Ng clarifies ministry's A&P contract

KUALA LUMPUR (March 15, 2011): Tourism Minister Datuk Seri Dr Ng Yen Yen has denied that an advertising and promotions (A&P) contract has been given to Impact Creations Sdn Bhd through her friend Juni Ewe, the managing director (MD) of Impact Challenger Sdn Bhd. “It was not true. Impact Creations and Impact Challenger are two different companies.“Impact Creations is a 100% bumiputra company owned by Hamidah Md Yussof and Siti Alwiyah Mohd Jally. The MD for Impact Creations is Siti Alwiyah, not Juni Ewe,” she said in the Dewan Rakyat today.

She was responding to several questions on the issue of the successful recipients of the 2011-2013 A&P contracts posed by Jeff Ooi (DAP-Jelutong), Loke Siew Fook (DAP-Rasah) and Wee Choo Keong (Ind-Wangsa Maju). Ooi asked about a newspaper report that the contract has been given to Impact Creations through Ewe and whether the contract given to Naga DDB Sdn Bhd was also through a political channel. He said the founder and executive chairman of Naga DDB is Datuk Vincent Lee Fook Long, who is also the executive deputy chairman of MCA-owned Star Publications (Malaysia) Bhd, the publisher of The Star newspaper.

Ng said all contracts have been awarded according to the government procurement procedure, under good governance and through a transparent and open process. “All five companies, including Impact Creations and Naga DDB have been carefully selected by the committees through open tender according to the procedures stated in the conditions of the tender documents. “Therefore, the issue of cronyism, political or non-political, does not arise,” she said.

The five successful recipients were Naga DDB for Asean market with a contract value of RM25 million a year, SMASCOM & Designs Sdn Bhd for East and North Asia (RM25 million), Sen Media Sdn Bhd for South Asia, West Asia and Africa (RM26 million), M&C Saatchi Sdn Bhd for Europe, America, Oceania (RM21 million) and Impact Creations for domestic and events (RM30 million). Ng said the limit on the contract value was given according to the respective market based on the trend, need and marketing plan which have been decided upon.

“However, companies will be paid according to the service agreed by Tourism Malaysia, not more than the set contract value,” she added. She also said it was not true that the advertising contract value for 2011-2013 was RM300 million yearly as claimed by certain parties, instead it was at RM127 million. The total value for the three years is RM381 million. She said four committees under Tourism Malaysia had conducted the tender process namely the Tender Opener Committee, Financial Evaluation Committee, Technical Evaluation Committee and the "A" Procurement Board.

To Ooi’s supplementary question, Ng said an MP should be able to differentiate between one who is being investigated and one who provides information to assist in investigations. He asked about a report quoting Ng saying there was no investigation by the Malaysian Anti-Corruption Commission (MACC) but its investigations director Datuk Mustafar Ali has said MACC has obtained documents and recorded statements from the ministry officers. He also wanted to know whether Ng would resign to protect the dignity of the ministry.

To this, she said she was the one who instructed the ministry's secretary-general on Feb 7 to ask the MACC to look into the matter to clear Tourism Malaysia’s image and dignity. “We cannot say that just because a company has failed to secure a tender, after gotten it for 12 years at a value of more than RM160 million, and now it has raised all kinds of things. “As a minister, it is my responsibility to ensure that the truth is told, not only the lies,” she added.

Later, Ng told reporters at the parliament lobby that she was referring to international advertising agency ISC (Integrated Strategic Communications) Group which on Jan 31 announced the withdrawal of its tender offer for the 2011-2013 contract. ISC was responsible for the “Malaysia, Truly Asia” campaign in the past 12 years. Ng said ISC pulled out 12 days before the tender results were announced and admitted knowledge about the five successful companies. “I was shocked, how can a company know before we announce?” she said, explaining among the reasons for calling in the MACC.
-theSun.