Tabung Haji to sell TRX land in bid to end controversy

KUALA LUMPUR: Lembaga Tabung Haji will be selling the parcel of land it purchased from 1Malaysia Development Berhad (1MDB) and expects to seal a deal within a fortnight.

The pilgrimage fund chairman Datuk Seri Abdul Azeez Abdul Rahim said they were acting on the advice of Prime Minster Datuk Seri Najib Tun Razak to end the controversy that has made headlines the past few days.

"We have had three offers and we will announce the decision next week," he said in a press conference on Saturday.

Abduk Azeez  said all three offers were at least RM188.5mil but they were selling to buyer who would give them at least RM5mil profit.

Azeez said they received the advice, and not instructions, from Najib on Saturday morning.

He said the deal would be sealed in the next two weeks.

He said the board initially wanted to retain the purchase but was aware of the sensitivities surrounding the issue.

On Thursday, Tabung Haji said it was buying a parcel of land in the Tun Razak Exchange (TRX) from 1MDB at a discount of about 3% from the fair value of the real estate assessment by an independent valuation firm.

Tabung Haji defended the decision to purchase the land, saying the pilgrimage fund was forking out RM188.5mil for the 1.6-acre (0.64ha) parcel while its fair value was RM194mil.

Abdul Azeez also denied suggestions that the decision to purchase the land was to bail out 1MDB.