Friday July 27, 2012
MCA: Was KHSB forced to buy assets?
By YUEN MEIKENG
KUALA LUMPUR: The MCA has questioned if the Selangor Government had “forced” Kumpulan Hartanah Selangor Bhd (KHSB) to buy RM44.7mil in assets in its debt recovery exercise involving Talam Corporation Bhd.
MCA Young Professionals Bureau chief Datuk Chua Tee Yong questioned why the RM44.7mil worth of assets, acquired from Talam, were sold to a state-related company.
He said the state government decided to acquire the RM44.7mil worth of assets from Talam which included land and office units, on March 12, 2010 as part of its RM676mil asset debt recovery exercise.
Chua said the state government proposed to dispose part of the assets to KHSB, a state-listed company, on April 26, 2010.
“According to the KHSB board minutes on May 3, 2010, and Nov 24, 2010, KHSB rejected the proposal due to valuation reasons,” he said.
He said the Selangor government then proposed to sell the assets again to KHSB on June 6 last year.
This second proposal included five office units in Menara Pandan and a retail lot measuring 2,745 sq m at Ukay Perdana, bringing the total assets to RM44.7mil.
“On June 29 last year, KHSB decided to acquire the land proposed based on market valuation but did not agree to acquire the five office units in Menara Pandan and shop lot in Ukay Perdana,” Chua said.
He said KHSB was informed to accept all the proposed assets based on the proposed value of RM44.7mil.
“In the 2010 state assembly sitting Hansard, the Selangor government claimed that the RM44.7mil assets can be easily disposed and open tender would be conducted. However, why are the same assets being proposed to KHSB on numerous occasions and no open tender conducted?” Chua questioned.
He said it appeared that KHSB was professional in its conduct in rejecting the offer by the Selangor government.
“We can also conclude that the Pakatan Rakyat-led Selangor government was probably trying to force KHSB to acquire the assets at RM44.7mil to avoid any losses,” he said.
Chua added that it was also disclosed in the state assembly sitting that the state government owed Talam Corporation RM30.5mil after its debt restructuring exercise.
“The Selangor government is supposed to identify land as a way to set off the RM30.5mil due to Talam. Why can't the five office units in Menara Pandan and shop lot in Ukay Perdana be used to offset the amount?” he asked.
On July 3, Chua challenged the Selangor government to explain how its exercise to recover a RM392mil debt from Talam ended in questionable deals worth over RM1bil.
The state government is said to have obtained a grant of RM392mil and acquired additional assets worth RM284mil from Talam bringing the total acquisition to RM676mil.
This RM676mil purchase of assets was said to be part of the RM1bil questionable deal.