
A group of sub-contractors and local suppliers are demanding payment amounting to RM58 million for work done and supplies delivered for the LRT3 project.
The company is said to be in the process of raising funds and has assigned 10 representatives to meet with more than 50 sub-contractors and suppliers, China Press reported today.
A consortium led by CRCC was awarded a RM1.6 billion package of the LRT3 project in August 2017.
A representative of the CRCC headquarters in China, who gave his name as Lee, said he, his colleague Dai Ai Min and eight others arrived in Malaysia at the end of September to meet with their creditors.
“The company has assigned 10 representatives and skipped the week-long China National Day celebrations to meet with the suppliers. We hope that the suppliers appreciate this,” he was quoted as saying.
Lee said CRCC had previously planned to pay 25% of the outstanding amount at the end of September and settle the remaining 75% by next February.
“However the headquarters decided to collect the funds themselves and pay back RM58 million of the outstanding amount by end of November,” Lee said.
He said the company was “actively in discussion” with suppliers and he and his nine fellow negotiators would remain in Malaysia until all outstanding matters have been settled.
“Currently the discussions with suppliers are going well,” he said.
A group of people representing some of the suppliers held a peaceful protest over the unpaid bills in Shah Alam last month.
The representatives of 30 of the suppliers said CRCC had delayed payment of RM30 million for construction fees for nine months.
The remaining 20 suppliers were not represented at the protest.