KUALA LUMPUR (April 8): After winning RM231.55 million in its lawsuit against the government over the termination of the RM3.5 billion National Immigration Control System (SKIN) project in March, AwanBiru Technology Bhd (Awantec) is now appealing the decision.

In a bourse filing on Monday, Awantec said its wholly owned unit Prestaring Skin Sdn Bhd (PSKIN) has filed an appeal against the High Court’s decision to award the company one-third of the RM733 million it had claimed.

PSKIN had in April 2019 claimed the RM733 million from the government for the termination of the SKIN project, which involved a 15-year contractual agreement.

Despite several rounds of negotiations, both parties failed to reach a consensus on the quantum to be paid by Putrajaya, leading to PSKIN seeking recourse via the legal system.

In March this year, the High Court ordered the government to pay a judgement sum of RM231.55 million, plus legal costs incurred by PSKIN during the litigation process.

PSKIN secured the SKIN project in August 2017 under the then prime minister Datuk Seri Najib Razak-led Barisan Nasional government to replace the Malaysian Immigration System (myIMMs).

In December 2018, the then Pakatan Harapan government helmed by Tun Dr Mahathir Mohamad decided to scrap the project in favour of a new system that would save government funds.

Awantec declines to comment on appeal move

The latest appeal move stands in contrast to Awantec’s response to the court win in March.

At the time, Awantec chief executive officer Azlan Zainal Abidin told The Edge that the decision brought a closure to the matter, allowing the company to continue focusing on its operations.

When contacted by The Edge on Monday, Awantec declined to comment saying the only information it can disclose is as per the announcement made.

According to a senior lawyer contacted, PSKIN’s counsels would have advised the company on the decision to undertake the appeal.

Philip Koh Tong Ngee of the firm Mah-Kamariyah & Philip Koh noted that the government can also file its own appeal if it wishes to challenge the quantum awarded to PSKIN by the High Court.

Further, Koh noted that following the Court of Appeal’s decision, the losing party — whether PSKIN or the government — may undertake a subsequent appeal at the Federal Court, should the apex court grant them leave.

"[But], only if they get leave and it’s not easy as the threshold tests are high," he added.

Shares in Awantec ended one sen or 2.67% lower at 36.5 sen, valuing the company at RM284.52 million.