1. INTRODUCTION

Lebtech Construction Sdn. Bhd. (wholly owned by Lebtech Berhad) (“Company”) wishes to announce that the Company had on 29th November 2019 and 17th December 2019 was served with Notice of Adjudication pursuant to section 7 and 8 of Construction Industry Payment and Adjudication Act 2012, for appointment of adjudicator issued by Legend Plan Sdn Bhd(Co No 297445-A) (‘Legend Plan’) via its solicitors Messrs Belden with Legend Plan for a total claim of RM1,572,616.35 plus GST and interest against the Company (“CIPAA Payment Claim”).

           2. BACKGROUND INFORMATION

On 1st April 2015, vide Letter of Award, the Company appointed Legend Plan as the Contractor for proper completion of supply materials, labour, tools equipment, machineries and workmanship for the execution of road works for ‘Pindaan Pelan Jalan dan Peparitan bagi Cadangan Pembangunan Perumahan dan Perniagaan di atas PT. 445, Seksyen 13, Shah Alam, Selangor Darul Ehsan’ (the ‘Work’)

Legend Plan alleged that the Company had issued an undervalued draft interim Payment Certificate No. 09 Final dated 10.4.2017 (‘Draft Payment Certificate No. 9’) for the sum of RM 1,030,705.42. The Company had allegedly certified the total value of work done in the sum of RM 2,327,523.88. Legend Plan only received payment of RM 1,785,612.95. Thus, there was an alleged outstanding of RM 541,910.93 together with GST.

The Company is resisting the claim and has appointed solicitors.

Further announcement will be made in respect of any material development thereof.

This announcement is dated 13th January 2020.