Rafizi prosecution wrong move, Singapore daily suggests

August 06, 2012

KUALA LUMPUR, Aug 6 — Putrajaya’s move to charge Rafizi Ramli has only served to raise the PKR strategy chief’s public stature in the run-up to key national polls as it appears to run counter to the federal government’s pledge to combat corruption, a Singapore paper suggested today.

Rafizi was charged on August 1 with violating the Banking and Financial Institutions Act (BAFIA) in exposing confidential banking details related to National Feedlot Corporation Sdn Bhd (NFCorp), in a case that has put whistleblower protection laws under greater scrutiny.

“Transparency International Malaysia has urged for whistleblowers to be protected as they ‘put themselves at great risk to their livelihood and career and also to their work, family and community relationships’,” Singapore’s Business Times reported today.

File photo of Rafizi (right) being led in handcuffs when he was charged with violating the Banking and Financial Institutions Act on August 1, 2012.

The anti-graft watchdog has stressed that public perception of selective prosecution would prove damaging to Malaysia’s enforcement agencies in the fight against corruption, as well as being inconsistent with the purpose of the Whistleblower Protection Act 2010 despite Prime Minister Datuk Seri Najib Razak’s denial of double standards, the paper reported.

The paper highlighted the different treatment the authorities accorded Rafizi when they handcuffed him during a pre-dawn arrest at his home before taking him to court and the man whose company he had exposed for alleged corruption in a RM250 million cattle farming scandal, NFCorp chairman Datuk Seri Mohd Salleh Ismail, who was left uncuffed to walk into court.

“Already, the prosecution of Mr Rafizi has only served to raise his stature in the eyes of the public,” the paper said in its article titled “Govt may be making the wrong move in charging Rafizi” published today.

Apart from his NFCorp expose, Rafizi has gained additional prominence after he went public with confidential Treasury documents showing an allegedly less-qualified consortium led by engineering firm George Kent, which he has linked to Najib, weeks before the government announced it as the winning bid for a lucrative RM1 billion rail expansion project in the Klang Valley. 

Rafizi has also accused Najib of interfering in the bidding process by awarding the contract to a close associate who owns George Kent.

The paper noted that Rafizi’s role in exposing financial mismanagement in companies linked to the ruling Barisan Nasional (BN) government has raised his profile as among the young up-and-coming politicians in the opposition Pakatan Rakyat (PR) pact that could see a regime change in Malaysia for the first time since the nation gained independence 55 years ago.

“Should the 35-year-old accountant be fielded in the coming general election, he is expected to be a formidable opponent,” the paper said.

Rafizi has told The Malaysian Insider that despite the legal hurdles he will continue his revelations on alleged corruption in the government.

He faces two court charges for his exposes that could land him in jail and set him back millions of ringgit and a shot at a Parliament seat.

Source: http://www.themalaysianinsider.com/malaysia/article/rafizi-prosecution-wrong-move-singapore-daily-suggests/

LRT deals show PEMANDU policies being ignored

August 02, 2012

KUALA LUMPUR, Aug 2 — Millions of ringgit in public funds have been wasted to set up PEMANDU because the federal government has repeatedly ignored the Putrajaya efficiency unit’s draft policies to improve corporate governance, the DAP’s Tony Pua said today.

The federal lawmaker pointed to the recent controversial award of two lucrative public light rail transit (LRT) projects in the Klang Valley to bidders who had offered to take them on at high cost, which opposition Pakatan Rakyat (PR) leaders have alleged are signs Prime Minister Datuk Seri Najib Razak, who is also finance minister, had interfered.

“If the prime minister is in reality going to ignore GTP and award contracts directly to his own preferred vendors regardless of the ‘open tender’ outcomes, then he might as well save the people the hundreds of millions of ringgit spent on the dog-and-pony PEMANDU show,” Pua (picture)said in a statement.

“It is clear that PEMANDU’s role in the Najib’s administration is to present a façade of reformist credentials for the BN (Barisan Nasional) government and to act as apologists for his failure to implement any tangible reforms,” he said.

