Shah Alam MP Khalid Abdul Samad today criticised the Works Ministry for re-tendering the Shah Alam Hospital project as it had incurred higher cost and led to longer delays.
He said that after Sunshine Fleet Sdn Bhd, the original main contractor of the project, was axed in 2010, he had proposed that the company’s appointed sub-contractor GM Healthcare Sdn Bhd finish the job.
“The appointed sub-contractor could not complete the hospital because Sunshine did not pay them but after Sunshine was axed, the appointed sub-contractor had volunteered to take over the project.
“They said they could finish it within 18 months at the same price, in fact, they were prepared to give a RM3 million discount as they no longer needed to pay that amount of money to Sunshine as commission,” he said.
Khalid (left) said he had explained then that the 18-month time frame took into account that the structural works were mostly completed, and what was left were mostly related to electrical works and equipment for the hospital.
“But at that time, (Works Minister) Shaziman Mansor said that the time frame was impossible and insisted on re-tendering it,” he said.
After re-tendering the project to a new contractor, Khalid said the project incurred an additional cost of RM84 million and the completion time was extended to 24 months, with a RM10 million advance being paid to the company.
He said that after Sunshine Fleet Sdn Bhd, the original main contractor of the project, was axed in 2010, he had proposed that the company’s appointed sub-contractor GM Healthcare Sdn Bhd finish the job.
“The appointed sub-contractor could not complete the hospital because Sunshine did not pay them but after Sunshine was axed, the appointed sub-contractor had volunteered to take over the project.
“They said they could finish it within 18 months at the same price, in fact, they were prepared to give a RM3 million discount as they no longer needed to pay that amount of money to Sunshine as commission,” he said.
Khalid (left) said he had explained then that the 18-month time frame took into account that the structural works were mostly completed, and what was left were mostly related to electrical works and equipment for the hospital.“But at that time, (Works Minister) Shaziman Mansor said that the time frame was impossible and insisted on re-tendering it,” he said.
After re-tendering the project to a new contractor, Khalid said the project incurred an additional cost of RM84 million and the completion time was extended to 24 months, with a RM10 million advance being paid to the company.
‘Shaziman using my lines’
Khalid explained that he had then justified that the time-frame was possible as structural works were largely completed except for electrical works and equipment installation for the hospital, but was shot down by Shaziman.
“He said the ministry did not differentiate between structural works and electrical works, all that mattered was the hospital was only 23 percent completed then,” he said.
However, he pointed out that in defending the new contractor which has only completed 16 percent of its assigned works, Shaziman had said the remaining 84 percent works only involved equipment and electrical works which can be completed soon enough to meet the October deadline next year.
“Previously he dismissed my argument, now he is using my argument to defend this new contractor,” he said.
He queried whether this contractor was being given special treatment by the government.
“I also want the government to respond whether it has recently given this same company an oil and gas project even though it lacked experience in the field.
“I am not making any accusations, I’m just asking a question, I’d like the government to respond,” he said.
Khalid explained that he had then justified that the time-frame was possible as structural works were largely completed except for electrical works and equipment installation for the hospital, but was shot down by Shaziman.
“He said the ministry did not differentiate between structural works and electrical works, all that mattered was the hospital was only 23 percent completed then,” he said.
However, he pointed out that in defending the new contractor which has only completed 16 percent of its assigned works, Shaziman had said the remaining 84 percent works only involved equipment and electrical works which can be completed soon enough to meet the October deadline next year.
“Previously he dismissed my argument, now he is using my argument to defend this new contractor,” he said.
He queried whether this contractor was being given special treatment by the government.
“I also want the government to respond whether it has recently given this same company an oil and gas project even though it lacked experience in the field.
“I am not making any accusations, I’m just asking a question, I’d like the government to respond,” he said.
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