This article first appeared in The Edge Financial Daily, on March 2, 2016.
KUALA LUMPUR: Scomi Engineering Bhd’s wholly-owned subsidiary has obtained an ex parte injunction to restrain Prasarana Malaysia Bhd from wrongfully terminating the RM494 million Kuala Lumpur Monorail Fleet Expansion project.
In a filing with Bursa Malaysia yesterday, Scomi said Scomi Transit Projects Sdn Bhd, which filed the injunction that is valid until Friday, will have the matter heard inter partes then.
Scomi said the monorail fleet expansion deal is for an upgrade of the stations in the city as well as the electrical and mechanical system, the construction of a new depot and delivery of 12 sets of new four-car trains.
“The legal action and injunction have become necessary after Prasarana threatened to terminate the KL monorail expansion contract in disregard to the terms set out therein.
“The board has taken this course of action acting on the advice of its solicitors,” Scomi said.