By Friends of Zainal Adnan Khairudin in UAE (who’s who in PECD Board here)
This is with reference to a recent Bernama report published in certain media on detention of a Malaysia citizen who was also an employee of PECD in Dubai for allegedly signing two company cheques which were subsequently dishonoured.
The Bernama report can be read here and here, (the latter is part of an effort to let the world know about the ongoing battle for his freedom and release from Muraqabat cell).
In brief, our friend Zainal Adnan Khairudin is being detained by Dubai Police as under the local laws it is a criminal offence to sign cheques “without any funds” (as in this particular circumstance the cheques are used as security cheques in place of pending letter of credit to be released by the issuing bank) even though the signatory merely follows the instructions as an employee.
Twenty four days have already passed and together with certain good government officials, we have been trying within our limitations to assist him and his family as well as coordinating our efforts to release him before being charged in court.
After some hesitancy and delays from PECD to hire a lawyer for his defence, we subsequently hired a personal lawyer as an urgent measure to ensure he has the right legal means to put forward his case and at the same time to advise us on the best available approaches and resources to get him released on bail, pending his case to be heard in Dubai courts.
One of the conditions to release this innocent man from current detention is for PECD to settle immediately the amount owed as per claimed by the supplier which the latter will drop the case. Another condition is for PECD to deposit AED2 millions in court as a bail while settling the dispute under the civil case.
Last twenty four days and counting, we have been hearing some good entertaining stories about PECD’s supposedly actions and ongoing negotiations to settle the dispute with the supplier, but it seems to us there is no end of this waiting game. We understand that PECD’s employees here in Dubai have limited jurisdictions and any forthcoming decisions on this unfortunate event are directly from the board of directors’ (BOD) cushy room.
We may be wrong in guessing that there could be no urgency for the PECD’s BOD to resolve Zainal’s predicaments. However, there is no secret that PECD is facing other pressing problems such as non-salary payments for Dubai employees since August, months of outstanding leasing contracts for staff accommodations, as well as series of pending court cases against PECD from suppliers, subcontractors, creditors and even former employees.
Not to mention few months ago, PECD under the disguise of ‘a Malaysian construction company’ (news attached below) had made into local media headlines for failure to pay its labourers for three consecutive months. The labourers took their angers to the streets of Dubai which at the same time damaged Malaysia’s glorious ‘Truly Asia’ images in the eyes of Dubai cosmopolitan residents. The same report mentioned that this ‘Malaysian construction company’ was reprimanded with severe warnings by UAE authorities.
We also read about PECD’s woes with series of terminations of some existing projects by client due to inability to execute and perform according to the contracts.
On top of this mountain of mess and crises, we knew even though it had not been publicly announced that a Dubai-based investment company had withdrawn its plan for taking some stakes after completing brief due diligence, which speaks volume of PECD’s current standing. Ironically, the earlier announcement of the possible interest by this company during EGM was something to be cherished and applauded by speculators and pundits at KLSE.
Therefore, we honestly have nothing much to expect from PECD with the current dire straits especially when most of top management in Kuala Lumpur will be avoiding Dubai as next travel destination either for business or pleasure in fear of being detained at the airport (since so many cheques are already or going to be dishonoured), nevertheless, as friends of an innocent man who had been serving PECD with sincere commitment for the last ten years before his departure, we would like PECD board members to look themselves into the mirrors and see human sides of themselves during these holy months of Ramadan and Syawal.
Unrealistically though, we would dream to see any member of the PECD board members or top management to be in Zainal’s shoes by replacing him in the detention during Aidilfitri.
Then again, we still have a high hope and regard for all of you as men of honour, integrity and dignity to honour your words by urgently putting your house in order to save Zainal from possible up to three year incarceration as well as to save Malaysia’s image as an Islam Hadhari promoter to the world!
Thank you.
Dubai panel helps 1,500 workers get wages By Mary Nammour 18 July 2007
DUBAI — The Permanent Labour Affairs Committee in Dubai has settled a dispute over unpaid wages of around 1,500 workers who had stopped working last week because their employer, a Malaysian construction company, had not paid them for the third consecutive month.
The workers finally collected their wages on Friday, said Brigadier Mohammed Ahmed Al Marri, Head of the Permanent Labour Affairs Committee and Director of the Dubai Naturalisation and Residency Department (DNRD).
“The angry labourers had early last week staged a demonstration on Emirates Road near Al Ghusais, demanding payment of wages and arrears.
Inspectors of the said committee responded to the situation and the field teams’ negotiations with the company’s officials resulted in a written pledge from the company to pay the delayed salaries within a maximum of 96 hours.”
“As a result, the company settled the dues on Friday,” Brig Al Marri pointed out, adding, “we gave the company the final notice and urged them to pay the labourers’ wages on time or the matter would be reported to the authorities concerned for legal action.”
