop government from cancelling KVDT2 project
BERNAMA
18/09/2020 02:30 PM
KUALA LUMPUR, September18 -- A contractor failed in its bid to obtain an interim injunction to restrain and prevent the Government from cancelling or terminating its contract for the Klang Valley Double Tracking Phase 2 (KVDT2) project, pending disposal of its main lawsuit.
This was after High Court judge (Construction Division) Datuk Aliza Sulaiman dismissed the application filed by Dhaya Maju LTAT Sdn Bhd, pending disposal of its suit against the Government and Transport Minister Datuk Seri Dr Wee Ka Siong, as the first and second defendant respectively.
In dismissing the application, Justice Aliza said the court is bound by the Federal Court’s previous decision which ruled that no injunction can be made against the government and public officials (from performing its public duties).
“I incline to follow the decision (of Federal Court) by not allowing the interim injunction against the Government and public official and therefore, this application is dismissed with costs of RM10,000,” she said.
Lawyer Tan Sri Cecil Abraham representing Dhaya Maju LTAT then informed the court that the company will file an appeal against the decision to the Court of Appeal.
The project came under fire after the Finance Minister Tengku Datuk Zafrul Abdul Aziz released the list of 101 projects awarded via direct negotiations worth RM6.61 billion during the Pakatan Harapan (PH) administration.
This includes the KVDT2 project awarded to Dhaya Maju LTAT worth RM4.475 billion.
On Aug 28, Wee in a statement said that the ministry will reopen the tender for the KVDT2 project after taking into consideration the results of extensive study and investigation which found that the cost of the said project under Dhaya Maju-LTAT was overpriced during the PH administration.
Earlier, Abraham submitted that the press statement by Wee gave an impression that the contract is going to be terminated.
“We are not restraining the government and minister in performing their public duties, this case today purely contractual in nature as we intended to maintain the status quo,” he said.
Senior federal counsel (SFC) Habibah Haron countered that the project involved billions of ringgit and it could not be decided through a press statement.
--BERNAMA
