Khairuddin accuses 1MDB of treachery

Khairuddin Abu Hassan says the Lifestyle Quarter agreement means 1MDB has given away government land to a foreign firm.

PETALING JAYA: 1MDB has committed an act of treachery in allowing one of its subsidiaries to sign a joint-venture agreement with an Australian-based multinational corporation, former Batu Kawan Umno vice-chairman Khairuddin Abu Hassan said in a press statement today.

He was referring to reports that 1MDB Real Estate and Austalia’s Lend Lease had agreed to jointly develop Lifestyle Quarter, a section of the Tun Razak Exchange in Kuala Lumpur.

He noted that it was a 60:40 partnership, with the Australian firm holding the majority stake.

He said the agreement meant that 1MDB, which acquired government land “on the cheap”, had given part of it away to be “controlled absolutely” by a foreign interest.

“Only the insane would be proud of such an arrangement,” he said. “In truth, this is an act of treachery against the nation.”

He said it showed that 1MDB was in such desperation that it was willing to even “pawn government property” to lighten its debt burden.

“This illustrates what I’ve been trying to tell the Malaysian public; 1MDB’s financial stuation is at a critical level,” he said. “But what we can’t understand is why the Finance Ministry and 1MDB keep telling us that the company is doing fine.

“I hope the signing of the joint-venture agreement will open wide the rakyat’s eyes so that they can evaluate the real situation in 1MDB.”