Tuesday 19 Mar 2024
By
main news image

KUALA LUMPUR (Aug 20): The two concessionaires ATES Sdn Bhd and Beta Tegap Sdn Bhd — which operate the automated enforcement system (AES) under a concession that will be ending on Aug 31 — received RM129 million for AES summons issued between 2012 and up to May this year, said Transport Minister Anthony Loke.

The payment was broken into two tiers that stipulated the sum for the summons that was initially RM300 and later reduced to RM150 in November 2016, and the RM16 commission for each summon issued.

Tier One (commission from summon issued) amounted to RM60.2 million while Tier 2 (summons) came up to RM68.8 million, said Loke, adding that the sum would be audited.

"Whatever the amount, it made no difference because the government did not earn a single sen. There was no revenue from this agreement. It was lopsided deal signed by the previous government," Loke told a media conference today.

He identified the shareholders for ATES, set up on Jun 15, 1985, as Traffen Force Sdn Bhd and Commercial Circle (Malaysia) Sdn Bhd, while the shareholders of Beta Tegap, established on Feb 7, 2004, comprised Dr Andreas Teoh, Datuk Mohd Yunos Othman, Toh Puan Rozana Redzuan, General (Retired) Tan Sri Nik Ismail Nik Mohamed, and Datin Yap Kim See @ Yap Ai Lin.

Apart from that, the Armed Forces Fund Board (LTAT), through its subsidiary Irat Properties Sdn Bhd, was instructed by the former government to pay RM555 million to the companies to take over the management and operation of AES in 2015.

"The government then used the money from LTAT to compensate the companies when it decided to take over the AES operation at a cost of RM555 million based on the loss of profit the companies suffered because it could not fix the remaining number of cameras. I was angry when I saw the agreement. The people who signed it were fools," he alleged.

Now, the current government will need to repay LTAT that amount, which is expected to be done in stages, said Loke.

In the meantime, Loke alleged that in six years since the original agreement was signed, the concessionaires made a "clean profit" based on the gross investment of RM10 million as it only installed 47 cameras out of 1,000 that was stated in the deal.

"Up to now only 38 cameras are working, seven are being calibrated and two in the process of being installed. That means only 47 cameras.

"If one camera costs RM250,000, their investment would have been RM10 million only but they got RM129 million. They got back whatever that was invested plus a clean profit," he added.

Last Friday, Loke announced that all outstanding AES summons worth over RM435 million will be waived and the government, via the Road Transport Department (JPJ), will take over the management and operation of the system starting Sept 1.

The government will discuss with MIROS (Malaysian Institute of Road Safety Research) regarding the spots where the cameras would be installed, including accident-prone areas.

"The objective of the AES is good, which is to reduce speeding on the road. We will continue the system, but with a different model of implementation," said Loke.

      Print
      Text Size
      Share