Contractors group urges dialogue to resolve DASH subcontractors’ woes

KUALA LUMPUR – Projek Lintasan Kota Holdings Sdn Bhd (Prolintas) as the concession holder of the newly-opened Damansara-Shah Alam Elevated Expressway Project (DASH) has been urged to intervene to help the project’s subcontractors who claim they have not been paid.

Bumiputera Contractors Association of Malaysia president, Datuk Azman Yusoff said he had received complaints from unpaid subcontractors.

Prolintas should now hold a dialogue with affected subcontractors, and even create a deed of assignment on payments to the subcontractors affected, he told Getaran, The Vibes’ sister news portal.

“With the cost of construction materials still high, we sympathise with the plight of the affected subcontractors.

“Some of them borrow from the bank, so they have to pay bank loans and overheads such as office rent and staff salaries,” Azman added.

He said the association is ready to mediate the dialogue session, which he suggested could also involve the Malaysian Highways Authority as an agency under the Works Ministry. 

Dialogue can help identify ways to simplify the payment process, he added, while further action should also be taken against negligent parties.

“We also have to understand why the main contractor can’t pay the subcontractors, whether it’s a case of them not getting paid by Prolintas.

“Prolintas should be good at (making) payments because their financial standing is strong, not to mention that they are fully owned by Permodalan Nasional Bhd (PNB),” Azman said.

The opening of the DASH highway to the public on October 14 went ahead despite claims by a few subcontractors that they still had not received payment, an issue that has dragged on since March.

The issue also received the attention of caretaker prime minister Datuk Seri Ismail Sabri Yaakob yesterday, who ordered a quick resolution.

Prolintas, meanwhile, has said that payment disputes will be settled through contract agreements and arbitration.

Turnpike Synergy Sdn Bhd (Turnpike) is the main contractor and is in charge of handling payments for the project’s eight work packages, which were given to various subcontractors and suppliers via open tender.

Turnpike was appointed by Projek Lintasan Damansara-Shah Alam Sdn Bhd (PLDASH), the DASH concession holder.

PLDASH and Turnpike are wholly owned subsidiaries of Prolintas.

The 20.1km highway with 13 exits and entrances was opened at 12.01am on October 14.

DASH connects three major highways, namely the Guthrie Corridor Highway, the Damansara-Puchong Highway and the West Kuala Lumpur Traffic Distribution Scheme Highway.

Azman added that Prolintas needs to understand the issues faced by small G1 to G4 class contractors involved in the dispute.

Meanwhile, a subcontractor involved who did not want his name disclosed for fear of reprisal supported the association’s proposal for a dialogue and mediation session.

“The companies are responding to each other through the media and this will not resolve the issue

“The best way for all parties, especially the subcontractors involved, is to bring up the problem in a dialogue session with Prolintas,” the subcontractor said.

The last time the subcontractors attended a special briefing by Prolintas was around the middle of last year, he added. However, that meeting was only to inform the subcontractors about the end of their contracts

A Prolintas spokesman contacted by Getaran refused to comment on the proposal for a dialogue, saying the affected subcontractors should refer to statements the company has already issued on the matter. – The Vibes, October 21, 2022