S’gor overpaid Talam by RM42m, says MCA

G Vinod

Despite the threat of a civil suit, Chua Tee Yong presses on with his allegation that the state misused public funds in a bailout operation.

KUALA LUMPUR: The Selangor government paid RM181 million for a piece of land worth RM139 million, MCA alleged today.

The land in question is in Bestari Jaya and the deal was made in 2010 with Talam Corporation, according to Chua Tee Yong, who heads MCA’s Young Professionals Bureau.

“I must congratulate Talam for their exceptional negotiation skills with the state government on their debt recovery exercise,” Chua told a press conference.

Last Tuesday, Chua alleged that the Selangor government had possibly misused RM1 billion in public funds to bail out Talam.

He claimed that the state had purchased RM676 million worth of Talam assets and supplied additional funds worth RM392 million.

The latter funds were approved by the state legislative assembly in 2009, he said.

Talam is now known as Trinity Corporation Berhad.

Menteri Besar Abdul Khalid Ibrahim has denied misappropriating the funds and decided to file a civil suit against MCA for the allegation.

Trinity Corporation also issued a denial yesterday, saying it had paid off its debt to the state under supervision from the Securities Commission Assets Valuation Department and Bursa Securities.

Incompetent?



Chua said that in October 2010, Mitra Valuers and Property Consultants Sdn Bhd valued the 2,263 acres of leasehold land at RM139 million.

“Out of the vast land, 438 acres are ex-mining lakes,” he said. “The state needs to fork out between RM50 million to RM 100 million just to do earth filling works before starting any construction work there,” he said.

Chua, who is the Deputy Minister of Agriculture and Agro-Based Industries, also said 575 acres of the land were forest and ecology reserve land, with little commercial value.

He added that a high-tension transmission cable cut across some part of the land.

“Is the Pakatan state government incompetent or they just don’t care about public funds?” he asked.

Asked for evidence of allegations, he said: “The state must confirm the matter.”

He also said he would wait for Talam’s response before lodging a report with the MACC.

Chua told reporters he had yet to receive any letter from Khalid on the latter’s threat to file civil suit against MCA.

“So I’m not sure whether he is suing MCA, myself or those who attended the press conference (on Tuesday),” he said.