KUALA LUMPUR: Iris Corp Bhd has decided to challenge the termination of its RM1.12 billion National Identification Integrated Solutions (NIISe) contract.
In its filing with Bursa Malaysia today, Iris said its wholly-owned Iris Information Technology Systems Sdn Bhd (IITS), after seeking independent legal advice, had formally sent a letter to the Home Affairs Ministry.
"In this letter, IITS raises strong objections to the termination, asserting that it believes the action taken is not only invalid but also in violation of the law," it said.
Iris stressed that it stands firmly behind its subsidiary's stance on the matter.
The company said IITS is committed to protecting its interests and has resolved to take all necessary actions to exercise its legal rights.
"IITS is of the view that the termination is invalid and unlawful.
"IITS firmly disputes the termination as stated in the notice of termination and will take necessary actions to protect its interest and exercise its legal rights in relation to the NIISe contract," it added.
The Home Ministry had last week cancelled Iris' RM1.12 billion contract with immediate effect.
In February this year, the Malaysian Anti-Corruption Commission reportedly was investigating the award of a government contract to a former prime minister's son-in-law.
The contract in question was speculated to be for the development of NIISe.
Former prime minister Tan Sri Muhyiddin Yassin had since denied allegations linking him to the contract.
He reportedly said he was never involved in the awarding of the NIISe contract to Iris, which he said was done through an open tender.