KUALA LUMPUR – Any claims, disputes, and alleged arrears that have yet to be settled with the subcontractors of the Damansara-Shah Alam Elevated Expressway (DASH) project will be resolved through processes stipulated in the relevant contract agreements, said its developer Projek Lintasan Kota Holdings Sdn Bhd (Prolintas).
In a statement today, Prolintas also said payments to the contractors will be fulfilled once all liability claims for the newly launched highway have been settled.
For context, the construction of DASH was divided between eight work package contractors (WPCs) via an open tender process, who in turn appointed various subcontractors and suppliers to complete the project.
Payments for DASH work packages are also handled by the project’s main contractor Turnpike Synergy Sdn Bhd (Turnpike).
Prolitas explained that the project was still within its defect liability period and that payments will be made once the necessary certification is given by the lead engineering and quantity surveying consultants to each WPC.
“All claims from the WPCs will be analysed, checked, and certified via a transparent process in line with the percentage of work done, and according to contractual terms and conditions,” the statement read.
“As DASH has been fully completed, the highway is currently within the defect liability period and the final account will be issued as soon as all final claims of the WPCs have been analysed and certified by Turnpike, consultants, and the WPCs.”
Prolintas further explained that Turnpike had discharged its duties and obligations as a responsible main contractor by making payment on all relevant claims that had been verified, certified, and mutually agreed upon between the WPCs and the consultants.
“Any claims, allegations of non-payment, or disputes will be addressed via the processes stipulated in the contract between all parties including resolution via arbitration between Turnpike and the WPC,” Prolintas said.
This comes after subcontractors of the DASH highway claimed they had yet to be paid for the construction of the mega project.
According to The Vibes’ Bahasa Malaysia sister publication Getaran, Mathew Thomas Philip, who represents a group of disgruntled subcontractors, said he was aiding them in recovering an alleged RM80 million in debts.
Earlier today, caretaker prime minister Datuk Seri Ismail Sabri Yaakob said all outstanding payments relating to the recently opened expressway must be paid.
He added that the Works Ministry must also explain the unpaid debts.
Last year, The Vibes reported on a legal dispute between Turnpike and the main project contractor Panzana Enterprise Sdn Bhd on claims amounting to RM100 million for several subcontractors.
The legal dispute also involved the Melima Consortium, a group of four subcontractors who – along with their suppliers, workers, and own subcontractors – claimed they were yet to be paid the amount following a legal fallout.
Construction works by Melima in DASH’s CA4 package were brought to a halt when Turnpike, a member of the Prolintas Group of Companies, unilaterally terminated its contract with Panzana.
Stretching a total of 20.1km, DASH connects Puncak Perdana to Penchala. The new highway began operations on October 14, offering users free toll rates until November 30.
The highway, which began construction in 2016, is worth a total of RM4.2 billion and is connected to the Guthrie Corridor Highway, the Damansara-Puchong Expressway, and the Western Kuala Lumpur Traffic Dispersal System.
For DASH, Projek Lintasan Damansara-Shah Alam Sdn Bhd (PLDASH) is the concession holder of the highway.
Turnpike has been appointed by PLDASH to construct and complete DASH, while both entities are wholly owned by Prolintas. – The Vibes, October 18, 2022