KL Vertical City project: Poor management by FIC

PETALING JAYA: Felda Investment Corp (FIC) failed to take urgent action when a large portion of Felda land in Jalan Semarak was sold without the company’s knowledge, the Felda White paper found.

In fact, Felda’s board of directors were only notified about the transaction eight months after the deal was done, despite the FIC having found out about the sale much earlier.

According to the document, the board of directors of FIC had agreed, on January 16, 2014, to appoint a property development company (Company F) as the main developer of the Kuala Lumpur Vertical City project.

This was despite FIC having no claim on the land, and the FIC not having been appointed by Felda to handle the project.

The FIC was only officially appointed by Felda seven months later on September 2, 2014. The KL Vertical City was a mixed development project situated on 24 lots of Felda land, and was to be implemented in stages over 10 years from the date of the Development Order (DO).