SAMM Claims Reason Bumiputera Companies Die Is Due To Minister’s Companies Monopolising Petronas Contracts


SHAH ALAM, 29 JAN: A Petronas Dagang Berhad (PDB) transportation contractor told Youth Solidarity Malaysia (SAMM) that their business was badly affected due to the company’s transportation contract being monopolised by Shaziman Transport Sdn Bhd.

Shaziman Transport Sdn Bhd (STSB) which allegedly belongs to a Cabinet Minister has been said to monopolise more than 90 percent of transportation contracts in some places which has caused several bumiputera companies to go out of business and suffer losses.

According to the trucking operator met by SAMM Coordinator, Chegu Bard (real name Badrul Hisham Shaharin), all other lorry contractors did not receive travel ‘trips’ without prior notice with the pretext that they want to test the ability of STSB.

Chegu Bard in a letter sent to PDB, dated 26 January 2013, demanded for clarification on the issue from PDB.

“A company in Malacca which was dealing with PDB before this owned 12 lorries, now they own 3 lorries because some of their lorries have been sold and some were repossessed by banks because of financial problems due to the sudden decline in ‘trips’ by PDB when they gave way to STSB.

“This resulted in many bumiputera companies in Malacca losing their income and also having to bear losses of RM50,000 to RM60,000 last month, after paying off salaries to lorry drivers and other related costs.

“In Johor, it was reported that the monopoly of STSB granted by PDB was nearly 90 percent, causing many other bumiputera companies to go out of business,” according to the contents of the letter.

According to Chegu Bard, an original copy of the letter, which was sent through fax and e-mail, will be sent to the PDB office at Kuala Lumpur City Centre (KLCC) this week.

When commenting of the issue, Chegu Bard said that the contractor involved, who is also operating in Malacca. told him that the PDB contract monopoly also happened because they were probably required to take a PDB transportation sub-contract through STSB.

“STSB has progressed very quickly, from only a a few lorries to having said to own 80 lorries resulting in STSB being listed as among the leaders of transportation companies in the nation,” he told TV Selangor.

According to him, the monopolistic policies which are being practised is able to invite the risk of harm to the country’s economy in the event of anything unwanted happening to the company which is dominating the market.

“This monopolistic policy also has security risks, imagine if this continues in a year or two, all other companies will definitely die off and PDB will be 100 percent dependent on only one company.

“Imagine if something happens, for an example a company strike, this will cause many petrol stations to face oil supply disruptions and some sectors in the country will certainly be paralysed,” he added.

STSB which is associated with a Cabinet Minister can not only secure contracts from PDB but also from Proton, Perodua and many other government stakeholder companies.

Chegu Bard, who declined to name the minister in question, did not however rule out the possibility of Works Minister, Datuk Shaziman Abu Mansor, being involved in this issue.

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