Mara suspends 2 officials involved in Aussie property buy

Mara chairman Tan Sri Annuar Musa speaks to the press about the controversial property buys in Australia at the agency’s headquarters in Jalan Raja Laut, Kuala Lumpur, today. – The The Malaysian Insider pic by Kamal Ariffin, July 2, 2015

Two officials from Majlis Amanah Rakyat's (Mara) investment arm, Mara Inc, have been suspended over their involvement in contentious Australian property deals.

The government agency also appointed international auditor PricewaterhouseCoopers (PwC) to scrutinise the acquisition of Mara Inc assets overseas.

Mara chairman Tan Sri Annuar Musa said today Mara Inc Sdn Bhd chairman Datuk Mohammad Lan Allani and chief executive officer Datuk Abdul Halim Abdul Rahman would be relieved of their duties pending investigation into the property deals.

"Today's council meeting decided to release two officers on temporary basis, so that the investigation process can continue," he told a press conference at the Mara headquarters in Kuala Lumpur.

He said the suspension was decided after the agency's board met to deliberate Mara Inc’s report on the property deals.

Mara's property purchases in Australia have attracted controversy after a report by Australian newspaper The Age that a “top” Mara officer, senior official and former politician had allegedly spent millions of government funds to buy an apartment block in Melbourne in a property scam.

The report alleged that “a group of super-rich Malaysian officials” overpaid by A$4.75 million (RM13.8 million) for an apartment block, called Dudley International House, in the city in 2013.

Annuar said the suspension of Lan and Halim was to preserve the integrity of its officers from allegations that might be hurled at them.

"This does not mean we have found them committing any offence. This is for the integrity of Mara that is aligned with our commitment that investigations by PDRM (the Malaysian police force) or others are transparent.

On the appointment of PwC, Annuar said the decision to was made after Mara found some reasonable doubt in many things in the purchase.

"It is based on our internal audit report together with several explanations in Mara Inc's review to us. There are several matters in term of governance that we think need further investigation."

He said Mara would also provide PwC with the terms of reference for an in-depth investigation or if necessary, to conduct a forensic audit.

"We have given the directive to the administration to draft the terms of reference to investigate all asset acquisitions by Mara Inc, including in Australia and United Kingdom.

He could not confirm when the audit would take place but hoped it could start as soon as possible.

- TMI