MORE UMNO CORRUPTION UNCOVERED: Mara’s purchase of Aussie properties may be linked to Johor project

The business magnates who are allegedly linked to a kickback scheme involving Majlis Amanah Rakyat (Mara) and the purchase of Melbourne property units in Australia are currently facing parallel queries here in Malaysia.

Among other names that were reported by the Australian daily, The Age, these are prominent individuals within Mara Inc, moreover, it is speculated that the purchase of Dudley House in Australia is connected to a development project here in Johor Baru.

According to the Companies Commission, the company which was listed and having a postal address in Sri Petaling had hauled a substantial loan amounting to RM42 million for the purpose of the development project and placing several lots of land as collateral, as reported by the New Straits Times.

The loan which was obtained from Malaysian Building Society Bhd. was apparently meant to fund the development project the company had planned in Johor Baru.

However, it seemed that the project never even broke ground.

Furthermore, it was also understood that the individuals are under even more scrutiny form the authorities due to this revelation of the stalled project within the investigation.

Recently, The Age had reported that a top Mara officer, senior official and former politician had allegedly spent millions in government funds to buy an apartment block in Melbourne in a property scam.

The Australian daily alleged that “a group of super-rich Malaysian officials” had overpaid by A$4.75 million (RM13.8 million) for the apartment block in the city in 2013.

The trio had allegedly “overbid” for the building, called Dudley International House, from A$17.8 million to A$22.5 million, with the difference pocketed as bribes back home.

The five-storey building located in suburban East Caulfield currently accommodated 115 Mara students studying at Monash University. - The Rakyat

DAP assemblyman pokes fun at dress code issue

Kinrara assemblyman posts pictures of women in various attire in a direct attempt to mock the dress code issue in the country.

KUALA LUMPUR: DAP politician Ng Sze Han has taken to Facebook to assert that no restrictions will be placed on visitors to his Kinrara service centre.

In his Facebook posting today, the Kinrara assemblyman posted a picture of seven women, with their faces blocked, in various attire with a caption that read, “Pusat Khidmat Kinrara imposed (sic) NO restrictions. You are welcome (to visit) with mini skirts or pants, sleeveless and whatsoever you feel comfortable in, as long as you aren’t naked.”

The picture also made a direct reference to recent incidents in the country when women, barred from entering government offices, the Road Transport Department and even a hospital, were given a sarong and instructed to wear that instead if they wanted to enter and be served.

“You WILL NOT be served with sarong nor towel on (sic). We respect your liberty and your dress code freedom,” the caption on the Facebook picture further said.

The picture showed women dressed in casual, professional, traditional, body hugging, elegant, mini skirts and sportswear.

The picture of the woman in sportswear came with a shot of the leotard that local gymnast Farah Ann Abdul Hadi wore during the recent SEA Games and which sparked a storm of controversy since it did not cover her aurat.

Netizens however did not take too kindly to Ng’s post with many saying they thought it was an inappropriate joke.

One Facebook user Wizurai KiloAlpha hit out at Ng saying, “I wonder how (yo)u come to some funerals without any code of attire. Would (yo)u please try come with short pants or singlet or skimpy clothes to it? If (yo)u can come back to your house without any slaps mark on your both cheeks, I would happily receive your statements.”

Muslim NGO Isma meanwhile interpreting Ng’s postings as a blatant attempt at mocking the government said that DAP was a chauvinist party.

1MDB: A challenge to two Cabinet ministers

Justify your ‘twisted’ logic in open debate

COMMENT

By Matthias Chang

Soon after the New Straits Times (NST) reported that one Xavier Justo had been arrested in Thailand for allegedly “blackmailing PetroSaudi International Ltd” (the parent company of a host of other “PetroSaudi” companies incorporated in the Cayman Islands, the British Virgin Islands and elsewhere), Malaysians were bombarded with the twisted logic that in the circumstances, each and every allegation against 1Malaysia Development Berhad (1MDB) and the Jho Low-1MDB ‘consortium’ had no basis whatsoever, because the allegations by Dr Mahathir Mohamad, The Edge newspaper and other critics were based on “fabrications” and “tampered evidence” downloaded from the computers of the PetroSaudi group of companies.

The twisted logic was propagated stridently by a few Cabinet ministers and the Umno Supreme Council.