The DAP publicity chief noted that PEMANDU’s Government Transformation Plan (GTP) project paper clearly stated that “we will reduce leakages of funds allocated for national development and operational expenditure and ensure transparency in the award of contracts” and admitted that “currently the public perceives that there is a lack of transparency in our procurement processes.”

PEMANDU had also said that transparency was a crucial element in improving the government’s procurement process, Pua said.

“As seen recently, Datuk Seri Najib Razak has shown complete contempt of the PEMANDU GTP programme by repeatedly interfering with the award of the projects for the LRT extension programme for both the Kelana Jaya and the Ampang lines,” the Petaling Jaya Utara MP said.

He said that in June last year, the Finance Ministry committee that Najib chairs had ordered Syarikat Prasarana Negara Bhd (Prasarana), the state-owned firm undertaking the infrastructure project, to award the deal to the Hartasuma Sdn Bhd-Bombardier joint venture, whose RM890 million bid was nearly double that of the lowest bid from another group, Ingress Corp Bhd-Balfour Beatty Rail Sdn Bhd, that had offered RM610 million for the job.

Pua pointed out that Prasarana had also recommended the Ingress-Balfour Beatty joint venture to take on the job at that time.

He said the same committee also overturned Prasarana’s recommendations by awarding the Ampang Line project to a George Kent-Lion Pacific joint venture this month. The George Kent consortium secured the contract for RM1.18 billion despite failing both the technical and commercial evaluations for the contract.

“What is beyond belief is that George Kent is a manufacturer and supplier of ‘control instrumentation, telemetry, pipes, valves and fittings, industrial and domestic water meters, boilers’ as well as ‘the manufacture of fibre glass reinforced polyester (FRP) panel tanks for bulk water storage’ can be qualified for a billion ringgit LRT project. George Kent made only net profits of RM19.3 million on revenues of RM152 million for the financial year ended January 31, 2012,” he said.

Rail projects have increasingly come under the spotlight due to the billions of ringgit that are involved, as the country embarks on a rail expansion drive that not only includes the extension of KL’s LRT system but also the new Klang Valley MRT, the southern rail double-tracking project and a possible high-speed rail line to Singapore.

The MRT project tender process was also recently hit by criticism after several multi-national vendors reportedly decided not to participate in the bid to supply rolling stock for the project, citing concerns over favoritism.

Source: http://www.themalaysianinsider.com/malaysia/article/lrt-deals-show-pemandu-policies-being-ignored-says-pua/

Ticket to ride for cronies?

This is Barisan Nasional Government which will never give up their Crony-practices. If you are painful of your monies going to the cronies' pockets, all you have to do is to vote them out come 13th GE.
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By Bahaman Borhan

August 01, 2012

AUG 1 ― How on earth did a company that makes water meters and whose biggest project was RM40 million get the lucrative RM1 billion-odd contract for the Ampang LRT extension?

Why on earth did the Treasury choose the company and its partners after they failed both the technical and commercial evaluations phase for the tender?

How on earth can Syarikat Prasarana Negara Berhad announce the George Kent-Lion Pacific joint venture as the award winners after its technical committee recommended two other companies for the Ampang LRT Line Extension Project (LEP)?

Is this a crony deal as claimed by PKR strategy director Rafizi Ramli? He has been at the forefront in exposing details of the deal despite denials from the authorities that the contract was already decided.

He was proven to be right yesterday when Prasarana announced that the George Kent joint-venture got the deal.

What can we make of this? That the Barisan Nasional (BN) government prefers to deal only with friendly parties who might not have the technical know-how and fail all evaluations, over those who have the technology and charge a lower price?

What does that say to international companies bidding for projects in Malaysia? That they still have to go through local front companies and commission agents who play golf with the right people to get projects? Or are contracts bloated so that they still go to international companies for the right sum, with the extra pocketed by the crony and split with some who have a say in awarding the contract?

I have always believed in the BN when it says that it was for development and progress. That its leaders are selfless and think of the people, which is why Kuala Lumpur needs a better public transport system using rail.

