Cash-strapped PNCC told to pay Malaysian firm seeking compensation since 1994

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Business,Economy &Amp,Governance

The Philippine National Construction Corporation, which has been in the red for decades, is ordered to pay its former Malaysian business partner over a failed infrastructure venture

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PNCC is likely to pay up much more, possibly reaching over a billion, as COA stipulated that it should also pay interest of 12% per year from April 1994 to June 2013, and 6% annual interest from July 2013 until it is fully paid. The Pahang government and Asiavest entered into a compromise agreement, with the latter paying up some 3.9 Malaysian ringgit.

Despite this, PNCC still did not pay up, forcing Asiavest to file a petition before COA to compel the company to settle its obligations.

 

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