Termination letter issued to Dhaya Maju LTAT, court told

KUALA LUMPUR: A letter of termination has been issued to Dhaya Maju LTAT Sdn Bhd in relation to the contract for the Klang Valley Double Tracking Phase 2 (KVDT2) project, the High Court here heard.

Senior federal counsel Nik Mohd Noor Nik Kar said the letter was sent to Dhaya Maju LTAT by registered post on Thursday.

The court was scheduled to hear Dhaya Maju LTAT’s application for an Erinford injunction yesterday.

A party appealing against a court decision may apply for an Erinford injunction, which is used to stop the other parties from dealing with the subject of a legal action until the disposal of the appeal.

On Sept 7, Dhaya Maju LTAT filed a suit against the government and Transport Minister Datuk Seri Dr Wee Ka Siong, among others, seeking a declaration that there exists a valid and binding contract between the company and the government by way of a Letter of Acceptance dated Aug 19 last year.

The project, worth RM4.475bil, was listed as one of the 101 projects, awarded via direct negotiations during the Pakatan Harapan administration.

On Aug 28, Dr Wee said the ministry would reopen the tender for the KVDT2 project after results of extensive study and investigations found that the cost was overpriced.

Nik Mohd Noor, who was representing the government and Dr Wee, said they needed to put the letter in the affidavit in relation to the plaintiff’s injunction application.

“We have limited time to prepare the affidavit. If possible, we seek for the defendants to be granted time to prepare the affidavit until next Wednesday.

“Perhaps, we can hear the injunction application next Friday,” he told High Court judge (construction division) Justice Aliza Sulaiman.

Lawyer Kuhendran Thanapalasingam, who acted for Dhaya Maju LTAT, said his client did not receive any notice of termination.

Justice Aliza said she had to take the same position as the earlier injunction application last week and maintained her view that an injunction could not be issued to restrain the government and officials from performing their public duties.

“I may be wrong but I think this may be a point to bring all the way up to Federal Court. The application (Erinford injunction) is dismissed with no order as to costs,” she said.

On Sept 18, Justice Aliza dismissed Dhaya Maju LTAT’s application for an interim injunction to restrain and prevent the government from cancelling or terminating the contract for the KVDT2 project.

After the decision, Dhaya Maju LTAT said it would file an appeal against the decision and also an Erinford injunction.

According to the suit, the company is also seeking a declaration that any termination or cancellation of the contract by the defendants will be invalid, unlawful and wrongful, besides an injunction against both defendants to restrain and prevent them from acting or taking any steps in connection with any cancellation or termination of the contract.

Dhaya Maju LTAT, among others, seeks the outstanding sum of RM137,054,534.21 from the government with interest of 5% per annum on the outstanding sum until the date of judgment and final settlement.

The company also seeks damages to be assessed for Dr Wee’s liability, interests, costs and other reliefs that the court deems fit and proper to grant. — Bernama
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