KUALA LUMPUR – The high court was today told that the government had decided to allow Dhaya Maju LTAT Sdn Bhd to continue with the Klang Valley Double Tracking Phase 2 (KVDT2) project.
Senior federal counsel Asliza Ali said the matter was decided during the cabinet meeting on May 18.
Asliza, who was representing the government and Transport Minister Datuk Seri Wee Ka Siong in a suit, made the announcement during online case management before justice Datuk Lim Chong Fong today.
“The KVDT2 project will be continued by Dhaya Maju LTAT with the contract cost of RM4.475 billion, as well as the implementation terms, staying as agreed in the letter of acceptance dated August 19, 2019,” she said when contacted today.
In this regard, Asliza said both parties in the suit had also reached an agreement to settle the suit.
“The plaintiff (Dhaya Maju LTAT) will withdraw its suit after the contract is signed by both parties (government and Dhaya Maju LTAT).
“The court sets June 30 for the parties to announce the development of the settlement of the suit,” she said.
On October 27, 2020, Dhaya Maju LTAT filed a suit against the government, Wee, Opus Consultants (M) Sdn Bhd, and Keretapi Tanah Melayu Bhd as respondents over the termination of the company’s contract in the KVDT2 project.
Based on the statement of claims, Dhaya Maju LTAT, among others, alleged that to date, the official notice of termination had not been issued to the company and it was not aware of the termination until it was announced by Wee in a media statement.
Apart from compensations, Dhaya Maju LTAT, a joint-venture between Dhaya Maju Infrastructure (Asia) Sdn Bhd and Lembaga Tabung Angkatan Tentera, which was incorporated on June 5, 2017 under the Companies Act 2016, sought the declaration of the contract termination to be null and void.
The dispute arose after Finance Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz issued a list of 101 projects valued at RM6.61 billion awarded via direct negotiation during the Pakatan Harapan administration, including the KVDT2 project valued at RM4.475 billion awarded to Dhaya Maju LTAT. – Bernama, June 13, 2022
