Penang Chief Minister Lim Guan Eng said 1MDB president and chief executive officer Arul Kanda Kandasamy is not the right man to attend a question-and-answer session regarding 1MDB and shady land deals in the state.

Lim said Arul Kanda is not appropriate for the role as he has to answer important questions related to land deals in Penang which “is shocking and does not benefit the people”.

He said that 1MDB has purchased land which it does not own 100 percent.

“It is better to invite a higher-ranking person than Arul Kanda who can answer all our questions,” Lim said when winding up his budget speech at the state legislative assembly today.

Lim said he would prefer 1MDB chairman Lodin Wok Kamaruddin to meet with Penangites.

Lim said 1MDB owned 23.47 acres of land in Penang which was registered under 1MDB Re (Ayer Itam) Sdn Bhd.

“But what is shocking is that the 23.47 acres is only part of three plots the size of 116.89 acres or only 20 percent and not 100 percent owned by 1MDB,” said Lim, the Air Puteh representative.

“The question now is why buy a piece of land without having 100 percent equity? This detail also puts in question 1MDB’s announcement that it bought 234 acres for RM1.08 billion,” Lim added.

“Why buy for RM1.08 billion a plot of land which you do not have 100 percent equity? It’s not logical at all,” he said.

Lim said the important question Arul Kanda needed to answer is: “Has the RM1.08 billion floated away just like that?”

He was responding to Roslan Saidin (BN-Penanti) who suggested that Lim organise a question-and- answer session with Arul Kanda.

Shah Headan Ayoob Shah (BN-Teluk Bahang) also suggested that Lim invite Prime Minister Najib Abdul Razak and Arul Kanda to explain the issue to Penangites.

Uncomfortable situation

State opposition leader Jahara Hamid admitted that she was also unaware of the details of the land deal as it was purchased by a private company and the money did not come from public funds.

“We would also welcome Arul Kanda to the Q&A session, to explain to all Penangites about the matter,” Jahara said.

“Arul Kanda should not only explain to the state government but the state opposition (BN) as well as we also do not like this ‘uncomfortable’ situation ( keadaan yang tidak menyenangkan ),” added the Teluk Ayer Tawar assemblywoman.

Lim said the state government has through the Land Office written a letter to Arul Kanda on July 13 to request for further information regarding land ownership and development planning proposals of the land.

The letter also stated that a meeting is necessary between Penang and 1MDB, Lim said.

The Land Office has contacted Arul Kanda on July 23, but no official reply was forthcoming, he added.

“We were only told verbally that there will be no further action.”