Construction firm fined RM20,000 for ignoring consumer tribunal award


KOTA KINABALU: A construction company was fined RM20,000 for failing to comply with a Consumer Claims Tribunal order to compensate a claimant.

Magistrate Marilyn Kelvin imposed the fine after a representative of Alex Contractor Sdn Bhd pleaded guilty to a charge under Section 117(2) of the Consumer Protection Act 1999.

The company was accused of failing to comply with a tribunal order on April 21 last year to pay RM50,000 to the claimant.

The company paid the fine.

According to a statement on Friday (June 26) from the Sabah office of the Domestic Trade and Cost of Living Ministry, this was a continuing offence.

It said the company had previously been convicted under Section 117(1) of the Act on Dec 2 last year for failing to comply with the same tribunal order.

However, the company still failed to execute the award, leading to prosecution under Section 117(2), it said.

The additional penalty imposed by the Magistrate's Court was based on the 203 days the offence continued.

Section 117(2) of the Act provides that any party who continues to fail to comply with a tribunal award after conviction under Section 117(1) may be subject to an additional fine not exceeding RM1,000 for each day or part of a day the offence continues.

The ministry's state director Shahril Nizam Shahidin said it takes a serious view of any failure to comply with Consumer Claims Tribunal awards.

"This action reflects the ministry's commitment to protecting consumer rights and ensuring every tribunal award is respected and complied with.

"It also sends a clear message that failure to comply with tribunal awards is an offence that can result in strict legal action," he said.

He also urged the public to lodge any consumer-related complaints via WhatsApp at 019-8488000, the ministry's e-Aduan Portal, call centre at 1-800-886-800, or the Ez ADU application.

 

 

 

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