PDC Telco recovers RM1.82m debts


PDC Telecommunication Services Sdn Bhd today announced that a total of RM1.82 million out of the RM2.21 million structure rental revenue arrears had been collected so far.


The announcement was made following several questions that were raised pertaining to the issue and related details stated in the 2018 Auditor-General’s report (series 3).


A wholly-owned subsidiary company of Penang Development Corporation (PDC), PDC Telecommunication Services Sdn Bhd, which is better known as PDC Telco, is the prime mover for the telecommunications infrastructure and service provider in Penang and Malaysia.

Its chief executive officer P. Ayappan Pappu Pillay said a mechanism was introduced in 2018 to collect the rental arrears.


“With the new mechanism introduced, we’ve managed to recover RM1.82 million. The balance now stands at RM390,000,” he said during a press conference in Komtar today.


State Works, Utilities and Flood Mitigation Committee chairman Zairil Khir Johari said the company (PDC Telco) had already reduced rental arrears by 86 per cent.


“Some of the telecommunication companies had failed to pay their rentals regularly. That was the reason why PDC Telco implemented a mechanism, which proved to be a success as the results speak for themselves.


“I hope related telco companies will play their part and pay up their rentals to avoid unforeseen circumstances, such as getting their rental discontinued,” Zairil told a press conference.


According to the Auditor-General’s report, their daily operations were not in accordance with proper procedures.


Ayappan said a new standard operating procedure (SOP) was then introduced to address the weaknesses, which have now been rectified.


“Despite the hiccups, PDC Telco still recorded a healthy financial status. The company had paid out dividends totalling to RM4 million in 2018 and RM6 million in 2019 to its parent company, Penang Development Corporation (PDC),” he added.


He also said PDC Telco saw healthy profits gain for five consecutive years and pointed out the company’s stability would enable a smooth flow of planned activities in the future.


The company recorded a revenue of RM10.61 million in 2018 and RM12.66 million in 2019. As for 2020, the company has set its sight on reaching RM13 million.


Story by Kevin Vimal
Pix by Darwina Mohd Daud