We call on the Government to increase the number of trained
personnel in the Anti-Corruption Agency (ACA) and ensure that the
agency is independent in the true sense of the world such as making it
responsible only to Parliament. Now, it is under the Prime Minister's
during the debate on the motion of thanks to the
King for the Royal Address
by Dr Tan Seng Giaw
Thursday): I rise to speak on this motion with mixed
feelings. Some Government measures are in the right direction. The
appointment of a woman as Chief Justice of Malaya, the efforts to balance
the budget, Malaysia Integrity Institute, National Integrity Plan, Malaysia
Corporate Administration Code, the Second Science and Technology Policy,
National Broad Band Plan and National Social Policy create high expectation
among the people. The initiatives of the Prime Minister over a year ago have
yet to be realized, including the eradication of corruption, the improvement
in the delivery system and the modernization of agriculture.
On 21 March, 2005, it was good to see the Chief Justice Datuk Siti Norma in
the House. Though the sword of justice is sharp, it will not slay the
Hoping that the Chief Justice is very just, we would like to see the
Judiciary truly independent, clean and efficient. This type of judiciary is
an important factor to give rise to human rights. Hitherto, the Government
remains vague on human rights, including Universal Declarations of Human
Rights, United Nations.
Membaca yang paling padan,
Cekal yang dalam gawai;
Neraca yang palingan,
Bungkal yang piawai.
The Prime Minister is reducing the budget deficit from 4.3% last year to
3.8% this year in order to achieve a balanced budget. He would like to
project Malaysia brand internationally as a corporate country that stresses
quality, security, service and efficiency. Malaysia brand must include
commitment to be open and liberal in various sectors including the service
sector, taxation, competitiveness and the energy of the private sector.
The ringgit peg
Malaysian ringgit is pegged to the US dollar at RM3.80 per US$ for 6 ½
years, showing good effects initially. Now, the world has changed. There is
nothing permanent except change. Many factors including mammoth deficit of
US$11 trillion in the American economy result in weak US dollar. On the
other hand, the ringgit is undervalued with the country's foreign reserves
reaching US$70 billion and trade surplus lasting for 87 months. This is due
to many factors. Speculative investment (hot money) increases. There may be
world economic recession in 2007, 2008 or 2009. What is the Government's
prepared move to handle the ringgit peg? Bank Negara Governor Tan Sri Zeti
wants to consider ringgit performance against a basket of currencies and the
effects on major trading partners. What is the mechanism to assess the time
to stop the peg and replace it with a bigger flexibility of the rate of
The Government subsidizes diesel in the billions. Oil price shoots up to
over US$55 per barrel. The price of diesel increases from RM 0.95 per litre
at the beginning of the year to RM1.30 per litre. Fishermen suffer. They ask
the Government to reduce diesel price to reasonable level like RM 0.85 per
litre, allow Zone B to employ legal foreign workers, put a stop to middlemen
and prevent diesel smuggling.
The King believes that we should not be satisfied with the efforts (of the
Government) to eradicate corruption. The Government has announced figures on
ACA actions. But, ACA still has a long way to go. We must cooperate to help
the Government make the National Integrity Plan, Malaysia Integrity
Institute and Malaysia Corporate Administration Code successful. The
Government should increase in the number of trained staff members in the ACA
and ensure that the agency is truly independent, responsible only to
A beautiful Temerloh Hospital
The Public Works Department (PWD) monitors Temerloh Hospital Project (PHT).
The main contractor is PHT Sendirian Berhad (PHTSB) which is
responsible for design, construction, equipment, commission and maintenance
of the hospital---a 'turnkey' project. The contract number is JKR/IP/B/24/2002.
It costs about RM500 million. On 17 march, 2005, a few colleagues and I
visited the hospital.
This project is situated within a 44-acre land at Kampung Paya Luas, Mukim
Perak, Daerah Temerloh. PHTSB had possession of the site on 8
March, 2002. But, works started in 2001. It was scheduled for completion on
7 September, 2004, but delayed until 6 December, 2004. The Certificate of
Practical Completion (CPC) was approved on 15 January, 2005 without
consideration of the status of works of the project. The list of
outstanding works is not available.
PHTSB comprises Syarikat Permodalan Kebangsaan (SPK) with 40% shares,
Mokhtar Mohamad Nazir (MMN) Bina 40% and Aspirasi Sama 20%. SPK and MMN Bina
are in the list of Construction Industry Development Board (CIDB). The
status of Aspirasi Sama is unclear.
