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Fri, 03 Sep 2010
NEWS WITHOUT BORDERS :: Local News
Tee Keat slams critics over cancellation of DMU purchase
Tim Leonard

KUALA LUMPUR (Jan 22, 2010):
Transport Minister Datuk Seri Ong Tee Keat today slammed those who questioned his motive to cancel the purchase of eight diesel multiple units (DMU) from Spain for KTM Berhad's (KTMB) commuter service network.

“They should get their facts rights with regards to this issue and not simply blame me,” said Ong.
“They have blown this issue out of proportion and made it look as if they were correct.

"And they did this when I was on sick leave and had no time to respond," he said, after witnessing an agreement signing ceremony between Times Academy Sdn Bhd and TRAIN (Technical Resource and Internship Network) at a hotel here today.

“First of all, KTMB comes under the MOF (Ministry of Finance)...not under the MOT (Ministry of Transport),"

“When they (KTMB) made known their intention to purchase (the DMUs), it went to MOF and the MOF approved it.

“And when a contract is signed, it has to be executed within a specific time. In this case, the supplier failed to deliver the DMUs on time.

“The trains were not enough and the public was complaining," said Ong, adding that the issue of having to pay a penalty for the Spanish supplier for cancelling the contract does not arise at all.
“The need for us to pay penalty does not arise at all in this case."

He also welcomed the Public Accounts Committee (PAC) to carry out a thorough probe into cancellation of the purchase.

“PAC must continue to do their job and I welcome them to investigate."

KTMB had applied to the Finance Ministry to buy the DMUs at RM64 million to overcome the acute shortage of trains but the decision to cancel the purchase was made end of last year.

The agreement and its cancellation was questioned by several MPs at the Dewan Rakyat recently.

Ong said the money from the cancellation would be combined with the additional allocation under the National Key Result Areas to purchase new electric multiple units and to upgrade them to six cars.

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Updated: 04:37PM Fri, 22 Jan 2010
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