Monday, October 02, 2006

Pay as Contracted

Prime Minister Datuk Seri Abdullah Ahmad Badawi wants Ministries, departments and agencies to make payment for services and goods provided to them without delay.

The Prime Minister has also ordered the Economic Planning Unit (EPU) and the Implementation and Co-ordination Unit (ICU) to issue reminders to the ministries and departments to make the payment as soon as possible.

“I want payments for goods and services provided to the Government be paid expeditiously. Do not wait any longer.

"If the goods had already been supplied and services has been provided to us, then there is no reason to delay payment.

“A contract is a form of promise and if the other party has carried out their part of the deal, then we should carry out ours, which is to pay them for their services,” he told staff of the Prime Minister’s Department at its monthly gathering here on Monday.

The Prime Minister said in Islam, it was important that responsibility be carried out and promises be kept, adding that fulfilling one’s part of the contract was viewed seriously by the religion.

He said delay in payments would not benefit the Government which did not want unpaid bills to pile up, making payment a problem.

“If we do not pay, a lot of people will suffer.

"Workers will not get paid, banks will not be paid for the loans issued and suppliers could not supply construction materials because of they get paid late.

“This will cause anger and dissatisfaction against the Government.

"Therefore, I want to remind ministries, department and agencies to expedite payments and I want the central agencies to remind them on this,” he said.

Cakap boleh serupa bikin kah?

The government is reported to have owed the contractors some RM20 billion. Do they have the monies available? In Kedah, it was reported that all the districts were affected by shortage of welfare funds. The poor and destitute have not been paid their allowances in the past four months, Kedah Social Welfare Department director Hadisah Hamid said. She said the department's shortage of funds also affected those in all districts of the state. She added that the shortage was caused by Federal funds meant for them being used to help flood victims.

Hasidah's deputy Mohamed Hazam Ismail said that the department had not disbursed money to several aid recipients for the past three months as it had ran out of funds since May. Hadisah said the department had used RM1.04mil of its federal aid meant for 7,495 poor recipients in the state to provide for other aid recipients.

Contractors, ask for your payments!!!


Kenny Ng said...

Nah! No money how to make the payment? We already pending millions of ringgit to pay off all the contractors. I heard this statement till I numb already. Why they always 'pusing' the topic only and never really do it?

Maverick SM said...

Kenny, you should know the answer better as you are involved in the project payment.

mmudahlupa said...

Easy said than done.Progress payments are the lifeline of a building contractor’s business. i suggest AAb should sell his kidneys to settle the payments.

What A Lulu said...

"The Prime Minister said in Islam, it was important that responsibility be carried out and promises be kept, adding that fulfilling one’s part of the contract was viewed seriously by the religion"

then why is it that we cancel so many projects?
cos they were no good?
does not benifit the country?
not neccesary?
then why were they signed in the 1st place????

mmudahlupa said...

what a lulu, they signed the contract first so as to get advance payment or claim loss & expense later which is more than the actual profits if they were to complete the projects. see.unfortunately, this is not in Islam!