But the Ampang LRT deal and the various awards in the MRT project suggest that these infrastructure projects are just cash-cows for cronies who can jack up prices and win contracts even if they don’t know a thing about railway technology.

Can you trust someone who makes water meters to install a signalling system for a railway line? Was there any thought given to safety considerations? Or will the winning bidder just offer the project to his competitors and take his cut?

Is this how rotten and brazen it has become in Malaysia under BN? Can Prime Minister and Finance Minister Datuk Seri Najib Razak explain that this deal is above board and was based on recommendations by Prasarana and the Treasury committee that decides the awards?

After all, the police are investigating the documents shown by Rafizi under the Official Secrets Act. So the documents must be genuine. And his claims could be true. Only Najib and Prasarana can tell us differently.

But I doubt they can. The Ampang LRT deal is a ticket to ride for cronies and not for Malaysians.

We’re being taken for a ride to enrich the select few, including a water-meter maker.

Source: http://www.themalaysianinsider.com/sideviews/article/ticket-to-ride-for-cronies-bahaman-borhan/

Is cowing a whistleblower a good idea?

AUG 1 ― If not for his arrest today, one would only remember that Rafizi Ramli has been going at the Ampang LRT line extension project with hammer and tongs over its systems contract, insisting for months that it would go to the George Kent joint-venture despite the consortium failing both the technical and commercial evaluation.

And, of course, Syarikat Prasarana Negara Bhd confirmed the contract said to worth more than RM1 billion has been given to George Kent, a water meter- and tank-maker whose biggest deal before was just RM40 million.

But that was up to yesterday.

Today, Putrajaya reminded us of Rafizi’s first explosive exposé ― that RM250 million in public funds was used to buy luxury condominiums and other properties instead of being fully invested in its intended use for a national cattle farm project.

This morning, the PKR strategy director was arrested and later brought to court over charges of violating the Banking and Financial Institutions Act (BAFIA) for exposing financial details of the National Feedlot Corporation (NFCorp), which runs the National Feedlot Centre (NFC).

The NFCorp is owned by the family firm of Wanita Umno chief Datuk Seri Shahrizat Abdul Jalil.

Only a court can decide if Rafizi has broken any laws when exposing the scandal that led to Shahrizat losing her Cabinet post after her senatorship was not renewed earlier this year.

But a few questions come to mind. The authorities took their time to investigate the NFC scandal despite alarm bells rung by the Auditor-General in his report last year.

The authorities have only charged Shahrizat’s husband, Datuk Seri Dr Mohamed Salleh Ismail, with criminal breach of trust (CBT) and cheating nearly RM50 million.

But what about the others involved? Or even allegations of money laundering in their quest to buy properties in Kazakhstan and Singapore rather than cattle from Australia?

Why the gentle treatment for the NFCorp owners and the witch hunt for whistleblowers who have exposed how public funds were abused?

For that matter, what use are whistleblower protections laws if those who provide information are instead hunted down and later charged in court?

Wouldn’t such action cow future whistleblowers? Or is this a warning to those in the civil service and government agencies to keep their mouth shut and not reveal the chicanery in their respective units?

This government is going down slippery slope by pursuing whistleblowers, especially a credible whistleblower like Rafizi, whose exposés in the NFC and Ampang LRT contracts have shown how public funds have been wasted for the benefit of the few. Especially with the prevailing view that the NFC culprits have been treated with kids gloves.

Rafizi became a hero today, thanks to Putrajaya’s missteps in handling the NFC and Ampang LRT extension project and, now, prosecuting him.

It would be little surprise if he wins the Pandan federal seat in the next general election, barring a quick judgment that he is guilty of the BAFIA offences.

And it would be even less a surprise that those who run Putrajaya now feel the anger of voters upset that a whistleblower is treated as a criminal.

