In March 1994, it was reported that Biwater was one of the five firms who most benefited from the scheme of aid financing, which was at the centre of the Pergau dam affair, which led to the Malaysian Government banning British firms from bidding for public contracts
According to a participant in the talks between the Malaysian Government and the British Prime Minister, Margaret Thatcher, 'Mrs Thatcher did all the talking. She stood up and offered aid to build the rural water supply project. It was to be built by Biwater, a British firm. We could have done it ourselves, but the money was offered - and we accepted.'
The offer of aid was for $59m, which at the time was largest amount of British aid ever awarded under the Aid and Trade Provision (ATP), the category of aid money reserved for direct subsidies to British firms.
|
