Rafizi: Suing NFCorp will not return RM250m

PKR strategic director Rafizi Ramli says this is because the company that embezzled the money is not NFCorp

KUALA LUMPUR: PKR strategic director Rafizi Ramli said today any legal action taken against National Feedlot Corporation will not recoup the RM250 million of taxpayer’s fund lent to the company.

The 2011 Auditor-General report tabled yesterday said several discussions have taken place between the relevant ministries and the Attorney-General’s Chambers to look into the best course of action in a bid to recover the money.

Rafizi, however, pointed out that the chances of that happening is slim as the contract was made only between the federal government and NFCorp.

Any civil suit taken would only involve the latter company and not the companies fully-owned by former federal minister Shahrizat Abdul Jalil’s family which the PKR leader said were responsible for embezzling the funds.

“These companies do not have a legal responsibility or obligation to the government or even an agreement on the RM250 million public funds because it only involved NFCorp, and therefore cannot be sued,” he said in a statement.

Given that NFCorp has low assets, the company can escape repayment by declaring itself bankrupt and leave the government with no other recourse.

“That is why PKR had from the start recommended to the federal government to impose a ‘personal guarantee’ against Shahrizat Abdul Jalil and her family.

“So that all their properties (including the luxury properties purchased through companies wholly-owned by them but using funds from NFCorp) would be seized to get back the embezzled RM250 million public fund,” he said.

Lack of political will
He added that the plan to take legal action against NFCorp reflected the lack of political will on the part of the Najib government to recoup the money lost in the project.

The NFCorp scandal was first highlighted in the last AG report which Rafizi subsequently used to spearhead a campaign of exposes on Shahrizat and family which later led to her stepping down as a minister in April.

The opposition has alleged that NFCorp directors – Shahrizat’s husband and children – had used the loan meant for a federal cattle-farming scheme to buy or finance properties in Kazakhstan and Singapore worth at least RM45 million.

It also accused them of siphoning out at least RM12 million to their own companies in Singapore.

Her husband, Mohamad Salleh, pleaded not guilty in the Sessions Court to two counts of criminal breach of trust involving RM49.7 million with regards to the purchase of two condominium units.

Shahrizat claimed innocence and said she was defamed. She has since taken Rafizi and PKR Wanita chief Zuraida Kamaruddin to court over the matter.

Rafizi has also been charged under the Banking and Financial Act for allegedly disclosing Mohamad Salleh’s personal accounts. He claimed the charges were made to silence whistle blowers.