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5 questions for Najib to answer, in order for him to prove his contention that PH was the one responsible for LCS RM9 billion scandal.

The PAC Report on LCS Project was tabled in Parliament last week. The report exposed how the project was bound to fail due to the wrongdoings and misdemeanour since day 1 of the project.

The former Prime Minister Najib Razak became the person reacted the most to the exposure, despite not being named in the report. In the past two days, Najib was trying hard to implicate that the non-completion and non-delivery of LCS was due to PH Government, by twisting the clear facts exposed in the PAC Report.

I have a few questions for Najib to answer, in order for him to prove his contention that PH was the one who caused the non-delivery of LCS.

  1. Did PH decide the use of GOWIND design by French Naval Group, against the wish of the Navy, back in 2011?
  2. Did PH cause the Navy to be placed in a disadvantage position where the Contractor, BNS only agreed to 10 out of the 17 equipment requested by the Navy and the balance 7 decided by BNS solely back in 2011?
  3. Did PH cause the appointment of the middle-man company, Contraves Advanced Devices Sdn. Bhd. (CAD) dan Contraves Electrodynamics Sdn. Bhd. (CED) which the Forensic Report found out that as a result the same, the price for the equipments from OEM had increased double and triple fold? Quoting the findings of the Forensic Audit, “Payment done till that in 2014 was RM1.2 billion but after 2014, a lot of other payments were made to them.”(Page 130 of the PAC Report)
  4. Did PH cause the misuse of LCS Project Fund, i.e. RM400 million to pay the previous debt of BNS, RM305 million to build a Centre in Putrajaya which is outside the scope of the Contract, and a RM700 million cost-overrun due to the mismanagement of the Contractor BNS?
  5. Did the OEM and Sub-Contractor stopped work and stopped supply of materials and equipment due to the taking over the Federal Government by PH in 2018?

Anyone who read the PAC report will answer all the above in negative.

The works at the site were stopped because the Contractor, BNS was unable to pay the OEM and the Sub-Contractor. There are 164 OEM remains unpaid by BNS, and this figure was even much higher with a total number of 400 OEM mentioned by the Defence Minister in his statement a few days ago!

The mismanagement of the project fund is admitted by the BNS LCS Program Director, Kepten (B) Ir. Azhar, the witness from BNS at the PAC proceedings. He said: “Isu yang kita hadapi di dalam Boustead Naval Shipyard ini agak parah ya di mana ia melibatkan ketirisan pengurusan kewangan. Bagi saya, itu adalah isu utama yang melibatkan kepada permasalahan semasa.” (Page 63 of the PAC report)

Who has actually benefited from the project fund? The problem has all started from year 2011 where Najib was the then Prime Minister. Najib must come clean. Why didn’t he ever take any actions to find out the root cause of the problem and launch an investigation to the issue?