Take for example:

Urban Wellbeing, Housing and Local Government Minister Abdul Rahman Dahlan, who was quoted as saying that some quarters had used information gathered from the Sarawak Report portal and made excessive speculation on 1MDB issues without knowing the basic truth.

“I believe there are many evidence which show that Sarawak Report has falsified the information and has used unethical approach to defame our leadership (sic).”

His accusation is based on his “belief” and not hard evidence. Notably, he has failed to disclose which part of the information referred to by Sarawak Report and/or 1MDB’s other critics has been falsified.

And he is a minister.

Since when has the “belief” of a person been deemed irrefutable evidence? If this minister says that he “believes” that a cow can jump over the moon, must it be so? Must we accept his belief as correct?

What else do we need to say about this minister?

Then, we have another questionable statement by another minister.

Communications and Multimedia Minister Ahmad Shabery Chik said that people should verify news which they read on the Internet before jumping to conclusions.

Why should people only verify news from the Internet and not the mainstream media? Is this minister implying that the mainstream media tells the truth, the whole truth and nothing but the truth, and never publishes falsehoods and lies?

This Minister then went on to say, “We are in the midst of gathering information about individuals who spread false information about 1MDB on social media to facilitate investigations.”

By saying that he is in the “midst of gathering information”, this minister has confessed that he does not have any hard evidence as yet.

Like his colleague he has not identified which accusations were false and/or based on tampered evidence.

I have in several articles challenged the entire Cabinet as well as the Umno Supreme Council to answer more than 100 questions regarding the financial fiasco arising from the unprecedented RM42 billion debt incurred by 1MDB.

The two ministers have not identified the individuals they accuse of having spread false information about 1MDB. Since I am one of the critics of 1MDB, the Cabinet and the Umno Supreme Council, I must, and have the right to, assume that, by innuendo, I am one of those individuals.

So, let’s settle the baseless accusations of these two ministers once and for all in a public forum.

Since they have made accusations against all the critics, we should, therefore, be allowed to question the two ministers, and the basis of their accusations.

Let this public forum be telecast “live” on television – TV1, TV2, TV3 and Astro – and let the entire country determine who has been giving false information and why they have been doing so.

When these two ministers accuse others of giving false information, it implies that they have given truthful and accurate information regarding 1MDB’s RM42 billion debt and that all the transactions giving rise to the said debt have been legally and legitimately entered into by 1MDB and had the prior approval of the prime minister cum finance minister and Bank Negara.

If these two ministers do not have the courage to participate in a public forum, then at the very minimum, they must do the following:

• tell us what documents they have relied on for their assertion that their beliefs are true, and not lies, cover-ups, fraudulent misrepresentations and propaganda by spin doctors
• affirm a statutory declaration in support of their assertions
• if proven wrong, apologise to the nation and resign forthwith as ministers
• undertake to assist the rakyat to bring all criminal elements responsible for the 1MDB financial fiasco to court to face criminal charges

If these two ministers do not rise to the occasion and accept this public challenge, then it can be safely concluded that they have no basis to accuse the critics of 1MDB.

It will also show that they have misled the rakyat by being privy to a cover-up of the entire 1MDB financial fiasco.

Matthias Chang is a barrister and once served as the political secretary of former Prime Minister Mahathir Mohamad.

Cost and design of Pan Borneo Highway being finalised

MoU is signed for the 1090 km highway expected to link all main cities in Sabah and Sarawak

PUTRAJAYA: The federal government is currently in the midst of finalising the cost and design of the Pan Borneo Highway, according to Works Minister Fadilah Yusof.

This was announced at the memorandum of understanding (MOU) for the project between the Federal Government, Sarawak state government and Lebuhraya Borneo Utara Sdn Bhd at Perdana Putra yesterday.

The MOU was signed by Works Ministry Chief Secretary Zohari Akob on behalf of the federal government, Sarawak state secretary Amar Mohamad Morshidi Abdul Ghani for the Sarawak government, and Lebuhraya Borneo Utara Sdn Bhd chairman Abang Urai Hakim Abang Mohideen.

The MOU signing ceremony was also witnessed by Prime Minister Najib Abdul Razak, Sarawak Chief Minister Adenan Satem and Chief Secretary Ali Hamsa.

In a statement today, the Works Ministry said that the federal government has already decided on the specifics of the highway’s first phase of construction, which will see 773 km built beginning with the 33 km-long Telok Melano-Semantan package in September.

