A-G's report: Aircraft delivered late but ministry failed to impose RM6.3mil penalty on supplier

KUALA LUMPUR - The supplier of five Beechcraft King Air 350 aircraft to the police air operation unit was late in delivering the aircraft.

The 2012 Auditor’s General report noted that as of December last year, the Liquidated and Ascertained Damages (LAD) amounting to RM6.39 million has yet to be slapped against the aircraft supplier although it is provided in its contract of sales.

“According to the contract, the five aircraft should be supplied between June 1, 2008 and Dec 31, 2010.

“However, three aircraft, comprising two high density and one low density machines, were delivered between 15 days and 100 days after the date agreed in the contract.

“The delay was due to the time required to process the general registration and issue of Certificate of Airworthiness by the Civil Aviation Department,” the report said.

The ministry, in its response, said it will consider imposing the LAD in line with the letter of approval dated Nov 22, 2012 by the Finance Ministry.

NST

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