Source: http://www.themalaysianinsider.com/sideviews/article/is-cowing-a-whistleblower-a-good-idea-the-malaysian-insider/

George Kent clinches lucrative Ampang LRT deal

The result shows how the Najib government doing things without transparency. All the while we saw the spirit of denial. The Bible says the Devil lies from the beginning.
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UPDATED @ 08:32:04 PM 31-07-2012

July 31, 2012

KUALA LUMPUR, July 31 — A consortium led by George Kent, the company at the centre of repeated opposition allegations that it received preferential treatment from the government, was announced today as the winner of the lucrative deal to build the Ampang Line LRT extension, confirming earlier reports that it would be the recipient of the contract.

Syarikat Prasarana Negara Berhad (Prasarana), the project and asset owner for the LRT Line Extension Project (LEP), said in a statement today that the contract for “Engineering, Procurement, Construction, Testing and Commissioning of System Works” for the Ampang Line Extension Project has been awarded to a George Kent-Lion Pacific joint venture.

Prasarana did not say how much the George Kent deal was worth, but pointed out that the entire project would come in below the original budget of RM7 billion.

PKR’s strategy chief Rafizi Ramli has repeatedly accused the prime minister of allegedly interfering in the tender bid and granting the multimillion contract to George Kent, which he claimed was controlled by a “close associate” of the prime minister and which also scored one of the lowest points in the technical and commercial evaluation for the project.

Prasarana didn’t directly address PKR’s concerns over George Kent’s lack of a track record in rail projects and its allegedly higher costs but said in its statement that the winning joint venture (JV) “is well supported by reputable local and international multi-disciplinary technical partners all with proven track records in their respective field of systems implementation expertise.”

It added that some of the key sub-systems proposed also have synergy with Prasarana’s current operations, allowing it to reduce operating expenditure.

Little is known about George Kent’s JV partner, Lion Pacific.

A search using the Companies Commission of Malaysia’s online information service turns up two possible companies — Lion Pacific Sdn Bhd and Lion Pacific Engineering but it is unclear if these two are involved in the JV.

According to documents provided by the Companies Commission, Lion Pacific had a revenue of RM15.7 million for the 2010 financial year with a profit of RM100,279.

Lion Pacific Engineering, meanwhile, reported no revenue for the 2010 financial year and a loss of RM1,000.

According to George Kent’s annual report, its major shareholders are the husband-and-wife team of Tan Sri Tan Kay Hock and Puan Sri Tan Swee Bee, who together hold a combined direct and indirect stake of about 70 per cent in the company.

The annual report further states that it is an engineering company whose core expertise was in water infrastructure projects but that it was looking to expand into rail and green technology sectors in line with the Najib administration’s Economic Transformation Programme.

For the 2012 financial year ended January 31, the group reported a profit of RM19.3 million on the back of RM152.2 million in revenue.

Rail projects have increasingly come under the spotlight due to the billions of ringgit that are involved, as the country embarks on a rail expansion drive that not only includes the extension of KL’s LRT system but also the new Klang Valley MRT, the southern rail double-tracking project and a possible high-speed rail line to Singapore.

The MRT project tender process was also recently hit by criticism after several multi-national vendors reportedly decided not to participate in the bid to supply rolling stock for the project, citing concerns over favouritism.

Financial weekly, The Edge, also reported in April that the high financial stakes involved in the massive boom in rail infrastructure in the country could lead to a shift in the country’s political landscape and the carving up of the Transport Ministry with MCA losing control of the rail and road sectors.

Prasarana has now awarded all works contracts under the LEP, except for the access card system, which has yet to come up for tender.

Following the completion of the LEP, the Ampang Line will be extended by an additional 17.7-km elevated track; starting from the current Sri Petaling Station and serviced by 11 new stations and two future stations.

The project also includes the purchase of new six-car trains for Ampang Line.

Source: http://www.themalaysianinsider.com/malaysia/article/george-kent-clinches-lucrative-ampang-lrt-deal/

George Kent denies already won Ampang LRT job

Thanks to Rafizi for exposing the scandal. Hope this will settle the unfair tender. You have saved Malaysians billions!
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UPDATED @ 01:54:23 PM 18-07-2012

July 18, 2012

Rafizi alleges that George Kent was given the contract because of its political connections. — File pic

PUCHONG, July 18 — George Kent, the company accused of being favoured by the government for the billion ringgit Ampang LRT extension contract, has denied that it has already won the bid.

