Court finds former GM Phang liable for PKFZ construction losses

Justin Ong

The Port Klang Free Zone (PKFZ) logo is seen at its headquarters in Pulau Indah July 11, 2018. — Picture by Yusof Mat Isa

KUALA LUMPUR, Sept 24 — The High Court found OC Phang culpable for financial losses incurred by the Port Klang Authority as a result of building the Port Klang Free Zone (PKFZ).

Justice M. Gunalan handed down his decision at the High Court in Shah Alam today.

Lawyers acting for the PKA said the judge noted Phang’s failure to call any witnesses to support her claim she had acted on orders, with transport ministers at material the time notably absent.

They said the court also concluded that Phang owed a duty of care to PKA that was not absolved by way of her claim that she had acted on unilateral orders from the then ministers of finance and transport.

Gunalan ordered for damages to be determined by a senior assistant registrar. He also instructed Phang to pay for court costs to be assessed later.

PKA sued Phang, formerly its general manager, for breach of trust and duty over the PKFZ project.

Lawyers Khoo Guan Huat, Lim Chee Wee, Nimalan Devaraja and Annjili Gunendran represented the PKA while Matthew Thomas Philip appeared for Phang.

The RM12 billion scandal had been among the country’s largest but has since been eclipsed by 1MDB.

Despite the magnitude of the losses, no person remains criminally convicted over the scandal, making it one without culprits.

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