The committee chief further said, “Having due wages paid on time is a top priority for the committee. Delaying payment of salaries to workers by any company is a violation of the laws and regulations governing the relation between workers and employers.” He pointed out that such practices affect the social values and the nation’s economy.
PECD, 25% owned by UMNO!! This is what happens when politics and business get mixed up. I believe PECD or Peremba itself should not be involved in overseas venture anymore since they are ruining the reputation built by other Malaysian company.
[...] revelation by the source confirmed the contents of an email sent by a group calling itself “Friends of Zainal Adnan Khairudin in UAE” that PECD staff in Dubai have not been paid their salaries since [...]
KUALA LUMPUR: Dubai Investment Group’s (DIG) withdrawal from a RM184.94 million tripartite joint venture involving financially- troubled PECD Bhd is merely the tip of the iceberg of the myriad of problems PECD now faces, sources said.
Sources familiar with its operations in the Middle East said its wholly owned subsidiary PECD LLC had not paid its staff in Dubai salaries since last August.
On June 21, PECD signed a Heads of Agreement with DIG and Dubai Properties to formalise their intention to enter into the tripartite 200-million dirham (RM184.94 million) JV that would have seen the two Dubai companies holding a 70% stake in PECD LLC.
PECD is currently holding 49% stake in PECD LLC with the remaining 51% held by a local partner. DIG, currently a substantial shareholder of PECD, is the global financial investor of Dubai Holding, which is headquartered in the emirate of Dubai with local office network worldwide from New York to London and Kuala Lumpur.
PECD on Monday said that it had received a letter from DIG notifying of its intention not to proceed with the proposed joint venture.
It said the company had written to seek clarification on the termination, as there were no reasons provided for the change in position and was awaiting the reply from DIG on its final decision.
A source said PECD LLC had been facing cash flow difficulties since another contract in the Oceana project in Dubai was terminated by the developer.
“Hari Raya looks bleak for the staff there but PECD is trying to resolve matters at the group level to ensure the salary issues are settled as soon as possible,” said the source.
This piece of news possibly signals the shambles in which PECD’s Arabian dreams are left in after a few years of being caught in a mirage of contracts the company had boasted two years ago.
The revelation by the source confirmed the contents of an email sent by a group calling itself “Friends of Zainal Adnan Khairudin in UAE” that PECD staff in Dubai have not been paid their salaries since August.
Zainal Adnan is the PECD employee currently detained by the Dubai police in connection with signing the company’s dishonoured cheque. The group also claimed that Zainal Adnan had been in detention for over 24 days.
It said the conditions for release were for PECD to settle the amount claimed by the supplier to get the case dropped, and for the company to post RM1.85 million bail while settling the dispute under the civil case.
Last month when the arrest of the officer surfaced, PECD in a statement said it was negotiating towards an amicable solution with the supplier, Kele Contracting.
“However, the group is also investigating the circumstances surrounding the appointment of Kele by PECD LLC and the terms thereof that have eventually led to the incident. These involve issues related to the non-compliance to the group’s internal policies and financial limits of authority,” it said.
PECD already has various outstanding claims against its clients totalling RM1.3 billion, which involve the Sudan Marine Terminal Facilities, Dubai International Financial Centre, Prince Court Medical Hospital and Putrajaya Precinct 11 projects.
In March this year, Datuk Seri Dr Awab Sheikh Abod and Shakir Jamil Fisal emerged as new directors and substantial shareholders, fuelling market talk that they were spearheading the turnaround initiatives to stabilise the company’s operational and financial capability.
Its chief executive officer Rosman Abdullah had said the company would aggressively pursue its claims, while at the same time focusing on stabilising its financial position by means of stricter cost control and disposal of several non-core assets.
Last July, Malaysian Rating Corp Bhd (MARC) downgraded its rating on PECD’s RM200 million serial fixed-rate bonds to BBB- from BBB with a developing outlook, reflecting its weakened financial profile, rising overall business risk and the uncertainty in the timing of any recovery in credit protection measures.
MARC viewed with concern the recurring incidences of contract termination, project delays and cost overruns to the extent that PECD’s capacity to close new contracts may be impaired. For the second quarter ended June 30, 2007, it posted a net loss of RM2.57 million on revenue of RM107.5 million.
PECD’s share price has also been hovering in the mid- 50 sen range over the past one month, with not much positive news flow on the company. The stock rose 0.5 sen to 53.5 sen yesterday, with a total of 4.94 million shares done.
this is what we call blind loyalty….think is about high time to call in BPR to check all the accounts from the previous ceo to the current one and not forgetting the chairman of the company…we know that PECD is affliated with UMNO but pls be transparent and make public known whois the biggest culprit!