A TOTAL of RM24.4 million was paid by the Negeri Sembilan Public Works Department (JKR) to KCJ Engineering Sdn Bhd for a Jana Wibawa project to construct a new road linking FELDA Bukit Jalor to Gemas, the High Court heard today.
Negeri Sembilan JKR director Datuk Wan Hasnan Wan Musa, the 17th prosecution witness in the case, testified that the payments were made to the company after it was appointed to undertake the project under the government initiative.
The court previously heard that KCJ Engineering was among 54 companies proposed by then prime minister Tan Sri Muhyiddin Yassin in a letter dated November 13, 2020, to carry out projects under the Jana Wibawa programme through direct negotiations.
Wan Hasnan confirmed a government payment voucher dated May 26, 2022, issued by the Negeri Sembilan JKR directorate to KCJ Engineering amounting to RM10 million.
He said the payment was made as an advance payment under the Contract Advance Payment scheme for the road project.
“Based on the payment voucher, I confirm that the payment had been made into the company’s account,” BH quoted him saying today.
He also confirmed additional payment vouchers amounting to RM14.4 million involving nine transactions between March 28, 2022 and December 9, 2022.
Wan Hasnan told the court that payments recommended for the project totalled RM4.7 million, but no payment was made to the main contractor as there was no available allocation.
Earlier, the witness verified a Letter of Acceptance (SST) issued by JKR to KCJ Engineering dated July 30, 2021, confirming that the government had accepted the company’s tender offer.
“I confirm the contents of this letter stated that the Malaysian Government agreed to accept KCJ Engineering’s tender offer at a price of RM62 million for a contract period of 34 months.
“Based on Malaysia’s Government Procurement Guidelines, I confirm that a contract must be completed within three months after the SST issuance date,” he said.
During examination by Deputy Public Prosecutor Wan Nur Iman Wan Mohd Afzal, Wan Hasnan said the project, which began on December 22, 2021, was expected to be completed by the end of July.
He said progress was monitored through monthly meetings involving district engineers.
“I am unsure of the current percentage of progress, but the project is expected to be completed by the end of July.
“Part of the project has already been handed over to the government. The contractor completed and handed over that section, and we issued a Certificate of Completion. The remaining work is expected to be completed by the end of this month,” he said.
Former finance minister Tengku Zafrul Abdul Aziz had earlier told the court that KCJ Engineering failed its first evaluation by the Jana Wibawa Contractor Evaluation Committee.
However, he said the company passed a second evaluation and was recommended for the project following a committee meeting on February 26, 2021.
The company was initially proposed to undertake a RM100 million project to build a road connecting FELDA Bukit Jalor and Gemas in Negeri Sembilan.
Following additional information submitted through the Prime Minister’s Office (PMO), KCJ Engineering underwent a second assessment and was found to have met the required conditions.
The project was subsequently awarded to KCJ Engineering through direct negotiation at a reduced contract value of RM62 million.
The court was previously told that Bersatu received RM800,000 from KCJ Engineering through four cheques issued four years ago.
Wan Hasnan was testifying in the case involving Muhyiddin, who faces charges of alleged abuse of power and money laundering linked to the Jana Wibawa programme.
During cross-examination by lawyer Chetan Jethwani, who represents Muhyiddin, Wan Hasnan agreed that the PMO did not interfere in the approval of interim payments or advance payments made to KCJ Engineering.
The trial before Judge Noor Ruwena Md Nurdin will continue tomorrow. - July 15, 2026
