New Straits Times

NO OPEN TENDER FOR CITY HALL CONTRACT?

Tender to manage city’s parking lots given to Federal Territorie­s Foundation, says MP

- BEATRICE NITA JAY AND AHMAD SUHAEL ADNAN cnews@nstp.com.my

KEPONG member of parliament Lim Lip Eng has alleged that a lucrative contract awarded by Kuala Lumpur City Hall to manage 40,000 parking lots in the city was done without an open tender.

The contract to collect parking fees from parking machines was given to the Federal Territorie­s Foundation (YWP) in 2015.

Lim on Friday questioned why City Hall awarded the contract without an open tender to YWP, when managing parking machines was a basic process that all local councils should be able to manage.

“Why does City Hall need to outsource the contract... without an open tender? Collecting parking fees is the basic fundamenta­l duty of a local government.

“Through the contract agreement, for every RM1 paid for parking, City Hall receives only 35 per cent of it.

“I believe that City Hall has enough talent and resources to handle parking machines that collect parking fees,” he said after a visit to YWP.

YWP legal adviser Mohd Fadzil Ab Hamid briefed Lim on the concession of parking machine operations.

Lim said since the contract was awarded to YWP, it had collected RM20 million.

On his meeting with Mayor Tan Sri Mhd Amin Nordin Abdul Aziz two days ago, Lim said he suggested to the latter to suspend contracts related to the operation of the parking machines and clamping, as well as road summonses, until a complete review and research was made on the contracts.

“I suggested this as I feel that many concession contracts have been awarded unfairly. Since there was no open tender, it is fair for us to review the contracts.

“If there is any discrepanc­y in the contract, we need to correct it. If it is reasonable and fair, we can continue with it. For time being, I have suggested (for their) suspension.”

Confusion arose when YWP could not answer questions related to clamping of vehicles as it said that the issue was not under its purview.

“According to Fadzil, the vehicle clamping and collection of fines are not under YWP. But, City Hall told us that these operations were done by a contractor who is ‘supposed’ to be under YWP’s purview.

“There are much confusion and irregulari­ties in this issue. So, where is the money collected from vehicle-clamping fines?” Lim said.

He added that YWP, a private company, had Umno members on its management board and board of trustees.

Among them are YWP executive director Datuk Seri Syed Ali Alhabshee (Federal Territorie­s Umno secretary) and board of trustee member Datuk Seri Tengku Adnan Tengku Mansor (Umno secretary-general), who was Federal Territorie­s minister when the contract was awarded.

In an immediate reaction, Tengku Adnan denied the claims, saying that the issue was long-standing and no corruption was involved, adding that everything had been done according to the proposal.

Earlier, Lim had urged the Malaysian Anti-Corruption Commission to investigat­e Tengku Adnan on the sale of 64 parcels of land to YWP since 2013.

Tengku Adnan said the plots of land were not sold off instantly.

“As for the developmen­t issue in Taman Tun Dr Ismail or Taman Rimba Kiara, we sold the land plots to build Federal Territorie­s Affordable Houses. There is a concept of subsidy to help (the city’s) citizens. We have looked into the need (for housing) and do not give it (land) away instantly.”

 ?? PIC BY ROSELA ISMAIL ?? Kepong member of parliament Lim Lip Eng (third from left) with Federal Territorie­s Foundation legal adviser Mohd Fadzil Ab Hamid (third from right) in Kuala Lumpur yesterday.
PIC BY ROSELA ISMAIL Kepong member of parliament Lim Lip Eng (third from left) with Federal Territorie­s Foundation legal adviser Mohd Fadzil Ab Hamid (third from right) in Kuala Lumpur yesterday.

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