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AHTC reiterates reasons for developing its own software

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[h=2]AHTC reiterates reasons for developing its own software[/h]
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January 9th, 2013 |
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Author: Editorial

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Sylvia Lim


Aljunied-Hougang Town Council (AHTC) Chairman Sylvia Lim reiterated again that AHTC might have written to Action Information Management Pte Ltd (AIM) first to inform AIM of AHTC’s plan to develop its own financial computer system but it did so only because it knew AIM would most likely terminate the contract. Also, she said that in AHTC’s letter dated 10 June 2011, it had not talked about termination. Hence, there were no legal grounds for AIM to initiate the termination.

She told reporters in an interview on Monday night (7 Jan) that otherwise, AHTC would have been happy to continue to use AIM’s software.

She said, “If the termination clause was not there, that would definitely be something we would do because it is the smoothest way to transit in.”
She was referring to clause 9.3 in the contract stating that the contract would be terminated if there are “material changes to the membership of the town council”. And indeed, 12 days after AHTC sent the notice to AIM, AIM wrote back on 22 Jun 2011 saying:

“We hereby give notice in accordance with Clause 9.3 of the Conditions of the above Contract that, owing to material changes to the membership of the Town Council, we will cease to allow Aljunied Town Council the use of the intellectual property and system functions relating to the developed application software currently used by the Town Council after a period of at least one month from the date of this notice. The provision of the developed application software will therefore be terminated with effect from 1 August 2011.”

This move by AIM confirmed Ms Lim’s worst fears.

Ms Lim said, “It would be suicidal if we did not actually start to upscale our systems and just wait for the magnanimity of AIM to come and terminate us… I don’t think we can explain it to residents.”

And again, AIM immediately responded to Ms Lim’s statement on the same Monday night (7 Jan) saying AHTC never told AIM that it wanted to continue to use its system.

Chairman of AIM – a $2 company – Chandra Das said, “AHTC never told AIM that it wanted to continue to use (AIM’s) IT system.”

Referring again to AHTC’s June 10, 2011 letter in which AHTC said it was developing its own system and requested an extension, he said, “This could only mean that AHTC wanted to terminate the lease agreement. Hence, to avoid any doubt, after taking legal advice, AIM sent its own formal notice on 22 June 2011.”

Ms Lim also brought up the question of why the 14 PAP town councils had sold their software rights to AIM.

“Is it responsible of them to sell off a system which was developed with public funds in that manner?” she asked.
 
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