This comes after PKR's strategy chief Rafizi Ramli's repeated accusations against the prime minister for allegedly interfering in the tender bid and granting the multimillion contract to George Kent, which he claimed was controlled by a "close associate" of the prime minister and which also scored one of the lowest points in the technical and commercial evaluation for the project.

"It (the LRT contract) is still under evaluation," George Kent chairman Tan Sri Tan Kay Hock told reporters after the company's AGM here. "It may come to us, it may not come to us."

Tan also declined to comment if the political storm surrounding the tender could hurt his company's chances.

"We are a business group," he said. "We don't talk about politics. I am not a politician. Just wait. Once it is awarded, we will make a statement."

Rafizi had in recent weeks applied pressure on the prime minister for the alleged interference in the Ampang LRT extension tender, claiming that not only was George Kent's bid more expensive than others, but the company, which is best known for making water meters lacked sufficient track record for a major rail transit project. 

In a recent press conference, Rafizi showed copies of what looked like Ministry of Finance approval letters dated June 25 2012 agreeing to appoint George Kent for the job at a cost of RM1.18 billion, which Rafizi said was RM167 million more than the bids put in by other parties. 

PKR officials had also showed copies of what appeared to be official documents to the press indicating that the MOF's Acquisition Committee, which met this January 25, had decided to award the contract to Balfour Beatty-Invensys Consortium, which bid RM1.01 billion for the job.

Prime Minister Datuk Seri Najib Razak chairs the acquisition committee and is also finance minister. 

According to the company annual report. George Kent's major shareholders are the husband-and-wife team of Tan,64 and his wife who together have a combined direct and indirect stake of about 70 per cent in the company.

George Kent's annual report states that it is an engineering company whose core expertise was in water infrastructure projects. 

The report added that it was expanding to rail and green technology sectors in line with the Najib Administration's Economic Transformation Programme. 

For the 2012 financial year ended January 31, the group reported a profit of RM19.3 million on the back of RM152.2 million in revenue.

Source: http://www.themalaysianinsider.com/malaysia/article/george-kent-denies-already-won-ampang-lrt-job/

证明乔治肯特获轻快铁延长工程，拉菲兹出示信件影印本

• 国內
 

 2012-07-11 10:43

• 
  拉菲兹出示一封信件证明安邦轻快铁延长路线工程已经颁发给佐治肯特集团。（图：星洲日报）

（雪兰莪‧八打灵再也10日讯）公正党策略局主任拉菲兹出示財政部发给国家基建有限公司（Prasarana）的信件影印本，证明安邦轻快铁延长路线工程已经颁发给乔治肯特集团（George Kent）。

指工程耗费44月完成

拉菲兹在公正党总部召开的新闻发佈会上，出示一封志期2012年6月25日的信件，內容是指財政部採购委员会在6月21日的会议上，同意將安邦轻快铁延长路线的工程，以11亿8千零3万7千624令吉的价格，颁给乔治肯特集团；而工程耗费44个月完成。

“財政部採购委员会的决定证实了公正党早前指首相拿督斯里纳吉介入安邦轻快铁延长路线工程的评估和颁发过程是有其事。＂拉菲兹说，財政部採购委员会是批发政府大型工程的最高委员会，上述工程的採购委员会是由纳吉担任主席，其他委员包括第二財政部长拿督斯里阿末胡斯尼、財政部秘书长丹斯里旺阿都阿兹和財政部副秘书长拿督诺兹拉。

国家基建有限公司（Prasarana）属意的承包公司是PDA財团，后来財政部在1月份决定颁给Balfour Beatty-invensys財团，可是在2月份又传出工程颁给了乔治肯特集团。

他问道，Balfour Beatty-invensys財团的竞標价格是10亿1千万令吉，而乔治肯特集团的竞標价格是11亿8千万令吉，两者相差1亿6千700万令吉。