The package will involve the construction of a single carriageway linking the township and various surrounding villages in the Telok Melano area, which until now has only been accessible by sea.

According to the Works Ministry, the highway project will be implemented with Lebuhraya Borneo Utara Sdn Bhd as the project delivery partner (PDP) managing and supervising its construction.

“The PDP will act as a single point of accountability that will be responsible for the implementation, management and completion of the 1090km highway at a reasonable cost and period of construction that will be set by the government,” said the ministry in their statement.

The PDP model currently being used for the Pan Borneo Highway project is similar to that used for the Mass Rapid Transit (MRT) construction, in that the government will completely fund it via Dana Infra.

In a report by the Malay Mail Online, Adenan welcomed the project, saying that Sarawakians were grateful for the project.

“It will definitely open up the country, not just for communication, but also economic opportunities and activities and further advance the development (in the state),” he said, noting also that the highway will function for Sabah and Sarawak like how the North-South Expressway (PLUS) does for Peninsula Malaysia.

Announced in October last year, the Pan Borneo highway is targeted to link all the main cities in Sabah and Sarawak.

Mara’s third Aussie property buy a CBT case, says NOW

NGO says the acquisition was at the expense of the government-owned agency which had to fork out much more than it should have for the property.

KUALA LUMPUR: The National Oversight and Whistleblowers (NOW), an NGO headed by Pandan MP Rafizi Ramli, has charged that there are definitely elements of “criminal breach of trust” in the series of property acquisitions by Majlis Amanah Rakyat (Mara) in Australia.

Briefly, these acquisitions were at the expense of the government-owned agency which had to fork out much more than it should have had for the said properties. The difference, it said, was the CBT element.

NOW director Akmal Nasir, filling in for Rafizi, urged Police and the Malaysian Anti-Corruption Commission (MACC) to fast track investigations in line with Prime Minister Najib Razak’s assurances on a complete and thorough investigation, instead of beating around the bush.

Akmal also urged Mara Chairman Annuar Musa to explain the agency’s system of acquisitions as well as reveal who was behind third party companies dealing with Mara on property acquisitions.

“The public has the right to know what happened to RM66.2 million of the people’s money that was supposed to be used for advancement of Malays and Orang Asal through education and small entrepreneurship,” he said.

Akmal was citing Mara’s purchase of 51 Queen Street as the third case of CBT.

“From all the transactions that transpired, it was obvious that the modus operandi was the same as that used in the case of Dudley (International) House and 333 Exhibition Street, two other properties acquired by Mara,” said Akmal. “Funds were channeled out using a third party.”

The Quintessential Group of Companies (QGC), he said, originally acquired the property 51 Queen Street for AUD8.2 million in 2010 before carrying out upgrades to it and reselling it to another company three years later sometime early in 2013 for AUD16.65 million, according to the company’s website and unofficial sources.

In March 2013, Mara Inc purchased the property for AUD22 million i.e. AUD5.35 million (RM18 million) more than what the third party company paid for mere months earlier, alleged Akmal.

Mara apparently did not follow its own procedures when spending RM374.3 million on four properties in Australia.

746 Swanston Street property at RM138.6 million was the most expensive buy, followed by 333 Exhibition Street at about RM100 million and 51 Queens Street at RM70.4 million. Dudley International House was the cheapest at RM65.3 million.

Annuar had earlier claimed that the government agency’s property purchases followed procedures.

Minister of Rural and Regional Development Shafie Apdal, whose ministry has oversight on Mara, made a similar statement which reportedly led the police to close the file on the matter.

It was not immediately clear whether the MACC has likewise closed its file on the Mara property buys in Australia.

Mara overpaid RM18 million for third Australian property, says watchdog

National Oversight & Whistleblowers (NOW) Director Akmal Nasir speaks during a press conference at its headquarters in Kuala Lumpur today. Nasir says Mara had also overpaid for a third property in Melbourne by RM18 million. – The Malaysian Insider pic by Najjua Zulkefli, July 1, 2015.

Majlis Amanah Rakyat (Mara) also overpaid for a third Australian property in Melbourne by RM18 million, which meant it had overpaid at least RM66 million for the property purchases made Down Under thus far, the National Oversight and Whistleblowers (NOW) said today.

