Assets transferred out of Tabung Haji not liquidated, says minister

A general view of Menara Tabung Haji in Kuala Lumpur May 24, 2018. — Picture by Miera Zulyana
A general view of Menara Tabung Haji in Kuala Lumpur May 24, 2018. — Picture by Miera Zulyana

KUALA LUMPUR, March 26 — Assets worth RM19.9 billion transferred from Lembaga Tabung Haji (TH) to a special purpose vehicle (SPV) have not been liquidated, said Minister in the Prime Minister’s Department Datuk Seri Dr Mujahid Yusof Rawa.

He said the SPV would rehabilitate all the assets through warehousing and restructuring strategies.

“In addition, the SPV’s role is to ensure the continuing operations of the assets, maximising the asset recovery value and redeeming all monetary instruments issued by SPV and subscribed by TH,” he told the Dewan Rakyat today.

He was replying to a question from Awang Hashim (PAS-Pendang) whether TH’s assets had been liquidated through the SPV set up by the Finance Ministry.

There was a commotion during the question-and-answer session when Awang and Datuk Seri Abdul Azeez Abdul Rahim (BN-Baling) urged Mujahid to name the individuals appointed as the chief executive officer and board of directors of SPV. 

Mujahid, who did not reveal the names, said the CEO for the special purpose company was under MOF Incorporated, while the board of directors comprised Finance Ministry officers and an independent director.

Dewan Rakyat Speaker Datuk Mohamad Ariff Md Yusof stopped the argument by recommending that Mujahid gave a written reply to the question.

Bank Negara Malaysia has been regulating TH since January as part of its comprehensive recovery plan to revive TH’s balance sheet which recorded a RM4.1 billion deficit at at Dec 31 2017.

Of all the underperforming assets transferred to SPV, 80 per cent were in the form of equities with impairments exceeding 20 per cent and the balance in properties with yields of less than 2 per cent. — Bernama

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