KUALA LUMPUR, Nov 23 — The Ministry of Finance had hired two inexperienced contractors to upgrade hospitals in Batu Pahat and Kota Baru, causing delays and shoddy work, said the Auditor-General’s (A-G) Report 2014 released today.
In the third series of report, the A-G named companies Sejagat Bakti Sdn Bhd as responsible for the problems with Sultanah Nora Ismail Hospital in Batu Pahat, and Menang Intan Sdn Bhd for Raja Perempuan Zainab II Hospital in Kota Baru.
“[There was] A delay of 90 days in completing the project and [it] was only handed over to Ministry of Health 12 month after the issuance of Certificate of Practical Completion (CPC).
“Appointment of inexperience contractor affected the performance and quality of construction,” it said of Sejagat Bakti.
“The contractor lacked experience in construction of hospital and delivered the project behind schedule,” the report added, referring to Menang Intan.
“The contractor was given Extension of Time (EOT) twice totalling 306 days and was charged Liquidated Ascertained Damages (LAD) for a sum of RM3.22 million for the delay.”
Going through MOF’s fast track method, Sejagat Bakti was hired by the Public Works Department for the project costing RM200.70 million, for upgrades including in operation theatre, emergency department, and six wards.
Meanwhile, Menang Intan was hired for an RM186.76 million project to build two building blocks: a five storey ambulatory care centre and a four storey mechanical and electrical block as well as parking facilities.
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