Its director Akmal Nasir said that for the 51 Queen Street property, Mara Inc paid A$22 million (RM66 million) just months after an unnamed previous buyer bought it for only A$16.65 million.

This amounted to a differential of RM18 million, on top of the RM14 million they allegedly overpaid for the Dudley House and close to the RM30 million they overpaid for 333 Exhibition Street, he said.

"The proof provided so far shows that there is a modus operandi which is systematic, and NOW is confident there are elements of criminal breach of trust here," Akmal said in a press conference today.

Australian paper The Age previously alleged that the differential for The Dudley was pocketed as kickbacks by some senior Mara officials.

The approach to buy the Queen Street property was also the same as the purchase of the Exhibition Street property, Akmal said.

Quintessential Equity, a property management company in Melbourne bought the property in 2010 before selling it off to an unnamed company, believed to be somewhere in January 2013.

Within two months, Mara Inc made the purchase – giving the unknown buyer a RM18 million gain on the property.

For Exhibition Street, similarly, an unknown buyer bought the property from Quintessential Equity in late 2012, before flipping it over to Mara Inc in less than five months for about RM30 million gains.

"Who was it that owned 51 Queen Street before Mara Inc bought it for RM18 million above the market rate?” he asked.

"We want to know where this extra RM66 million went to. It was supposed to be used for the development of the Bumiputra community," he said.

Both the 51 Queen Street and 333 Exhibition Street properties were bought using "layered" companies in three countries, NOW previously revealed.

Though different in name, both purchases had the same transaction chain – the purchase was made via a Labuan company which in turn went through a Singaporean company, and then an Australian company.

All the companies are owned by Mara Inc.

The other two purchases, for The Dudley and 746 Swanston Street, were made via an offshore company set up in the British Virgin Islands.

- TMI

Petrol prices should come down as Malaysians already financially burdened, says PKR

PKR says the price of RON95 petrol should decrease in accordance with world crude oil prices. – The Malaysian Insider file pic, July 1, 2015.

PKR today said that Putrajaya should bring back petrol subsidies as the latest petrol increase comes at a time when the people are burdened by the goods and services tax (GST) and devaluing ringgit.

Retail price of RON95 went up by 10 sen and RON97 by 20 sen today with diesel prices remaining unchanged.

The  new price for RON95 is now RM2.15 a litre, and RON97 at RM2.55 a litre after GST.

PKR secretary-general Rafizi Ramli (pic, right) said he would be filing a private member’s bill in the coming Dewan Rakyat sitting for the creation of an oil prices stabilisation fund, adding that this was necessary if Datuk Seri Najib Razak remained adamant about not bringing back petrol subsidies.

According to Rafizi, crude oil prices showed a reduction from US$66 per barrel in early June to around US$62 later the same month.

The price of RON95, which is pegged to world crude oil prices, was set at RM1.70 per litre in February when world oil prices were at US$60 per barrel.

"This means that when world prices dropped to US$60 as seen at the end of June, it should translate to RON95 prices coming down to RM1.70 per litre.

"But instead, the Najib administration increased the price of RON95 contrary to the movement of world crude prices," Rafizi said in a statement today.

He said as finance minister, Najib had also made certain taxation decisions that elevated the people's burden, adding that he had revealed earlier this year how Putrajaya had imposed hidden taxes in the prices of petrol and diesel and collected about RM2 billion within three months.

He said that since the implementation of the GST in April, the government had collected about RM6 billion within two months.

Rafizi urged the government to maintain petrol subsidies of at least 30 sen per litre in view of the devaluing ringgit and other factors.

With this, he said, the government would be spending around RM7 billion yearly in subsidies.

Rafizi said that if this was introduced in August, the government would only have to bear RM3 billion compared to the RM10 billion it collected in the form of taxes through petrol prices and GST in the first six months of the year.

"The federal government has the financial capacity to subsidise 30 sen per litre and the people deserve this given that they have been subject to additional taxes since early this year," he said.

The Pandan MP added that he was also working with NGOs for a campaign to champion the return of subsidies.

"I'm certain Datuk Seri Najib Razak is only afraid of the people's objections and if they are loud and clear, he will have to bring back subsidies to ease the burden of the people," he said.

He also urged Barisan Nasional MPs to support the private member’s bill for the benefit of the people.

- TMI