4/17/2006

timebomb in crooked bridge contract

It was revealed that the contract with Gerbang Perdana also stipulated that the government would pay M$1m for each day that the project was delayed. I am amazed that this clause was in the crooked bridge contract. Now who in his right mind would allow such a clause to be included knowing very well that it is not going to be smooth sailing when it is decided by Malaysia without the consent of Singapore? Would the Malaysian govt dig into this and find out why? They can't be that stupid to sign a contract that technically can bankrupt Malaysia. The contractor can simply take it slow, no rush, and got paid by M$1m a day! A normal contract is for the contractor to pay the user/govt compensation for delay.

6 comments:

Anonymous said...

It doesn't make sense for the contractor to go slow and bankrupt the government coz then they won't get paid.

Chua Chin Leng蔡镇龍 aka redbean said...

the govt cannot be bankrupt. also, everyday's delay is $1 mil in the pocket.

to sign such a contract it means that the contractor already expect such an eventuality.

for the govt to sign such a contract tells a very strange story.

Anonymous said...

what mumbo jumbo!

Anonymous said...

sorry, redbean
i mean to respond to the first comment.

Anonymous said...

"what mumbo jumbo!"

You should ask yourself that question. At least the first poster had an opinion and attempted to present it. I don't see you doing that. What a loser.

Chua Chin Leng蔡镇龍 aka redbean said...

sorry i didn't get your mumbo jumbo drift?

the malaysia govt cannot be bankrupted by this contract. the bankrupt part is just an expression and only in theory, assuming the bridge is not build for the next 100 years and the malaysian govt cannot void it.

which poster and what opinion? please fill me in. i am lost.