乔治肯特集团被认为没有从事建造轻快铁工程的经验，其专业是经营水表生意。

“警调查泄密证明获合法文件＂

拉菲兹说，虽然他揭发这个课题承受很大的风险，但他认为如果不正视的话，会带来更多的危险，因为当中不止涉及金钱的问题，也包括轻快铁的安全性。

“据我所知，警方已经成立了一个最高等级的专案小组，以调查文件外泄的事件。这也证明我获得的是合法的文件。＂“对我而言，这比我从哪里获得文件更重要。＂至於他如何取得这些文件，他表示会在適当时候公开资料的来源。

来源：http://www.sinchew.com.my/node/253793?tid=1

George Kent ‘got Ampang LRT contract’

Syed Jaymal Zahiid

 | July 10, 2012

PKR produced an official letter showing the government had awarded the Ampang LRT project to the losing bidder.

FULL REPORT

PETALING JAYA: PKR produced today an official document showing Putrajaya had awarded the Ampang LRT line extension project to the losing bidder George Kent Consortium despite denial of any foul play in the contract award process.

Party strategic director Rafizi Ramli showed an official letter dated June 25, stating clearly that the RM1.2 billion contract had been awarded to the consortium on June 21.

This was just eight days before Prime Minister Najib Tun Razak would “not deny nor confirm” if the contract was given to the engineering consortium while dismissing any discrepancy in the process.

The letter was signed by the Treasury’s Procurement Committee (JPMK) under secretary Fauziah Yaacob and was addressed to LRT developer Syarikat Prasarana Negara Bhd’s (SPNB) group managing director Shahril Mokhtar.

The classified letter stated: “Please be informed that the Acquisition Committee Bil. 5/2012 that had met on June 21, 2012 has agreed to appoint Bidder 3/8 — George Kent-Lion Pacific JV for Systematic Works Tender for ‘The Engineering, procurement, Construction, Testing And Commissioning Of System Works for the Ampang (AMG) Line Extension Project’ with a cost of RM1,180,037,624.00 for a period to be completed within 44 months.”

“The JPMK’s decision confirms allegations by PKR that [Prime Minister] Najib Tun Razak had meddled with the evaluation process and the award of tenders [for the project],” Rafizi told reporters here.

RM167 million inflation

Najib, who is also Finance Minister, is the highest authority in the committee which, in another official document leaked by Rafizi, showed he had himself penned the approval of the contract to a different consortium in January this year.

The classified document showed the committee had awarded the contract to Belfour Beatty-Invesys Consortium while rejecting Prasarana’s proposal that South Korean’s PDA Consortium be given the job.

The amount stated above is RM167 million more than the fees offered by the consortium that was initially awarded the project, said Rafizi.

He pointed out that the three different decisions indicated a “tussle” in the decision-making process which raises more questions on the deal.

“What was Najib’s real consideration? Why would he risk the lives of hundreds of thousands by picking a company of a close associate, whose only experience is producing water meters, to build an LRT system for the country?

“Why was the price awarded to his close associate’s company more expensive – by RM167 million – than the other qualified bidders who offered lower prices?” the PKR leader asked.

It is understood that five of the eight bidders passed the technical and commercial evaluation stage, but project owner SPNB had recommended one of the two South Korean consortiums in the running as others were said to have not complied with all conditions.

‘Golf buddies’

George Kent, whose top bosses Rafizi claimed are “golf buddies” of Najib, was among the three that failed the evaluation process.

“These questions will linger and continue to plague Najib’s image as long as it goes on unanswered.

“Even so, I believe Najib will continue to remain silent because he has done so when confronted with scandals in his administration,” he said.

Rafizi has lodged a police report against Najib but the police had instead decided to investigate him in relation to leaked confidential documents through a special task force.

His party colleagues criticised the investigation as political prosecution, but Rafizi said the probe proved the documents leaked are official and vowed to reveal more information on the scandal.

This includes details on Najib’s relation with George Kent, which he said is “nothing new” and is known throughout the corporate community.

Source: http://www.freemalaysiatoday.com/category/nation/2012/07/10/george-kent-got-ampang-lrt-contract/