PETALING JAYA: The Malaysian Anti-Corruption Commission (MACC) arrested six people Tuesday (March 20) in a major operation in connection with the Ijok land deal.
A source familiar with the investigation said those arrested include the owners of two "crony" companies, as well as the owners and management of third party consulting firms believed to have received at least RM260mil from the RM1.18bil payment made for the plots of land in Ijok.
At least five companies are being targeted in the operation.
According to the source, the MACC is still looking for another Datuk, who is believed to have left for a neighbouring country before the raids took place.
MACC has since confirmed the arrests.
According to reports, the land in Ijok, Selangor was given to settlers more than 20 years ago through a state programme to upgrade their standard of living.
Two companies – LBCN Development Sdn Bhd and Mujur Zaman Sdn Bhd – were roped in to develop the land for the settlers in 1998, but could not keep to their end of the bargain of building a house for and paying settlers RM180,000 each.
In 2009, then Selangor mentri besar Tan Sri Khalid Ibrahim seized the land from the developers and both companies dragged the state to court but lost the case.
The developers appealed to the Federal Court.
In 2016, however, current state Mentri Besar Datuk Seri Azmin Ali filed a settlement agreement and returned the seized parcel of land to the developers.
The land was then sold to a third-party company for RM1.18bil.
The 981 settlers were then paid the RM180,000 and given a house worth about RM400,000 each by the third-party developer.