Appointing a new contractor for the abandoned RM103.57 million Johor police headquarters project does not mean Home Minister Ahmad Zahid Hamidi can close the case on the contractor who skipped, DAP’s Kulai MP Teo Nie Ching said.

This especially since taxpayers are footing an extra RM17.6 million to revive the project, she said, citing a written reply in Parliament from the minister.

The government had paid original contractor Global Globe Sdn. Bhd RM48.3 million while the remainder RM55.23 was still owing, pending the completion of the project, the reply said.

However, Global Globe was sacked after it abandoned the project and QSE Construction Sdn Bhd was appointed on Feb 5 at a cost of RM72.8 million, bumping up total cost.

"Zahid has yet to explain if the contract was awarded through open tender. There is also no explanation on claims that an Umno leaders is executive director (sic) of Global Globe.

"The rakyat deserves to know if the government had awarded the project to an incompetent crony," she said in a statement.

She would not budge despite Zahid (right) earlier saying that the contract was awarded before he was appointed home minister.

Teo added the fines charged on Global Globe does not cover the extra cost of the project which should have been completed on Feb 9, 2014.

Global Globe is fined RM17, 190.41 day for each day of delay, amounting to RM3.54 million. This is about a fifth of the additional cost borne by taxpayers.

Global Globe has also not yet paid the fine for the project which Teo said is especially important because it involves "national security".

Gov't supplier

PKR Youth leader Akmal Nasir (below) earlier reportedly said Global Globe’s executive chairperson Zamri Rahmat is a Selangor Umno grassroots leader.

The New Straits Times in 2013 named Zamri as Kampung Tasik Tambahan Umno branch committee member.

He was then also leading the "Ampang Bersatu" (Ampang United) movement of local NGOs to assist BN in the general election, the New Straits Times reported.

According to Global Globe's website, the firm was established in 2001 and traded in fertilizers and supply of "small essentials" for the government and private companies.

It has since diversified into construction, power and marine and shipping, and has offices in the United States, Italy and Saudi Arabia.

The project was first highlighted in the Auditor-General’s Report.

The Public Accounts Committee last February said the issue is now resolved following the appointment of a white knight contractor.

Zahid was appointed Home Minister in 2013. He succeeded now Defence Minister Hishammuddin Hussein was home minister from 2009 to 2013.