Monday, June 08, 2009

UEM news - big news?

My good friend Dato' S has written an article today here about UEM.

He has also posted an Initiatory Pleadings of an impending suit filed by the Qatar Public Works Organization (Qatar PWO) against UEM Berhad (who is the main contractor) who is sued jointly with Parsons International Ltd (the first defendant who is the design consulting engineer) and Qatar Insurance Company (the third defendant).

The suit filed against UEM Bhd concerns the construction of the Qatar Highways - Salwa International Road - 1st Phase. It was alleged that part of the road had collapse due to rainfall and the plaintiff (Qatar PWO) attributed it to an error relating to the paving design and UEM was alleged to have made mistakes in the execution resulting in the road failures.

Qatar PWO is seeking QR878,318,972.06 (which is approx. RM850 million). The conversion rate is RM0.9676 = 1 Riyal.

(Picture taken from

That must be a very bad experience for UEM.

Sometime ago, UEM Builders Bhd paraded at their official website and proudly pronounced the success stories on this project.

"We are proud for being involved in the expansion and upgrading of the Salwa International Highway Phase 1 project which connects Doha to the South-Western town of Abu Samra on the Qatar-Saudi Arabian border.

"The 81km, dual four-lane highway with 10 major interchanges, 3 camel crossing underpasses and 22 Qatar Petroleum culverts was completed in December 2008.

“It is our singular hope that this success will open the door to many more opportunities, especially in the Middle-East, as we have proven our capability, credibility coupled with quality delivery,” Dato’ Ridza Abdoh, Managing Director of UEM Builders said.

It is interesting to note that on 18th August 2008 Bernama news reported that UEM World Bhd has received approval from its shareholders for its restructuring exercise, which would eventually see it being de-listed while its property unit UEM Land listed in mid-November.

UEM Land took over the listed status of UEM World on the Main Board of Bursa Malaysia Securities Bhd.

UEM Builders Bhd was also taken private together with OPUS Group, PHARMANIAGA and CEMENT INDUSTRIES OF MALAYSIA. (read the news of the MGO here)

I hope UEM have a way to solve this mega suit.

Hopefully, the Qatar government is gracious enough to extend some kind of goodwill to our Malaysian government and forego this suit.

Maybe Najib can help persuade the Qatar govt to drop this case and settle it amicably.



Anonymous said...

screwing the m'sians no problem...

ar*shole think every muslim are bros & can take them for a ride...

by all mean, Qatar PWO should sue & take back every single ringgit or sen from any con man !

PemudaBerderai said...

to anon 1:16,

wooowwww... hey relaks ok... I am working for this project... get the real story and dun jump into conclusions...

wut i can say is uem is the victim... ok...cau...

Anonymous said...

And we'll keep on fighting - till the end.., for UEM, for Malaysia… Study the truth, don’t simply jump into conclusion. Read this…

Flaws in Salwa road pavement construction

Source; The Peninsula

Doha • The Qatar General OrganiSation for Standards and Metrology (QGOSM) has said that there was clear evidence of a structural failure in the construction of the pavements of Salwa International Highway.

Attending a joint meeting of concerned officials, convened by the Public Works Authority (Ashghal) to look into the massive cracks developed on Salwa International High way, the QGOSM nominees said that there was very clear evidence of extensive fatigue cracking. At the meeting they expressed their serious concern about the use of the Type 5 pavements utilising a specific crack-arrest- layer (GSB).

Top Ashghal officials, who attended the meeting, wanted the Parson International Ltd (PIL), the company responsible for the design work for phase 1 of Salwa International Highway, to clarify the details of the joint interface between Type 5 pavement and the full depth construction type 1 pavement. They also asked the company why a full-depth construction had not been adopted in accordance with Qatar Highway Design Manual (QHDM).

The PIL clarified that the pavement design was done according to the findings of a report prepared on behalf of Roads Department of Government of Qatar.

Henry Saville, currently Parsons Sector manager for Roads and Highways in Europe, said that though the PIL did not agree with the contents of the report, they had been required to base their design on the contents of the ERI report which stated that the structure of the existing road pavement was adequate for the traffic loading foreseen.

Saville, who said that he was responsible for the design works of the highway, added that the design thickness of the required granular sub base layer was increased by 20 per cent in order to accommodate any increase in traffic as well as to allow for then likelihood of overloaded trucks and tyre pressures in excess as anticipated by ERI report.

Responding to a query from Ashghal authorities, the PIL confirmed that a `crack arresting layer' was not included in the pavement type in the Qatar Highway Design Manual (QHDM). It said that a granular subbase crack arresting layer, which was used in Salwa Road project, had been used in road pavement rehabilitation in at least three other nations including Vietnam, Greece and Romania and it was performing satisfactorily in these countries.

The PIL pointed out that sections of the new road, where the Type 5 pavement had been constructed on Salwa Road, had been under traffic pressure for many months. But no pavement distress was recorded. The pavement developed cracks only after the heavy and incessant rains in the beginning of December 2006. “A series of tests had been carried out on materials taken from the failed areas, as well as on samples taken from other areas of type 5 pavements. The test results indicated that the materials used had fully complied with the specific standards", the PIL said.

The volume of traffic had increased over twenty per cent allowed for in the original design. It also suggested Ashghal to carry out a Benkelman Beam test (BBT)...


Anonymous said...

UEM's contractual obligation is to construct.., and is not responsible whatsoever with the design of the highway.

Anonymous said...

Qatar PWO is seeking QR878,318,972.06 (which is approx. RM850 million). Hey, how about 30% discount according to the NEP?

Anonymous said...

typical gomen go-live-cheating (glc) company. lazy to work but want lots of salaries and perks, and they failed to meet their promisses, the start asking tax-payers to cover their shit. should have gotten rid of the management team and replace with the Satyam India fellas.

PemudaBerderai said...

Here we goes... the racist bigot is here i guest...!!!

I mean to Anon 5:54...

Common, what NEP got to do with this...??? u better check on UEM management line up...!!! also the key personnel during the first phase of the project...

maybe u should talk about competencies, not NEP stupid..!!!

To anon 11:00,

have you read the article by prince_erie...??? ehm, i guest u dun understand it... hahahaha... poor u...

"lazy to work but want lots of salaries and perks"... sorry to say, but i am not one of them!!! LOL

moo_t said...

Will keep my finger crossed.
Prepare for unseen things to surface.
Anonymous "prince_erie" just show tip of the iceberg. In construction, it is common practice to make a square become octagon, when cost become concern.
And the hell broke loose when mother nature start acting.

Imagine this
"Why build a drain in middle of desert." :p

Anonymous said...

cakap pandai..pergi lah buat sendiri..

PemudaBerderai said...

To moo_t,

"In construction, it is common practice to make a square become octagon, when cost become concern"

but its not in Qatar... the consultant there is very strict... they are by books...

Anyway, they did construct drainage system on the highway there... n i also wondering y... hahaha.. but i guest its built to drain the dirt and sand... hahaha

Anonymous said...

They are not really 'by books'.., they are actually 'by all means that benefited themselves'...


Anonymous said...

Should have gotten rid of the management team? Thot dey mostly did but cleaning up shit takes time and effort.

Anonymous said...

Dear All,

I hope UEM fill fight till the end, cause its clearly not their fault. Teach the CAMELS and enlighten them who they really are...Just CAMELS !!!

Kenny Ng said...

Well, can I say Malaysian companies are too kind to get 'bully' by 'Camel' countries? This is not the 1st case, I've been through even more unlawful treatment by them.

Gukita said...

Mave, check-out this site;

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