KUALA LUMPUR – The now-insolvent 1Malaysia Development Bhd (1MDB) is today the owner of a grand total of just one asset: a piece of land on Pulau Indah, Klang, after years of being embroiled in corrupt activities.
The 128.86ha land, purchased in February 2014 at an allegedly inflated price of RM317 million from Tadmax Resources Bhd, first entered the sale process in September the following year, but has remained unsold until today.
In May 2019, the Pakatan Harapan’s (PH) government fresh attempt at auctioning the land off, which it valued at up to RM416 million, was also futile.
In a written parliamentary reply yesterday, Finance Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz revealed that the land in Pulau Indah is 1MDB’s sole remaining asset.
“The sale process will be done through an open tender to ensure it is done transparently, to maximise returns and to guarantee 1MDB’s interest,” he said in a brief one paragraph reply.
He was responding to Dewan Negara senator Datuk Seri Vell Paari, who wanted to know how many more assets the former state investment arm owned today.
As with many of other assets purchased by 1MDB, the land acquired in Pulau Indah, adjacent to the Port Klang Free Zone, was marred with controversy, with various quarters accusing the government of paying an inflated price.
Among those to have raised concerns was DAP lawmaker Tony Pua, who had claimed in February 2014 that the same piece of land was valued at just RM9.93 per sq ft just three years earlier – more than two times cheaper than the value purchased.
In May 2015, the then Barisan Nasional government agreed to sell the land as part of 1MDB’s rationalisation plan, but no development was reported then.
In 2019, the PH administration had looked to generate up to RM416 million for the asset, although it has remained unsold until today. – The Vibes, March 22, 2022
