Shah Alam Hospital saga takes an ‘Ali Baba’ twist


Pua also said that a second letter by Isyoda to Sunshine Fleet showed that the former had promised a payment of RM46 million to the Sunshine Fleet chairman personally, and not through the main contractor.

By Rahmah Ghazali, Free Malaysia Today

The Shah Alam Hospital saga has taken an “Ali Baba” twist with revelation that the main contractor for the RM482 million project did not do any work at all and yet had made a handsome profit.

Opposition MP Tony Pua (DAP-PJ Utara) said the Malaysian Anti-Corruption Commission (MACC) should look into this matter.

Speaking at press conference at Parliament today, Pua produced two documents which clearly showed that the whole project was being carried out by the sub-contractor, GM Healthcare Sdn Bhd, and not the main contractor, Sunshine Fleet Sdn Bhd.

One document stated that a letter of award was given to a sub-contractor, Isyoda (M) Sdn Bhd, a company which eventually had to opt out after it was delisted from Bursa Malaysia.

The project was subsequently given to GM Healthcare.

“In the letter of award, it was stated that RM451 million would be given to Isyoda while Sunshine Fleet (the main contractor) would receive RM482 million from the government.

“So the main contractor gets a net profit of RM31 million… this is a clear ‘Ali Baba’ project. The PWD needs to take action against Sunshine Fleet…,” he said.

Pua said the fact that Sunshine Fleet is making a net profit without doing any work (since the whole project is handled by the sub-contractor) contradicts the terms of the contract awarded by the ministry.

Pua also said that a second letter by Isyoda to Sunshine Fleet showed that the former had promised a payment of RM46 million to the Sunshine Fleet chairman personally, and not through the main contractor.

‘Unconditional payment’

The unconditional payment, according to the letter, was in consideration of Sunshine Fleet’s “efforts to procure the letter of award to be issued to us in further consideration of your future contribution and cooperation to ensure the smooth operation and success of the project”.

It also said that the RM46 million would be paid by instalments. From this amount, said Pua, Isyoda promised to pay 9.5% progressive interim payments to the Sunshine Fleet chairman totalling RM77 million.

“This is seen as a commission for this contract. But is it really a commission or a bribe? We have given this to the MACC for further investigation,” he said.

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