The Selangor investment arm Permodalan Negeri Selangor Berhad (PNSB) will seek the advice of Bank Negara on the property scandal involving former Menteri Besar Dr Mohd Khir Toyo.

In a statement issued today, Nik Nazmi Nik Ahmad, political secretary to the current menteri besar, said the Selangor government has been advised that the property transaction may have breached the Exchange Control Regulations and Anti-Money Laundering Act.

al marwa tower part of the abraj al bait towers complex mekah mecca 250209 03 "PNSB has sought the advice of Bank Negara to avoid being accused of abetting a violation under these laws.

"We also urge the former menteri besar who represented PNSB in the purchase of the Saudi apartments and the individual to come forward to clarify the matter in the interest of the state," read the statement.

On Feb 25, Menteri Besar Abdul Khalid Ibrahim revealed that the purchase of apartment units in Saudi Arabia was riddled with discrepancies.

Former MB denies any wrongdoing

According to him, PNSB had authorised the purchase of five property units worth RM8.5 million but instead the body had purchased 12 units, seven more than what was approved and cost PNSB RM 25.6 million.

khir toyo interview 121207 serious All the properties were purchased under Mohd Khir's name. The former menteri besar however claimed that it was done so due to legal requirements of the country.

Records then showed that the seven units bought allegedly without any authorisation were sold to an individual for RM17.3 million.

The individual’s name has not been revealed and speculation is rife that the individual has close relations with Mohd Khir.

The former MB denied that the individual was related to him. He said although he knows the person, it would be apt not to disclose his name due to legal reasons but maintained that there was nothing illegal about the transactions.

The on-going allegations against Mohd Khir has been perceived by many as a retaliatory move by Abdul Khalid after the former had accused the latter of abusing his power and lodged a complaint with the Malaysian Anti-Corruption Commission.