MP SPEAKS Mara was set up primarily to assist underprivileged and poor bumiputra through education and business. It was meant to help others and Mara was certainly not meant to be high-flying property investors allowing its management and officers to help themselves through lucrative real estate deals. Sadly recent events exposed the sad scandalous reality today about how far Mara has gravely deviated.

My earlier fears on other prime location property investments were confirmed when Rafizi Ramli outlined the prices paid for the other three properties. My 14 years spent in Melbourne urged me to share my familiarity with the city. My theory is simple.

1) Why would Mara, who should be facilitating students accommodation and studies, need to buy expensive prime location properties? The Swanston Street property is a case where although Melbourne University and Royal Melbourne Institute of Technology is located on it, Melbourne’s excellent tram and public transport make quick access easy from virtually anywhere.

Students don’t have to live in prime Central Business District (CBD) Swanston Street. They are not corporate directors of some multi national companies.

2) To pay a high price for a RM138.6 million property on Swanston St, which stretches from Flinders Street Central train station to Melbourne University, is already near the top bracket property range. It would be better to buy a lesser average priced property with higher property appreciation potential. But of course the high purchase price means higher percentage in terms of commisions earned up front.

It’s more about immediate quick and easy return at Mara’s expenses for certain parties. A convenient way of helping oneself in closing deals.

3) The other properties at Exhibition Street, at RM100 million, and Queens Street, at RM70.4 million are also in the prime Central Business District. Exhibition Street is close to Victoria’s state Parliament, major theatres area and near the prestigious ‘Paris end’ of the city. Queen Street is a prime office area near Flinders Street main interstate train station. These purchases are more suited for a high-flying Donald Trump rather than Mara.

Why can’t Mara be more practical?

I know of a former student who studied at Melbourne University and bought a double-storey terrace house in Carlton within easy reach of University of Melbourne. He bought it for A$28,000 and after about three years he sold it for A$50,000. It served its purpose as a student accommodation and still made a healthy profit. Why can’t Mara be more practical instead of splashing out big money?

As an architect we know Melbourne is one of the best-planned cities in the world with excellent public transport system served by trams, trains and buses making close proximity of residence to classes or work almost not important. So why did Mara have to buy all Central Business District properties for whatever purposes? Unless to run up huge sales commissions of some 20 percent as the Dudly property bought by Mara showed.

It seems normal commissions are not enough that a RM13 million mark-up was insisted on by Mara to satisfy their greed.

The government and Mara must investigate all the four property transactions in Melbourne to ensure the whole truth is revealed. No matter how bitter the truth may turn out to be.

RAJA KAMARUL BAHRIN SHAH RAJA AHMAD is the MP for Kuala Terengganu.