PETALING JAYA: China Communications Construction Company (CCC) has denied involvement in a corruption conspiracy involving 1Malaysia Development Berhad (1MDB).
According to The Australian, CCCC said it did not inflate a railway contract with 1MDB to cover debts incurred by the sovereign wealth fund.
The CCCC told The Australian in an article published on Monday that it had “no knowledge” of the claims in those (Sarawak Report) articles.
“We will continue to follow those false accusations made by certain media and will take necessary steps to defend our lawful rights,” the article quoted CCC as saying.
CCCC is the new owner of Australian engineering group John Holland, which it bought for $853m in April last year, even though the World Bank has banned CCCC from work on its projects until 2017 due to “fraudulent practices”.
On Wednesday, Works Minister Datuk Seri Fadillah Yusof has dismissed Sarawak Report’s claim that the cost of the East Coast Rail Link (ECRL) project would be inflated to “bail out” debts incurred by 1MDB.
Sarawak Report claimed that the ECRL project would receive a 100% hike from RM30bil to RM60bil in a secret deal between the Finance Ministry and a chinese state company called China Communications Construction Company (CCCC).
The whistleblower’s post on July 26 showed documents purportedly supporting the claims.
The inflated price was to allegedly settle debts raked in by 1MDB and Low Taek Jho, better known as Jho Low.
The ECRL, a 620km project under the 11th Malaysian, would link Kuala Lumpur with Pahang, Terengganu and Kelantan.-thestar