KUALA LUMPUR (Oct 2): The High Court on Wednesday scheduled Oct 30 to hear an application by the Naza-Berjaya joint venture (JV) to discontinue its legal challenge against the government vehicle fleet project award to Spanco Sdn Bhd.
High Court judge Datuk Ahmad Kamal Md Shahid will hear the matter following case management before senior assistant registrar Lee Ka Full. A previously scheduled hearing before Ahmad Kamal on Sept 3 had to be adjourned as counsel for the plaintiff Cekap Urus Sdn Bhd was unwell.
Spanco’s counsel Razlan Hadri Zulkifli confirmed the new date, which he said is to deal with the matter of the discontinuance of the action. Cekap Urus counsel, Chuar Kia Lin, also confirmed the Oct 30 date before Ahmad Kamal.
On Aug 2, Cekap Urus filed a notice of discontinuance with liberty to file afresh with no cost while Spanco had asked for costs for the withdrawal of the action. The federal government did not object to Cekap Urus’ application.
Cekap Urus had filed and received leave for a judicial review on the termination of the company’s government vehicle fleet project which was awarded to Spanco. There had been hearings this year.
Spanco’s chairman Tan Sri Robert Tan Hua Choon was then charged in April this year, and he claimed trial to cheating the Finance Ministry over the contract to supply, maintain and manage government fleet cars worth RM3.966 billion. Tan’s trial is still pending.
Judicial review demands
Cekap Urus — a JV between Berjaya Corp Bhd (KL:BJCORP), Naza Corp Holdings Sdn Bhd and Tunku Tun Aminah Sultan Ibrahim Ismail — was given the letter of intent (LOI) by the Finance Ministry for the government fleet car contract.
Berjaya controls 51% in the JV, and Naza holds 29%, while the daughter of Malaysia’s current King has 20%.
However, the government cancelled the contract dated Dec 11, 2019, and gave the contract to Spanco instead, leading to Cekap Urus challenging the termination through the judicial review.
Cekap Urus was seeking to invalidate the LOI termination, and the company also asked the court for a declaration that the government and the ministry’s decision to award Spanco the fleet project through direct negotiation is invalid, null and void, and has no effect.
The JV demanded a certiorari order to quash the government’s decision on Jan 25 this year in dismissing Cekap Urus' appeal against the termination. Further, it has also requested a mandamus order to compel the government to execute the letter awarded to Cekap Urus.
Further, Cekap Urus sought a stay of the government and ministry’s decision pending determination of the matter, as well as damages and costs to be assessed.