PUTRAJAYA, Oct 30 – Kedah Gerakan Youth has lodged a report with the Malaysian Anti-Corruption Commission (MACC) over the state-owned Kedah Corporation Bhd’s (Kedah Corp) logging and plantation investment in Papua New Guinea.
The report, lodged by Kedah Gerakan Youth chief Tan Keng Liang at the MACC headquarters here, demanded a thorough investigation on the alleged RM13.49 million loss incurred by the company.
“Doubt arises when the Auditor-General’s Report 2011 stated that there is a goodwill payment made to vendors for works done in Papua New Guinea, such as for land exploration and lobbying the ministers and landlords.
“The report also stated that a total of RM1.21 million was paid to a third party to lobby the ministers involved in the project.
“We also want the MACC to conduct further investigations on the share sale agreement signed between Kedah Corp and MAS Incorporated Ltd on Oct 12, 2008 which had incurred major loss to the Kedah government,” he told reporters here today.
The Auditor-General’s Report 2011 stated that Kedah Corp, a subsidiary of Menteri Besar Incorporated, had bought a 70 percent stake in MAS Incorporated Ltd for RM31.21 million to develop two areas covering 114,429 hectares in Papua New Guinea, but the project was terminated by the Kedah Corp board of directors on March 1 last year, causing losses amounting to RM13.49 million.
