“The government wishes to reiterate its previous statement dated Aug 28, 2020 that the development of KVDT 2 will continue.

“However, as to the implementation of KVDT 2, the Cabinet has agreed that it is best to reopen the tender for the project in the interest of deriving the best value for the rakyat and economy,” said minister Wee Ka Siong in a statement.

The ministry issued the statement following a video released online alleging that any cancellation of the KVDT 2 project would result in significant job losses.

The project was contracted to Dhaya Maju LTAT Sdn Bhd, a 80:20 joint venture between Dhaya Maju Infrastructure (Asia) Sdn Bhd and the Armed Forces Fund Board (LTAT).

“However, as a suit has been filed in court by Dhaya Maju-LTAT against the government on this matter and it is still an ongoing proceeding, the government shall respect the judicial process and let it take its course.

“As such, the ministry will not respond nor make any further comments on all matters relating to the subject matter of the suit, to avoid any possible sub judice,” Wee added.

He urged the public to refrain from making further speculations that could jeopardise the court proceedings.