Reference is made to the Company’s announcement on 18 June 2019 on the Notice of Adjudication under Section 8 of the Construction Industry Payment Adjudication Act 2012 (CIPAA) with the Asian International Arbitration Centre ("AIAC") Kuala Lumpur filed by HCM Engineering Sdn Bhd (“HCM”), a wholly owned subsidiary of the Company with AIAC to commence adjudication proceedings against Southkey City Sdn Bhd ("SCSB"), the developer of a property development project known as Southkey City, situated at Johor Bahru, Johor Darul Takzim.
The Company wishes to announce that, HCM has filed notice to the Director of AIAC to commence the adjudication proceedings to claim the remainder sum of RM6,579,217 from SCSB for construction works done and due to non-payment by SCSB. HCM is also claiming for late payment interest and cost, the amount of which will be determined at a later stage.