Datasonic seeks settlement over passport booklets deal

KUALA LUMPUR: Datasonic Group Bhd is seeking an amicable settlement with Percetakan Keselamatan Nasional Sdn Bhd  (PKN) over the supply of 13.41 million Malaysian passport booklets in 2016.

It said on Wednesday its unit Datasonic Technologies Sdn Bhd (DTSB) would continue to pursue for amicable settlement with PKN, failing which, it would leave it to the court to determine the fair price.

The legal suit will not affect DTSB’s Malaysian passport booklets contract with the government for five years as PKN was only its appointed subcontractor for that interim period of six months only, it said. PKN is a unit of FIMA Corporation Bhd. 

Since September 2017, DTSB had started to produce the new designed booklets and there was an official launch in January 2018.

The new booklets incorporated the design concept of flora and fauna, batik, songket and Rukun Negara of which the old Malaysian passport does not possess these features.

To recap, on April 27, 2016, DTSB had accepted the letter of award from the Home Ministry to supply 13.416 million booklets to the Immigration Department from Dec 1, 2016 to Nov 30, 2021.

DTSB appointed PKN as subcontractor to deliver the first 1.5 million old Malaysian booklets from Dec 1, 2016 until May 31, 2017 and a copy of draft agreement was sent to PKN based on DTSB offered price. 

It said PKN did not agree on DTSB offered price but continue to supply the old Malaysian Passport booklets in which time the pricing for each old Malaysian Passport booklet had still not been agreed upon by both parties.

Though no agreement was signed, PKN had decided to deliver the 1.5 million old designed booklets with full understanding that pricing were to be agreed upon at future date.

Recently,  PKN launched legal action against DTSB, claiming RM24.98mil (excluding interest and cost).