Felda says Najib cheated it into investing RM2.07bil in Indonesian company

  • Nation
  • Tuesday, 09 Apr 2019

Datuk Seri Najib Razak. -Bernamapic

PETALING JAYA: Felda has lodged a police report, claiming that Datuk Seri Najib Razak cheated them into investing US$505mil (RM2.07bil) in Eagle High Plantations TBK (EHP), reported Free Malaysia Today.

Felda director-general Othman Omar made the report at the Dang Wangi police headquarters on Monday (April 8).

In the report, he said the amount paid to acquire a 37% stake in the Indonesian firm was 344% more than its actual value of US$114mil (RM466.9mil).

EHP is part of the Rajawali Group owned by Peter Sondakh, whom Othman claimed was close to Najib.

He also said that Felda took a RM4.8bil loan to finance the deal from GovCo Holdings Bhd (GovCo), a subsidiary of the Finance Ministry, which was then headed by the former prime minister.

"Following the purchase by Felda at RM2.3bil, it suffered losses when the value, as of last month, was just RM555mil," Othman was quoted as saying by the news portal.

He claimed Najib directed Felda in 2015 through its special purpose vehicle FIC Properties Sdn Bhd to invest in EHP, after earlier approaching Felda's FGV Bhd, as well as the Malaysian Plantation Oil Board (MPOB) and Malaysian Rubber Board (MRB).

Othman said the deal, signed by the then-Felda chairman Tan Isa Samad, was one-sided and risky, as EHP had debts of US$547.4mil (RM2.24bil) in 2014 and liabilities of US$676.9mil (RM2.8bil) in 2016.
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