PETALING JAYA: No more government assets were sold to repay debts linked to 1Malaysia Development Bhd (1MDB) following the change in the Federal Government in 2018, the Public Accounts Committee (PAC) was told.
This was stated in a 29-page report released by the PAC on Monday (Oct 3) concerning follow-up actions taken by the Finance Ministry and Bank Negara Malaysia (BNM) following its report on Dec 13, 2021, which confirmed that the land dubbed Lot 41 was sold to facilitate 1MDB’s debt settlement.
ALSO READ: 1MDB trial: Najib’s account considered ‘sensitive’, involved large sums, court told
A Hansard from the PAC meeting which took place on July 27 revealed that Treasury secretary-general Datuk Seri Asri Hamidon noted that the repayments of the 1MDB principal and coupon amounts are transparent after the change in government in 2018.
“All of these are now in the open, or in the Federal Consolidated Fund.
ALSO READ: Govt seeks to forfeit assets of former 1MDB director
"No more selling of government assets in order to pay any coupon related to 1MDB," Asri said in the report.
PAC’s initial report into the sale of Lot 41 last December found that BNM did not plan to purchase it before an offer was made by the Finance Ministry, with the central bank also found to have “overpaid” for the land.
ALSO READ: Banker confirms AmBank paid RM2.83bil to M’sian govt over 1MDB scandal
Proceeds from the sale went towards repaying 1MDB debts.
In the latest report, BNM was reported to have strengthened its procurement policy by widening the scope of its due diligence and internal governance.
ALSO READ: 1MDB trial: Witness says RM2.23bil went into Najib's personal account
PAC was also informed by BNM that due diligence for the purchase of land has been strengthened.
"BNM will get land valuation from at least two valuers and will go through several committees and the decision will not be made by one person alone.
“BNM also confirmed that there was no land purchase substantially after 2017," the report said.
