Scomi obtains injunction against Prasarana

The new KL Monorails will feature a vibrant red and white body and the first two of this G2 type will be delivered by end of this year.

KUALA LUMPUR: Scomi Engineering Bhd’s unit Scomi Transit Projects Sdn Bhd has secured a court ruling restraining Kuala Lumpur Monorail operator Prasarana Malaysia Bhd (PMB) from wrongfully terminating the RM494mil contract for the monorail fleet expansion project.

In a filing with Bursa Malaysia, Scomi said it had obtained the ex parte (one side only) injunction on Tuesday with regards to the contract signed with PMB dated June 3, 2011 and/or the second supplemental contract dated April 15, 2015.

“The ex parte injunction is valid until Friday, March 4, 2016 when the matter is to be heard inter partes (between the parties),” said the technology company focusing on energy and logistics.

The Scomi Group subsidiary said the KL monorail expansion contract was for an upgrade of the Kuala Lumpur Monorail stations and the electrical and mechanical system, the construction of a new depot, and delivery of 12 sets of new four-car trains for a total contract value of RM494mil.

“The legal action and injunction have become necessary after PMB threatened to terminate the KL Monorail expansion contract in disregard to the terms set out therein,” Scomi said.

It was reported that the four-car trains would be replacing the two-car trains. This change of trains was to be the first for KL Monorail since it began operations in 2003.

Based on Scomi Engineering’s 2015 annual report issued in August last year, it had delivered five sets by end-July 2015 and expected to deliver the balance trains in 2016.