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Kejuruteraan Asastera resolves disputes over Kuching hotel, Thailand projects

02 Mar 2021 / 09:30 H.

PETALING JAYA: Electrical and mechanical engineering services provider Kejuruteraan Asastera Bhd (KAB) said it has resolved the disputes concerning the Pullman Hotel project in Kuching and the Robinson Rama 9 and Robinson Prachinburi projects in Thailand.

KAB together with KAB Technologies Sdn Bhd (KABT), KAB managing director Datuk Lai Keng Onn and Jonathan Wu Jo-Han, have entered into a global settlement agreement with ICEE parties, comprising of ICEE International Sdn Bhd, ICEE Energy Services Sdn Bhd and Prabodh Kumar Kantilal.

The settlement agreement indicates two agreed courses of action with regard to the claims by KAB’s wholly owned subsidiary KABT and Lai (main claims) and the counterclaims filed by the ICEE Parties, respectively.

For the main claims, both KAB parties and ICEE parties are to enter into a consent judgment on the same terms as set out in the statement of claim filed by KABT and Lai. As for the counterclaims, the ICEE parties are required to withdraw the claims with no liberty to file afresh and with no order as to costs. Likewise, the interlocutory applications filed by the KAB parties will also be discontinued without liberty to file afresh and with no order as to costs.

Under the breach of contract suit, one of the conditions in the settlement agreement stated that KABT is required to pay RM120,000, despite ICEE International’s claims totalling RM265,776.81. This will be the full and final settlement sum due to ICEE International, in relation to the Pullman Project, Kuching and two other projects in Thailand namely the Robinson Rama 9 Project and Robinson Prachinburi Project.

Upon payment of the settlement sum, neither party will have any further claims and will not initiate any new legal proceedings against each other arising from the projects.

“Now that all disputes have been resolved with a mutual understanding that works well for every party involved, we are grateful and relieved that this litigation proceedings have come to an end, as we believe that this settlement agreement is the right decision for the company.

“Through this settlement agreement, unnecessary costs and risks of further litigations have been avoided,” said Lai in a statement.

In June last year, KABT commenced a writ action against ICEE International and ICEE Energy Services. The claim against ICEE International and ICEE Energy Services is premised on a work order and agreement respectively whereby both are required by contract to ensure that KABT receives its guaranteed savings which corresponds with an amount of monetary return.

KABT alleged that ICEE Energy Services has breached the material terms of the work order, while ICEE International breached the material terms of the agreement, causing KABT to have suffered and continue to suffer loss and damage in the Kuching and Thailand projects.

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