Fears grow Najib may let the Shahrizats off the hook on RM250m NFC loan like in MEX deal

Given the recent example of the Maju Expressway deal (MEX), it is not impossible that Prime Minister Najib Razak may let the family of Umno minister Shahrizat Jalil escape without repaying in full the RM250 million government soft loan granted to develop the NFC cattle breeding project.

"It will certainly raise more questions and the people’s anger,” Rafizi Ramli, the PKR strategy director, told Malaysia Chronicle.

His Pakatan Rakyat colleague Tony Pua, the DAP MP for Petaling Jaya Utara, called on Najib, who is also Finance minister, to move beyond “public relations damage-control exercise” and “political rhetoric” or lose further public confidence.

“In the public interest, and to ensure that every sen of taxpayers’ monies is recoverable, both ministries must immediately demand the return of the RM250 million loan given to NFCorp, whose directors are the family (members) of Umno Wanita chief Shahrizat,” Tony told a press conference at the Parliament lobby on Thursday.

Tony was referring to the Finance Ministry and Agriculture and Agro-Based Industry Ministry. The National Feedlot Centre project was awarded to NFCorp, the private firm owned by Shahrizat's husband Salleh Ismail and their 3 children.

The family has been accused of abusing their power and pillaging from the government loan as well as to obtain bank loans to buy luxury condominiums for themselves.

Look at Maju Expressway 

Tony also said the need to recover the funds was urgent since the government planned to re-tender the project to other firms to manage. He also questioned if the government had terminated its agreement with NFCorp, saying if this was not done, inviting bidders would be a breach of its agreement.

Indeed, yesterday's announcement that Najib was mulling new firms to take over the management of the NFC had sparked suspicion that he might be manipulating a closure to the high-profile probe into the Shahrizats, which is bound to further embarrass their Umno party.

There is also fear that Najib will also close his eyes to the RM250 million government loan granted to NFC,, given the recent example with the sale of the Maju Expressway.

Maju was sold to EP Manufacturing Bhd for RM1.5 bil, causing market consternation after the Najib administration declined to insist that Maju's owner repay the RM976.7 million worth of government grants given to build the highway. Najib's 'generosity' enabled Maju's owner to reap a huge profit of around RM1.1 billion.

Malaysia Chronicle