THE Public Accounts Committee (PAC) hopes to complete its investigation report on the delay in Boustead Naval Shipyard Sdn Bhd’s (BNS) delivery of six littoral combat ships (LCS) to the Malaysian navy by March next year.
“So far, we have conducted four meetings and proceedings with multiple witnesses being called to give statements.
“The failure to complete this LCS project is serious as it shows weaknesses in terms of our governance, procurement and finance.
“Moreover, the delay also has an adverse effect on our national security and defence,” said PAC chairman Wong Kah Woh in a statement.
The project worth more than RM9 bil was awarded in 2014 during the previous Barisan Nasional regime. The order was for six littoral combat ships to be constructed.
The first ship should have been delivered in April last year but none has been built so far although the Government has disbursed close to RM6 bil in payment to BNS.
Former Deputy Defence Minister Liew Chin Tong told the Dewan Negara in September that RM1 bil out of the RM5.94 bil paid out to BNS could not be traced.
To date, PAC has called Auditor-General Datuk Nik Azman Abdul Majid, Defence Ministry secretary-general Datuk Muez Abd Aziz and Governance, Procurement and Finance Investigating Committee chairman Tan Sri Ambrin Buang to give statements.
According to Wong, PAC would resume its proceedings in January and complete its report by the next Dewan Rakyat session which is scheduled for March.
He also said that Former Defence Minister Datuk Seri Ahmad Zahid Hamidi, former navy chief Tan Sri Abdul Aziz Jaafar and BNS Sdn Bhd, the main contractor for the LCS project would be called to testify soon.
“The committee will be visiting the LCS shipyard in Lumut, Perak next month.
“We believe that a solution must be reached by the Government as soon as possible. It is important for PAC to expedite the proceedings and present the report to the Dewan Rakyat,” Wong added. – Dec 17, 2020.
