PETALING JAYA: Icon Offshore Bhd’s wholly owned subsidiary Icon Ship Management Sdn Bhd (ISM) has been served with a writ of summons with the statement of claim filed by Labuan Shipyard & Engineering Sdn Bhd (LSE) over disputes in a contract.
The agreement dated September 30, 2011 was entered between ISM and LSE in relation to the engineering, construction, testing and delivery of a 77 meters DP2 diesel electric propulsion platform supply vessel.
LSE is claiming general damages and alleged outstanding sum of RM13.94 million from ISM comprising cost allegedly incurred between October 1, 2014 and March 9, 2015 for various services for the maintenance of the vessel.
LSE also alleged that ISM had not made prompt and punctual payment of all milestone payments resulting in LSE incurring finance charges and interest charges; and there was an alleged shortfall in payment of Milestone No. 11 by ISM.
A case management date for the suit has been fixed on July 5 in the High Court of Malaya in Kuala Lumpur.
Having received legal advice, ISM believes that there are good grounds to resist various claims made in the suit and will defend the suit.
“Messrs Skrine, advocates & solicitors, have been appointed to represent ISM in the suit and to take all necessary steps on behalf of ISM to defend the suit.”
Icon does not expect the suit to have any significant financial and operational impact to ISM and the group.
“The company will make further announcements on material developments in the suit as and when necessary from time to time.”
At the noon break, Icon’s share price was unchanged at 8.5 sen on 91,000 shares done.
Source: The Sun Daily