Pua questions why security-labelling contracts monopolised by Lembah Sari

-A +A

KUALA LUMPUR: MP Petaling Jaya Utara Tony Pua is questioning why the government awarded a multi-million ringgit security-labelling concession contract for liquor and beer in the country to Lembah Sari Sdn Bhd - on top of a similar contract for cigarettes that it has already obtained - without an open tender.

"I want to know what is the rationale for the government to award the contract to print security labels to this company that is owned by a relative of a minister via direct negotiations," he told reporters at a press conference at Parliament today.

Pua was referring to an article published by The Edge Financial Daily on Sept 12 which reported that Lembah Sari had won a RM77 million liquor security-labelling contract for liquor and beer from the Royal Malaysian Customs Department.

The report also stated that the company, which is controlled by businessman Datuk Haris Onn Hussein, brother to Defence Minister Datuk Seri Hishammuddin Hussein and cousin to Prime Minister Datuk Seri Najib Razak, already owns a concession to print security labels for all local and imported cigarettes in the country since 2006.

Lembah Sari, which manufactures and trades in security ink and banners, first took over the concession to print security labels for cigarettes from Kod Efisien Sdn Bhd in 2006, three years after Koh Efisien got the concession from Customs.