1MDB to transfer ownership of 4 properties to MoF Inc

The cost of insuring Malaysia

KUALA LUMPUR: The Minister of Finance Incorporated (MoF Inc) will implement the various recommendations contained in the Public Accounts Committee report on 1Malaysia Development Bhd (1MDB) which include the transfer of four properties and dissolution of the board of advisors.

The Finance Ministry (MoF) said in a statement on Wednesday the recommendations included the transfer of ownership of Bandar Malaysia Sdn Bhd, TRX City Sdn Bhd, Air Itam lands and Pulau Indah land to MoF Inc.

It also said another recommendation which would be implemented was the dissolution of the 1MDB board of advisors. MoF Inc is the sole owner of 1MDB. 

MoF added that Article 117 would be removed and all references would be changed from “Prime Minister” to “Minister of Finance” in the 1MDB Memorandum and Articles of Association.

“In line with the governance changes and asset transfers, MoF Inc, hereby confirms its acceptance of the resignation of the 1MDB board of directors, with the effective date of  May 31, 2016. MoF Inc., will appoint new board members in due course, to reflect the limited business profile of 1MDB,” it said.

As for Arul Kanda, MoF said he will stay on as 1MDB president until further notice. 

MoF said Arul would continue to focus on implementing the rationalisation plan, which will include resolution of the recent contractual dispute with Abu Dhabi’s International Petroleum Investment Company (IPIC).