New Sabah Times
Sunday, April 08, 2001
KOTA KINABALU: The Anti-Corruption Agency has called up several people for questioning in connection with alleged irregularities in the award of a contract worth RM49 million to replace 100,000 faulty water meters in Sabah.
State ACA director Chuah Chang Man said those questioned were from Government departments and private firms.
"We took down their statements and they gave their full co-operation," he told reporters after officiating the State ACA family day at Tanjung Aru beach, here, today.
He said investigation was still at the preliminary stage.
The controversy surrounding the award of the contract was widely reported by the media early this year prompting the then Chief Minister Datuk Osu Sukam to come up with an explanation.
It was reported that RM250 was approved for replacing each of the 100,000 faulty meters when the installation cost for a meter was said to be only RM17.
Osu had defended the State Government's decision, saying that the RM250 installation cost for a new meter was justified.
He had also said that besides labour and service charge, the installation cost also covers other items such as galvanised iron pipe, pipe elbow and nipples, lockable valves, drain plugs and sluice valves.
Osu also said that although the tender for the project was awarded on a negotiated basis and that it was made according to standard procedures.