MCA: Is Selangor govt heading towards bankruptcy following SPLASH lawsuit?

PETALING JAYA: MCA has questioned whether the Selangor state government is on the verge of bankruptcy after Syarikat Pengeluar Air Sungai Selangor Sdn Bhd (SPLASH) filed a suit against Syarikat Bekalan Air Selangor Sdn Bhd (Syabas) to claim RM4.22bil in outstanding receivables.

"If the Selangor government loses this RM4.22bil suit, payment of these outstanding bills will completely wipe out our state reserves of RM3bil and leave us in a negative position," Petaling Jaya Utara MCA division chairman Tan Gim Tuan (pic) said in a statement Friday (April 13).