Payment worth millions made without approval in PKFZ scandal

The Public Accounts Committee (PAC) said that payments worth millions of ringgit were made to the main turnkey project contractor of Port Klang Free Zone (PKFZ) without the prior approval and knowledge of the Port Klang Authority’s (PKA) board,Thursday.

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PKFZ turnkey developer Kuala Dimensi Sdn Bhd (KDSB) is mulling legal action against the port authority as well as the audit firm which it calls “mischevious”.

The report has implicated several politicians from Barisan Nasional who have all sat or are still sitting on the board of either KDSB or companies under the same Wijaya Baru group.

UMNO’s Sementa assemblyman Datuk Abdul Rahman Palil, who was cited in an audit report for conflict of interest in the Port Klang Free Zone scandal, has sued the Port Klang Authority and eight others for RM11 million to clear his name.

The PWC report noted Abdul Rahman’s conflict of interest as he was both PKA director and chairman of the Pulau Lumut Development Cooperative (KPPL) which was the original owner of the land that is now the PKFZ site.