PETALING JAYA: The government may look into two contracts worth RM1.2 billion awarded to a consortium of loss-making Privasia Technology Bhd and Apex Communications Sdn Bhd one day before Parliament was dissolved.
On Oct 11 this year, Privasia announced that a joint venture (JV) between its wholly-owned Privasat Sdn Bhd and Apex Communications had accepted the contracts awarded by the then Communications and Multimedia Ministry.
The contracts entailed the installation and maintenance of fibre optics in both northern and southern regions.
The contract for the southern region covering Negri Sembilan, Melaka and Johor is worth RM627.2 million, while the northern region covering Kedah and Perak is worth RM617.5 million.
According to Privasia's exchange filing, the contracts would run for eight years, whereby the first three years would be for its implementation, followed by a five-year warranty period.
"I have yet to be briefed on this matter (Privasia) in detail but it is something which perhaps we will look into, but at the same time as a government, we respect contractual obligations," Communications and Digital Minister Fahmi Fadzil said at a press conference after a visit to Media Prima Bhd here today.
"The primary question is the issue of governance and transparency and whether things were done above board," he added.
Fahmi said Prime Minister Datuk Seri Anwar Ibrahim had provided guidelines on reviews that the government would undertake regarding several projects.
"There are certain things that the Prime Minister has given as guidelines in terms of review so we will look into it and if there is something, we will definitely raise it," he added.