Prasarana fails in RM30mil counterclaim against Penang Port
Prasarana Malaysia Bhd has failed in its RM30 million counterclaim against Penang Port Sdn Bhd (PPSB) over losses from its brief stint in running the Penang ferry service.
Judicial Commissioner Eddie Yeo ruled that the compensation was conditional on Prasarana’s long-term commitment to operate the ferry service as a public service obligation, The Edge reported.
However, Prasarana’s decision to return the business after less than three years meant it was no longer entitled to the payout.
“The compensation was expressly tied to (Prasarana’s) continued assumption of the loss-making ferry operations, and consequently (Prasarana’s) abandonment of the business extinguished with it the right to compensation,” Yeo was quoted as saying in his Aug 22 judgment, the grounds of which were released yesterday.
Prasarana’s subsidiary…
