Citaglobal claims alleged outstanding payment from IJM Corp for expressway project work

• IJM Construction has allegedly refused, failed and/or neglected to pay the outstanding sum despite Citaglobal Land completing its contractual obligations, said Citaglobal.

KUALA LUMPUR (June 6): Citaglobal Bhd’s wholly-owned unit has served a notice of adjudication against IJM Construction Sdn Bhd, claiming RM20.82 million allegedly owed for work done in constructing part of the West Coast Expressway.

Citaglobal said Citaglobal Land Sdn Bhd (formerly known as WZS KenKeong Sdn Bhd) had performed the work under a subcontract awarded in October 2015 to build part of WCE’s Section Nine mainline works from Kampung Lekir Interchange to Changkat Cermin Interchange.

IJM Construction, wholly-owned by IJM Corp Bhd, has allegedly refused, failed and/or neglected to pay the outstanding sum despite Citaglobal Land completing its contractual obligations, said Citaglobal in a stock exchange filing on Friday (June 2).

Citaglobal Land has therefore served the notice of adjudication on IJM Construction to demand payment of the outstanding sum, adjudication costs, interest that the adjudicator deems fit and any other remedies deemed fit by the adjudicator.

Citaglobal, which is 39%-owned by its executive chairman and president Tan Sri Mohamad Norza Zakaria, said the adjudication proceedings are not expected to affect its operations as the works under the contract are substantially completed.