PAS today sent another open letter regarding the 'unfair' profit guarantee clause in the privatisation of MAS catering business. This letter was addressed to Prime Minister Dr Mahathir Mohamad.

Kubang Kerian MP Husam Musa said since there was no response to his Aug 14 letter asking Deputy Prime Minister Abdullah Ahmad Badawi to explain his brother's involvement in the purchase, he was now asking the premier to investigate the matter.

In his earlier letter, the PAS leader urged Abdullah to explain if a profit guarantee clause was included in the sale agreement of MAS Catering to Gubahan Saujana - a consortium 51 percent owned by a company belonging to the deputy premier's brother Ibrahim Ahmad Badawi.

The catering arm of German carrier Lufthansa LSG Skychefs will own the other 49 percent of the consortium.

Gubahan Saujana was said to be given a 80 to 85 percent profit guarantee over nine years for the 70 percent share in MAS Catering which the company intends to purchase for RM175 million.

Deal deferred

According to MAS Catering, the finalisation of the deal, originally scheduled for today, had since been deferred but no MAS official was available for further comment.

Husham said the terms guaranteeing profit to private companies was unfair and could potentially trap MAS into incurring greater loss in the future. In May, MAS announced that its net loss for the first quarter of the year doubled to RM835.562 million.

Husam also questioned the move to sell a stake in the profit-making MAS Catering to a foreign company.

"Our nation spends about RM1 billion to send an astronaut to space but we still do not know how to operate a kitchen....isn't it true that MAS Catering has been chalking up profits every year despite being run by Malaysians?" he said in his letter.

Husam also wanted the prime minister to clarify whether moves were underway to either remove or ease MAS Catering's 'halal compliance' following the impending privatisation.