KASA puts all processes on plant upgrade on hold after Parliament is dissolved

The ministry said during the period of caretaker government administration, it also postponed the issuance of Letters of Intent, Letters of Invitation and Letters of Acceptance.

"KASA is very careful in taking any action during this caretaker government period. Therefore, a viral statement on the matter is completely irrelevant because no contractual bond has been forged between the government and the company during this period," according to KASA in a statement, today.

The ministry said this in reply to allegations by certain parties regarding the awarding of a contract worth RM285 million to the company, Mangkubumi Sdn Bhd 17 days after Parliament had been dissolved.

According to KASA, the plant upgrade project for the South Klang Drainage Catchment Area was approved in November 2021 under Rolling Plan 1 (RP1) 2021 of the 12th Malaysia Plan (12MP).

"The procurement process for this project began on Oct 6 2021 while the dissolution of Parliament is on Oct 10 2022," according to the statement.

Describing the allegation as an unfounded accusation, KASA insists that the matter must be proven through an investigation by the authorities.

According to KASA, the Ministry of Finance Circular Letter dated Oct 18, on the implementation of government procurement was in accordance with the roles and functions of the 'caretaker' government and the guidelines for the role and function of the caretaker government, among others, that any contractual commitment or undertaking should be avoided.