PORT KLANG, 28 May 2009: Port Klang Authority chairperson Datuk Lee Hwa Beng said he will lodge a report with the Malaysian Anti-Corruption Commission (MACC) based on the audited report on Port Klang Free Zone (PKFZ) project and the operator of the project, PKFZ Sdn Bhd tomorrow morning.
He said he would hand over the report to the MACC office in Putrajaya by 8am as directed by Minister of Transport Datuk Seri Ong Tee Keat.
Lee said this at a press conference in conjunction with the release of the report titled: Position Review of Port Klang Free Zone Project and Port Klang Free Zone Sdn Bhd done by international audit firm, PricewaterhouseCoopers (PwC), here today.
“PKA doesn’t have investigative powers. You read the minister’s (Ong) blog on what he directed me to do,” he said.
Lee said to ensure transparency the report by PwC would be available in its entirety on www.pka-report.com for access by the public for two weeks from today until 10 June 2009.
The 405-hectare PKFZ transshipment hub, which has warehouses, office blocks and a four-star hotel, has been dogged by controversy after it was revealed that its development cost had ballooned from the less than RM2.5 billion original cost to RM4.6 billion.
Meanwhile, Transport Minister Datuk Seri Ong Tee Keat said today that a copy of the PKFZ audit report, which was made public today, will be also submitted to the Public Accounts Committee (PAC).
“My ministry is not only committed to have the report released but is also determined to ensure that we seek all possible remedies that are within our jurisdiction,” Ong said in his latest posting at www.ongteekeat.net.
He said the release of the report meant only a small part of the job done.
“We need now to seriously act on the findings of the report to make sure that the interest of the people are fully protected and that this government walks the talk,” he added.
PKA’s Lee also said 15 set of appendices for the report would be made available for public scrutiny at the PKA office here during office hours for two weeks from today.
He said PWC had set three conditions upon the release of the report to the public — that the report cannot be used, cannot be relied for making any conclusions, and that PwC was not obliged to respond to any queries.
Lee said: “PwC has prepared this report for Port Klang Authority. Their duty of care is only to PKA and PwC does not owe a duty of care to any other party.”
When asked why there was only a period of two weeks for the public to read the report, he said it should be sufficient and that PKA had rented an outside server for their website.
He said PKA has not uploaded the appendices in the website as they were voluminous.
Ong, in his blog, also said that he has instructed PKA, which supervised the PKFZ project, to act on four fronts.
One would be to seek legal recourse for contractual shortcomings or irregularities, to seek professional advice on the restructuring of financial obligations of PKA, to improve and tighten governance issues at management and board levels and to further beef up the day-to-day management of PKFZ in order to strengthen its operations and financial returns.
The audit report was initially set for release on 6 May but hit a snag as it was revealed that the independent directors of PwC had conditions attached to their report — an indemnity letter from PKA before the release of the report.
Following that, PKA sought legal advice and an indemnity letter was later issued to PwC. — Bernama