Malaysia pays $167m to foreign contractors after delays to troubled dam
KUALA LUMPUR (AFP) - Malaysia's government agreed to pay US$133 million (S$167 million) in compensation to two foreign contractors for losses incurred in the problem-plagued Bakun Dam, an audit has revealed.
The compensation, revealed in the Auditor-General's annual report, is a rare official acknowledgement of problems in a highly controversial project that Transparency International once labelled a "Monument to Corruption".
The report submitted to parliament on Tuesday said two contractors suffered delays of up to four years in civil engineering works, causing their costs to spike.
The contractors were French-based Alstom and Impsa-Malaysia, which is largely controlled by Argentina's Impsa group.