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Tuesday, August 19, 2008

Anwar caused Penang loss RM9 mil

Former chief minister Tan Sri Dr Koh Tsu Koon said BFSB’s chairman then was Amin Shah, the elder brother of Datuk Arif Shah Omar Shah. But at that time, Arif Shah was not a director or shareholder in the company.

Its Datuk Seri Anwar Ibrahim intervened in a share purchase deal of a state-owned company 10 years ago resulting in the state suffering a loss of RM9mil.

Tan Sri Dr Koh Tsu Koon said Business Focus Sdn Bhd (BFSB) which was owned by the Penang Development Corporation, bought the shares of Penang Shipping Corporation for RM29mil, Dr Koh told a press conference at a hotel in Seberang Jaya yesterday.

BFSB, however could not pay up on time and Anwar, who was deputy prime minister and finance minister at that time, instructed Penang state government to extend the payment period. The company ultimately only paid up RM20mil.

“When the company first defaulted in 1998, we wanted to take action but Anwar intervened. He asked us to give chance because of the economic crisis. “He said the company would be getting contracts from the Government and more businesses, so they would be able to pay.” “

When instructions came from higher up, we renegotiated based on trust because Anwar, as DPM and finance minister, would have had a bigger picture of the company’s potential,” Dr Koh said.

He said BFSB was supposed to have paid up within two years but defaulted in 1998. The company defaulted again in 2003; the state “came down hard” on the company.

“When we took legal action to wind up the company, we had only collected RM20mil,” he said.

1 comment:

Anonymous said...

money is root of evils, no money no talk........

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