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Advancecon wins RM7mil payment award in ECRL adjudication decision

The Star·10/07/2025 11:32:00
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KUALA LUMPUR: Advancecon Holdings Bhd’s wholly owned unit, Advancecon Infra Sdn Bhd (AISB), has won an adjudication ruling against China Communications Construction (ECRL) Sdn Bhd (CCC) over a payment dispute under the Construction Industry Payment and Adjudication Act 2012 (CIPAA 2012).

In a statement, the earthworks and civil engineering services provider said that following adjudication proceedings administered by the Asian International Arbitration Centre (AIAC), the adjudicator, in a decision dated Oct 6, 2025, ruled in favour of AISB and ordered CCC to pay approximately RM7mil within 28 days from the date of the decision.

In addition to the adjudicated sum, CCC was directed to bear all adjudication-related and legal costs, including administrative fees, registration charges, and other procedural expenses, together with interest until full and final settlement.

The adjudication decision is binding unless and until it is set aside by the High Court under the provisions of CIPAA 2012.

Advancecon views the outcome as a strong affirmation of its contractual rights and a testament to its commitment to ensuring that all completed works under major infrastructure projects are duly recognised and fairly compensated.

“While the payment recovery represents a meaningful outcome in the Group’s favour, Advancecon noted that the adjudication decision is not expected to have a material impact on its earnings for the financial year ending Dec 31, 2025.