KUALA LUMPUR: Payments made by Bank Negara Malaysia and Khazanah Nasional to the Ministry of Finance (MoF) were then used to service debt obligations of 1Malaysia Development (1MDB), confirms Lim Guan Eng.
The Finance Minister issued the statement on Thursday to confirm reports published by The Wall Street Journal and Reuters on the payments.
“As highlighted via the press release issued by MOF on May 22, 2018, MOF has made payments on behalf of 1MDB amounting RM6.975bil due to 1MDB’s inability to pay.
“This amount includes the payment made to IPIC as part of the RM5.05bil settlement agreement,” said Lim.
Lim said the sources for the payments made to IPIC/Aabar and on behalf of 1MDB included:
1) Redemption of Redeemable Cumulative Convertible Preference Shares (RCCPS) by Khazanah Nasional Bhd amounting to RM1.199bil; and
2) Sale of Lot 41, Seksyen 51 Bandaraya Kuala Lumpur to Bank Negara Malaysia amounting to RM2.066bil.
On Dec 14, 2017, the MOF had through its indirectly wholly owned company, Hartanah Mampan Sdn Bhd (HMSB) entered into a sale and purchase agreement (SPA) with Bank Negara to sell a piece of land strategically located adjacent to Sasana Kijang.
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