The Cahya Mata and Sarawak Energy (sesco) legal claims suit has expanded into both parties issuing claims on each other, this is in relation to the dispute between the group’s subsidiary company, Cahya Mata Phosphates Industries Sdn Bhd [formerly known as Malaysian Phosphate Additives (Sarawak) Sdn Bhd] and Syarikat SESCO Berhad on power supply disconnection.
For some context, there is currently an ongoing arbitration between a subsidiary company of Cahya Mata, Cahya Mata Phosphates Industries Sdn Bhd and SESCO regarding the Power Purchase Agreement dated 15 January 2019 between wherein Phosphates is claiming against SESCO RM 1,207,326,936.00 for losses suffered as a result of the discontinuation of electricity supply by SESCO
However Sesco has instead responded with a notice counterclaiming RM 342.2 million which is for the supposedly unpaid power bill and other incidentals.
Cahya says the legal proceedings will not have any impact on its financials.
