New Crony Scandals for Malaysia’s Najib

In the middle of two gigantic scandals involving hundreds of millions of US dollars, the Malaysian government may be courting another mess, according to critics in Kuala Lumpur.

In mid-September, in an affair that is being widely talked and written about in Malaysia, the government-owned Prasarana Malaysia Bhd. (Infrastructure Malaysia Bhd) awarded a RM11.5 billion contract to extend the capital area’s light rail system from the city center to the port city of Klang on a so-called project-delivery-partner basis to the government-linked Malaysian Resources Corp Bhd, an engineering firm, and George Kent (M) Bhd — despite the fact that it was the third-highest bidder and was in fact nearly RM1.62 billion higher than the UEM consortium, owned by the state investment fund Khazanah and a full RM2 billion higher than the lowest bidder, whose name hasn’t been revealed.

The new major shareholder and group managing director of Malaysian Resources is Mohamad Salim Fateh Din. His son, Mohd Imran, is executive director. Salim is a close friend of Prime Minister Najib Razak’s, Rosmah Mansor. Malaysian Resources has never done a rail project. Its expertise is in construction, not rail.

George Kent (M) Bhd. is headed by Tan Kay Hock, 67, who has bragged that he has been a golfing buddy of Najib’s for 25 years. His wife is said to be close to Rosmah and reportedly accompanies her overseas on shopping trips. In addition to George Kent, he is also chairman and CEO of his umbrella company Johan Holdings Bhd.

George Kent won a similar contract to construct the RM1.1 billion Ampang light rail extension project in 2012 despite the fact that for the previous 76 years, the company was known as a minor-grade manufacturer and supplier of water meters with an annual income of RM 30 million. Tan denied at that point that George Kent won the contract because of his links to the prime minister. The project’s completion was delayed by a year although George Kent officials said it wasn’t their fault.

Malaysia is notorious for this kind of crony capitalism. In 2014, before he was jailed on what many consider spurious sexual abuse charges, opposition leader Anwar Ibrahim calculated that more than 80 percent of the country’s richest businessmen – both Malay and Chinese – owe what Anwar called “a significant portion of their wealth and success to who they know, instead of what they know.” In 2014, The Economist ranked Malaysia third in its world rankings behind Russia and Hong Kong for the extent to which businessmen linked to government handouts owed their fortunes.

New Crony Scandals for Malaysia’s Najib
September 17, 2015 – Asia Sentinel


0 Responses to “New Crony Scandals for Malaysia’s Najib”

  1. Leave a Comment

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

The dawn of A Better Malaysia!
Rafidah Aziz, Hannah Yeoh, Ambiga at TTDI ceramah


Mahathir in Putrajaya ceramah


What happened to 1MDB’s money? – CNBC Video
Nuclear lessons for Malaysia (Part 1) (Part 2)
BN govt is directing attention to distant past and distant future, in order to distract people from present misdeeds and poor governance
Felda - A picture is worth a thousand words
How the 1MDB Scandal Spread Across the World (WSJ)
We cannot afford ridiculously expensive RM55 Billion ECRL!
All that is necessary
for the triumph of evil
is for good men
to do nothing.

- Edmund Burke
When the people
fears their government,
there is TYRANNY;
when the government
fears the people,
there is LIBERTY.

- Thomas Jefferson
Do you hear the people sing?



%d bloggers like this: