Berjaya Group founder Tan Sri Vincent Tan has signaled legal action against the government by filing a lawsuit against the government over the contract for government vehicles.

The Government re-tendered the Government Vehicle Maintenance and Management Concession Contract in 2019. The Government awarded a joint venture between Berjaya Group and Naza Group a Letter of Intent. Berjaya Group has a 49% shareholding in the consortium.

Berjaya Group Filed The Suitcase Around May

Berjaya Group
Image Credit: Berjaya Group

The contract was canceled three months after the associates were granted a letter of intent for the project and awarded to Spanco Sdn Bhd, which had bid RM700 million higher. Berjaya Group founder Vincent Tan was dismayed by the government’s move and took action to defend the interests of the consortium.

Spanco was previously the provider of maintenance and management of government official vehicles, and the government decided to re-tender the contract after Spanco’s 25-year-long franchise ended at the end of 2018. At that time, it had attracted seven companies to bid for the 15-year government vehicle maintenance and management franchise, which included an associate of Naza Group and Berjaya Group.

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