The document (pic above) is from the Penang Tunnel Special Purpose Vehicle’s audited accounts for year ended 31st Aug 2013.
How did they manage to sell the land just one month after being announced as winner in March 2013, before official agreement signing in Oct 2013?
At this stage, none of the reports would have possibly been completed and signed off or even started
RM345mil only represents partial payment for the studies? What was the agreed total cost of the studies then?
Did anyone from Penang Govt abuse their power to tell them they can sell the land?
Did the buyer get any warranties or confirmation from representatives of the state Govt to buy the land as buyer would sign a RM345mil Sales & Purchase agreement if there was no guarantee that the the seller owns the land.
The other thing you can see is that the SPV only increased its authorized capital from RM100,000 to RM10mil (of which only RM5.6mil was taken up) only on 10 December 2013 – 9 months after the project was announced and 2 months after the RM6/34 billion agreement was officially signed with the state govt.
JKR’s guidelines for contract award requires the bidder to show financial strength equivalent to 3% of contract value, which would be RM190mil in this case.