KUALA LUMPUR, April 11 — The government is committed to exposing those people who were responsible for causing Felda to suffer losses, and to bringing them to justice.
President of Parti Pribumi Bersatu Malaysia (Bersatu) Tan Sri Muhyiddin Yassin, said under Barisan Nasional which was led by Datuk Seri Najib Razak, Felda signed on many lavish projects and exaggerated contracts.
He said most of the contracts were the cause of Felda’s financial problems today, causing Felda to seek government help so that it could continue to operate and ‘not sink’.
“We all know that in corporate fraud, the thieves will hide their hands and make it seem like a genuine commercial transaction.
“All those involved must account for their wrongdoings,” he said in a statement on his Facebook account today.
Muhyiddin who is also home minister made the statement after Economic Affairs Minister Datuk Seri Mohamed Azmin Ali tabled a White Paper on Felda at the Parliament yesterday.
In it, the PH government will provide a financial package of RM6.23 billion to Felda in the form of grants, loans and government guarantees in stages to solve Felda’s problems arising from the previous management.
Muhyiddin said the government had engaged the services of accounting firm Ernst & Young to conduct a forensic audit to understand the problems within Felda, while Felda had also engaged the services of law firm Lee Hishammuddin Allen & Gledhill.
“The two firms have confirmed that Felda was the victim of corporate fraud and violation.
“As home minister, I have instructed the police to investigate the case in a professional manner, without fear or favour,” he said. — Bernama