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KUALA LUMPUR: A win-win situation is being sought between the government and the company involved in the Klang Valley Double Tracking Phase 2 (KVDT 2) project, says Datuk Takiyuddin Hassan (Photo).
The minister in the Prime Minister’s Department in charge of the law said that the Cabinet had given the Transport Ministry the green light to negotiate an out-of-court settlement with Dhaya Maju-LTAT Sdn Bhd, whose contract for the project was terminated on August 25, this year. year.
“On this matter, not only the civil case but for any civil case that the government faces, it is the government’s practice to always be open to negotiating an out-of-court friendly settlement.
“Similarly, in this case, the cabinet said last Friday that the company and the Ministry of Transport should try to reach an agreement for a win-win solution,” said Takiyuddin in response to a question posed by Anthony Loke (PH -Seremban) in Dewan. Rakyat on Wednesday (November 11).
Takiyuddin said that the contract for the KVDT 2 project was awarded to the company as part of a joint venture effort in 2017, but was terminated by the previous management in October 2018 and subsequently allowed to continue in July last year afterwards. renegotiations.
However, he said the current administration decided to terminate the contract with the company in August this year, which resulted in the company filing a legal claim.
He acknowledged that the KVDT 2 project could suffer some delays as the company managed to obtain an interim court order against the government.
Although court proceedings are still ongoing, Takiyuddin expressed confidence that a win-win situation could be found to resolve the issues.
The KVDT 2 project is an 80:20 joint venture between Dhaya Maju Infrastructure (Asia) (DMIA) and Armed Forces Fund Board (LTAT).
The project spans 110 km and includes two KTM rail tracks, one from Salak South to Seremban and the other from a point between Kuala Lumpur Sentral and Angkasapuri to Port Klang.
KVDT 2 is one of 101 projects with a total cost of RM6.61bil, which was recently revealed in Parliament as delivered by the previous Pakatan Harapan government through direct negotiations.
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