1MDB given RM1.1b grant for Sg Besi redevelopment, claims Rafizi

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1MDB received a RM1.0865 billion grant from Putrajaya even though the state-owned company already took out RM2.4 billion in sukuk funds to finance the relocation of the Royal Malaysian Air Force (RMAF) base in Sungai Besi.

PKR vice-president Rafizi Ramli revealed today that this grant was mentioned in the Auditor-General's Report 2014.

"This means that 1MDB had used public funds in the form of a government grant to finance the relocation and upgrading costs of the air bases which should be 1MDB's sole responsibility," he said in a statement.

The relocation of the base and upgrades for several other RMAF bases, estimated to cost RM2.7 billion, were the conditions set for 1MDB in exchange for the Sungai Besi land bank which is now known as Bandar Malaysia.

The conditions of the Sungai Besi land bank are now under the spotlight after 1MDB sold a 60 percent stake in Bandar Malaysia to a consortium comprising Iskandar Waterfront Holdings and the China Railway Engineering Corporation.

Rafizi said the government grant of RM1.0865 billion and the sukuk funds of RM2.4 billion meant that 1MDB was in possession of a total of RM3.4865 billion.

This was despite the relocation and upgrades only cost RM2.7 billion.

No breakdown of figures

Furthermore, he added that 1MDB only paid RM800 million of this amount, thus raising questions over where the remainder of the RM3.4865 billion has gone to.

"The RM3.4865 billion sum involved in this scandal is even more than the RM2.6 billion that went into Prime Minister Najib Abdul Razak's personal accounts.

"He should apologise for arrogantly announcing that 1MDB's financial woes have been resolved without public funds when the Auditor-General's Report confirms that RM1.0865 in public funds was channelled to 1MDB for costs that should have been footed by the company itself," he said.

1MDB has insisted that all the Bandar Malaysia funds are accounted for but did not provide any breakdown on how they were spent.



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