According to Clause 8 'of the Conditions of Contract, the Contractor shall
ensure that the quality of works as a whole must be maintained and that the
works are carried out in conformity in every aspect with the requirements of
'The Contractor shall engage full time on the site the whole duration of the
contract adequate number of professional engineers or other appropriate
professionals registered with the respective boards in Malaysia and
sub-professional staff to provide close supervision of the works at all
times to ensure full compliance with the design and specification of the
On 31 January, 2005, Puan Puteh Kamariah Bt Mohamad signed theCPC as Project
Director as follows: " In accordance with Clause 40 of the Condition of
Contract and subject to the completion of any outstanding work and the
making good of any defects, imperfections, shrinkages or
any other faults whatsoever (as listed in Appendix A) as required under
Clause 46 of the Condition of Contract and which may appear during the
Defects Liability Period It is hereby certified that the whole of the Works
as mentioned above were satisfactorily completed on 14th January, 2005 and
taken into possession on 15th January, 2005 and that the said Defects
Liability Period in respects of the said Works began on 15th January, 2005
and will end on 14th January, 2007.
The issues which need full attention are as follows:
(1) Works on Temerloh Hospital project began a few months before
possession of the site.
(2) The factors for the delay of the project are unclear, including
the position of the Fire Department.
(3) The appointment of PHTSB as the main contractor was unusual.
Forinstance, the status of one of the partners, Aspirasi Sama, was not
(4) Where is the list of the outstanding works?
(5) CPC has been approved without all outstanding works
(6) The process for the completion of contract works and the
preparation for the CPC remains in doubt.
(7) There is weakness in the schedule, format and procedure of
testing and commissioning.
(8) The documentation of the project, manpower planning of
subcontractor, record and accountability show defects.
(9) PHTSB do not take testing, commissioning, mechanical and
engineering works seriously.
(10) There is lack of an effective monitoring system to monitor
drawing status of various services.
(11) The Certification of Fitness for sewerage Treatment Plant has
been approved without testing and commissioning. What is the status of
Indah Water Konsortium here?
(12) There was a delegation to visit London, Rome, Venice and Milan
in July, 2004, for the transfer of technology. The delegation comprised
the wife of the PWD Director-General, Puan Puteh (PWD Project Director),
Allan Tan (PHTSB Project Director) and wife, Chuan TH (PWD
civil engineer) and Soo HN (PWD Quantity Surveyor). What hospital did this
delegation visit? (Was it a fashion house in Milan?) How much did
the Government spend? How many delegations had been sent?
(13) "Standby Genset" has not been commissioned before operation.
(14) Internal construction materials do not comply with contract
specifications. 'Crusher-run' is used as road base, replacing granite.
(15) Use of 'claybrick' not 'reinforced concrete' to build drains.
(16) Anti-fire equipment with Fixed CO2 Fire Protection System has
not been installed.
(17) Car parks are not constructed according to specifications.
(18) Full medical treatment has not been sent and installed.
(19) Residual Current Device (RCD) for electrical equipment to
protect patients has not been installed.
(20) Roads are not built according to contract specifications.
(21) "Surge Suppressor for Electrical System" is not fixed.
(22) Uninterrupted Power Supply (UPS) is not satisfactorily
(23) Pedestrian Walkway is built without complying with
(24) Is the hospital worth RM500 million?
(25) Is the helipad according to specifications?
The Prime Minister has directed ACA to carry out its duties without fear or
favour, adding: "This work is not done within one or two days and ACA
is not sitting quietly. On the other hand, they continue with their
"Naturally, at the same time, they must face various perceptions. But, have
informed ACA, don't be afraid of anybody, continue with investigations. I
I hope that the PM increase the number of trained staff members of ACA and
make the agency truly independent, responsible only to Parliament.
The Works Minister encourages people to visit Temerloh Hospital which he
regards as beautiful. It has been handed over to the Health Ministry. I hope
that the Minister can make the hospital beautiful, not only in appearance,
but also in contents. The same applies to the Health Minister, who on 20
March, 2005, expressed his desire to equip 124 government hospitals in the
country with state-of-the-art equipment. He can help the Works Minister to
investigate thoroughly various works that do not comply with PHT contract.
For example, PHTSB has not included RCD in the list. This device is
important in dealing with residual current for the safety of patients,
especially heart patients. On 17 March, 2005, a PHTSB representative told me
that his company had ordered 160 RCDs with RM 800 per unit. Some say that
these are not found in switchboards. The hospital requires over 300 RCDs,
costing RM1,200 each. Doctors and nurses are not necessarily electricians.
They are not familiar with switchboards and RCDs. As the contractor has not
prepared for RCDs, many structures and wiring are not adapted for these
devices. If the company decides to comply with the contract and install RCDs,
then it may have to knock down various structures and to rewire.
Over a year ago, the PM made many promises. He is trying to do some such as
balancing the budget. But, he must do more. Good to begin well, better to
end well. An ox is taken by the horns, and a man by his words.
Cekal, cekap orang Cuba,
Lepas naik makan epal Fuji;
Bungkap genap menahan cuba,
Emas baik menahan uji.
Taptibau terbang di hujung dahannya,
Sesia pasang perangkap dengan butanya;
Kerbau dipegang dengan tali hidungnya,
Manusia dipegang pada katanya.
* Dr Tan Seng Giaw, DAP National Deputy
Chairman and MP for Kepong