KUALA LUMPUR (Oct 5): Zetrix AI Bhd (KL:ZETRIX) said it has submitted a proposal to resolve outstanding remittances to the government after the Road Transport Department (JPJ) suspended its services as a collection agent on Monday.
The digital services company said in a statement on Monday that its priority is to resolve outstanding obligations and work towards restoring the affected services, subject to the relevant approvals.
Zetrix's statement did not disclose what it owes the government, though earlier on Monday, Transport Minister Anthony Loke Siew Fook said the company did not remit RM314 million in JPJ collections between May and September this year.
"Zetrix AI deeply regrets the inconvenience caused to customers and the public by the temporary suspension of our JPJ services that took effect on Oct 5," the company said in a statement.
"As a provider of JPJ services since 2000, we understand the importance of ensuring these essential services remain accessible, reliable and convenient for the public. The group recognises its responsibility to customers and remains committed to fulfilling its obligations to the government," it added.
The company gave an assurance that transactions before the suspension had been processed and fulfilled.
JPJ announced the suspension of Zetrix AI and its subsidiary MyEG Sdn Bhd as collection agents last Friday, citing contract violations and outstanding obligations.
On Monday, Loke said Zetrix did not pay up despite his ministry and JPJ holding four engagement sessions with stakeholders, and issuing 35 reminders for the arrears to be settled.
He said Zetrix had issued the government a RM231 million cheque in September to settle the arrears, but the company had instructed the bank to stop payment when it was credited on Sept 30.
The minister said the government would pursue the arrears and would consult the Finance Ministry and other agencies on its next course of action, including possible civil proceedings.
He said Zetrix's services will not be restored until the arrears are settled, and that additional conditions would be imposed even if the company paid the amount in full.
Loke said there was no need for JPJ collection agents as more users migrate to the MyJPJ platform, although about a fifth of users still relied on agents such as MyEG.
Zetrix, formerly known as MyEG Services Bhd, has provided online processing of JPJ services, such as licence and road tax renewals, since 2000, and its latest three-year contract began in May 2023.
Shares of Zetrix plunged five sen or more than 40% to close at 6.5 sen on Monday, their lowest in 13 years, after more than one billion shares were traded.
The stock has lost about 90% of its value since a sell-off began at the end of August, wiping out nearly RM5 billion in market value, leaving the company with a market capitalisation of RM513 million.
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