Transport Minister Anthony Loke stressed private companies should not carry out enforcement activities as he justifies the cancellation of fines collected from the Automated Enforcement System (AES).
Loke called for a press conference this morning following criticism over the decision to halt the AES and cancel fines totalling RM435 million.
“There has been many comments following the cancellation of the AES fines. Some are happy, some are angry. Some asked if we are condoning people to speed while others say why are we doing away with the fines when the government has no money,” said Loke.
“The money collected (fines) will not go to the government’s coffers. The AES agreement is lopsided.”
“Also, enforcement has been privatised. That is the reason why we decided to halt the system.”
Loke said two tier payments were made to two concession companies – ATES Sdn Bhd and Beta Tegap Sdn Bhd.
He said the first tier included a RM16 fee for each AES summons issued, even if the fine is never paid. For every summons collected, the government paid 50 per cent to these companies, forming the second tier.
Loke added the then Barisan Nasional government had forked out RM129 million to ATES and Beta Tegap. During the press conference, he also revealed the individuals behind the companies.
Loke, had on Saturday, announced the cancellation of the AES but fell short from justifying the move in numbers, as he did this morning.
This is the video, as posted on his Facebook page, of the press conference this morning: