KUALA LUMPUR – MajuBina Resources Sdn Bhd has been ordered to pay RM15.32 million in compensation to the Malaysian Communications and Multimedia Commission (MCMC) for failing to complete the National Digital Network (JENDELA) Phase 1 project in Sabah within the agreed timeframe.
The Shah Alam High Court also ordered the company to pay RM5,000 in legal costs to MCMC.
In a statement, MCMC said it initiated legal proceedings against the company in February to recover compensation arising from project delays under the Universal Service Provision (USP) initiative.
The commission stressed that all communications infrastructure projects funded through the USP fund must adhere strictly to contractual obligations and implementation timelines.
“Compliance with these requirements is essential to ensure the smooth implementation of projects and that the benefits of digital connectivity can be enjoyed by the people, particularly in rural and underserved areas,” MCMC said.
The regulator noted that the court’s ruling reinforces the need for rigorous accountability across national communications infrastructure rollouts.
“MCMC will continue to ensure that USP funds are utilised responsibly to improve public access to quality communications services,” it added.
The JENDELA Phase 1 initiative was introduced to expand high-speed digital coverage and access nationwide, with a primary focus on closing connectivity gaps in rural and underserved communities. — October 30, 2026