Probe ‘dubious’ hospital deal, MACC told

PAS leader Khalid Samad wants the anti-graft watchdog to sniff out if there are any wrongdoings related to the Shah Alam hospital project.

SHAH ALAM: Shah Alam MP Khalid Samad today urged the Malaysian Anti-Corruption Comission (MACC) to investigate another alleged dubious deal related to the stalled Shah Alam hospital project.

In his report with the MACC office here, the PAS MP claimed that Frontier Structures Sdn Bhd, a new company eyeing the hospital project, had managed to influence the finance ministry to cancel the previous tender exercise done last year.

“And the company is not even registered with the Contractors Services Centre (PKK),” said Khalid.

The RM300 million Shah Alam hospital project, mooted in 2006, was sub-contracted to GM Healthcare Sdn Bhd by its then main contractor, Sunshine Fleet in 2007, when its first sub-contractor, Isyoda Corp Bhd, withdrew from the project.

Expected to be completed in 2009, the project was stalled after GM Healthcare filed a lawsuit against the main contractor after the latter failed to make payments to the former.

The works ministry then cancelled Sunshine Fleet’s tender and called for a new tender exercise in July last year.

Khalid said that though the Public Works Department (PWD) had finalised one company to run the project in December, Frontier Structures had lobbied Sunshine Fleet to influence the finance ministry to award the contract to itself.

“Frontier Structures even offered an RM30 million sub-contract deal to Sunshine Fleet if it gets the tender,” alleged Khalid.

He feared that Frontier Structures might have succeeded, claiming he had a copy of a letter from the finance ministry which requested the PWD to cancel the previous bidding results and start a fresh one.

“And Frontier Structures will be included in the new bidding process,” he said.

On why the new tender exercise was yet to be called, Khalid alleged that it was to allow Frontier Structures time to get itself registered with the PKK.

“With the registration, it will qualify to participate in the new tender exercise,” he said.