PAC urges diplomatic push after Norway revokes LCS missile licence despite 95pc payment by Malaysia

KUALA LUMPUR, June 24 — The Public Accounts Committee (PAC) has raised serious concerns over Malaysia’s Littoral Combat Ship (LCS) project after Norway revoked an export licence for missiles intended for the vessels, despite the government having already paid a vast amount of the contract value.

PAC chair Datuk Wira Mas Ermieyati Samsudin said the committee is urging the government to intensify diplomatic engagement with Norway and explore all available legal avenues to protect national interests.

“The committee expressed serious concern given that the government has confirmed payments amounting to 95 per cent of the total contract value.

“The PAC emphasises the need for the government to strengthen all mitigation and diplomatic measures to secure a fair resolution and safeguard the country’s fiscal sovereignty,” she said in a statement today.

Mas Ermieyati then said the committee also urged the government to pursue negotiations or legal action, where necessary, to obtain appropriate compensation in accordance with the terms of the contract.

She added that the PAC wants the government to closely monitor the LCS delivery schedule to ensure the vessels are completed with fully integrated combat capabilities.

She then said the government should also make full use of available negotiation channels or legal proceedings to seek appropriate compensation in accordance with the agreed contractual terms.