STP serves payment claims of RM365mil
Legal recourse: The Kuala Lumpur monorail fleet
expansion project includes the delivery of six trains.
Ref:The Star 11 June 2016
PETALING JAYA: Scomi Engineering Bhd’s (SEB) wholly owned
subsidiary Scomi Transit Projects Sdn Bhd (STP) has served
four payment claims on Prasarana Malaysia Bhd amounting to
RM365mil in relation to the Kuala Lumpur monorail fleet
The claims were served yesterday pursuant to Section 5 of
the Construction Industry Payment & Adjudication Act 2012.
The claims were served after STP received a notice from
Prasarana which gave the company 14 days to renew a
performance bond connected with the project, failing which
the project contract would be terminated.
“STP is of the view that it has strong grounds for filing
the claims and is confident of a favourable outcome.
“STP will seek all available legal remedies in order to
protect its rights in the project, including taking all
necessary legal actions,” it said in statement.
The project is 83% completed which consists of the civil
works (stations extension, construction of a new depot,
stabling yard and train wash plant), wayside systems along
the entire alignment, new signalling system for four-car
trains and mixed fleet operations as well as the delivery of
On March 1, STP had obtained an ex parte injunction to
restrain Prasarana from wrongfully terminating the project
Subsequently, STP withdrew the injunction after Prasarana
had given an undertaking to the court that it would not be
relying on its two defective notices to terminate the
The statement added that both STP and Prasarana had since
been working on resolutions to move forward with the project
and substantial progress was achieved.
“Hence, Prasarana’s action to issue the said notice came as
a complete surprise to STP,” it said.
Ref: The Star Online, 11 Saturday, 2016