DIGITAL Nasional Bhd (DNB) has denied a news report claiming a lack of transparency in its awarding of contracts to third party vendors, in particular to Ericsson, which is a supplier of the 5G network.
DNB said it rejected the insinuation of any impropriety in its governance and procurement practices.
It said DNB’s tender and procurement processes are structured according to the strictest governance standards and best practices.
“DNB has always been open and transparent in its awarding of tenders and contracts – this matter has been addressed in detail various times in parliament and reported in the media, repeatedly disproving the allegations.
“The awarding of the 5G network equipment contract involved a rigorous evaluation process, with Ericsson obtaining the highest score across all prerequisites,” DNB said in the statement,
It said Ericsson, which won the contract to set up the 5G network, obtained the highest score across all prerequisites.
It said the tender process was structured by an independent global professional services firm involving some 50 local and international experts from 10 countries with 5G network rollout experience.
“The process was also has been reviewed by multiple parties, including during reviews of the 5G network policy by the Malaysian cabinet in 2022 and 2023," it said.
DNB is a special-purpose vehicle company set up by the Finance Ministry to drive the development of 5G infrastructure in Malaysia.
In a report yesterday, CNA said there was a “deep mistrust” between DNB proponents and Malaysia’s mobile network operators (MNOs) because of secrecy surrounding the the special-purpose vehicle’s internal operations.
Its report said transparency issues have been central to the failure among parties to reach agreement on key conditions in a contract agreement signed in December.
“Apart from the nomination of MNO representatives to the board, DNB has insisted that only the board’s directors will be allowed access to review the ongoing due diligence into its affairs,” the report said.
DNB said it was in the process of reaching share subscription agreements signed with the five MNOs.
“We strongly deny the claims made otherwise but are unable to comment in specific terms due to confidentiality restrictions. Given DNB’s position a public utility serving the public interest, it is critical for published reports to be verified and based on accurate information.” – April 20, 2024.
