PETALING JAYA: 1Malaysia Development Berhad (1MDB) has hit back at Rafizi Ramli's "baseless allegations" regarding delays in the Armed Forces Fund Board's (LTAT) gratuity payments.
1MDB refuted Rafizi's claims that LTAT's subsidiary Perbadanan Perwira Hartanah Malaysia's (PPHM) deal with 1MDB in a relocation project was the reason for delays in gratuity payments to non-pensionable veteran soldiers.
"1MDB confirms that all payments to PPHM under the contract are current and there are no amounts outstanding," it said in a statement on Monday.
The contract is a Pangkalan Udara Kuala Lumpur relocation construction contract, where PPHM took over 1MDB's responsibility of moving eight air bases from Sungai Besi to a location called Bandar Malaysia and upgrading them there.
Rafizi told reporters outside the Dewan Rakyat Monday that he received complaints from retired soldiers saying they have yet to receive compensation.
He suggested that the delay in payment is because 1MDB had not paid PPHM fully because of its debts.
In its statement, 1MDB went on to say that while the company had gone through a challenging period in 2015, “it has consistently met all its financial debt interest and principal payments when due.”
"We accordingly urge YB Rafizi Ramli to stop his politically motivated, desperate and irresponsible attempts to wrongfully implicate 1MDB in such matters."
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