More than meets the eye

Apparently, some parties are trumpeting the story about Adviser to 1MDB Tan Sri Dr. Abdul Samad Alias quitting after six months for “Not getting any briefing” and inadvertently, it is providing the additional perception salt to the wound.

The Star story:

Published: Tuesday September 8, 2015 MYT 8:28:00 AM
Updated: Tuesday September 8, 2015 MYT 9:38:18 AM

Nazir Razak raises concern over 1MDB adviser’s resignation

CIMB Chairman Dato’ Seri Nazir Razak

BY RAHMAH GHAZALI

PETALING JAYA: The resignation of 1Malaysia Development Berhad (1MDB) adviser Tan Sri Dr Abdul Samad Alias has raised the concern of Datuk Seri Nazir Razak (pic).

“Respected, honest, professional appointed by the Govt and welcomed by the Chairman with fanfare.

“But denied access to information by management. If this is true and tolerated, what message does it send to other GLC’s/agencies?” asked the CIMB Group chairman in his Instagram account, Tuesday.

Dr Abdul Samad had reportedly said he resigned as the advisory board member of 1MDB after more than six months into the job.

Addressing the International Conference on Governance, Risk and Control on Monday, he said he quit his position because months of repeated requests for a briefing on 1MDB affairs were never entertained.

“I was appointed as an advisory panel member for 1MDB on January 2015,” he was quoted as saying by a news portal.

He then requested for a briefing on 1MDB’s affairs, particularly on its profits and losses, which he claimed he never was given the access to.

He said he tendered his resignation on July 29.

1MDB, in a statement Monday, said it fully respected Dr Abdul Samad’s decision.

“Whilst we very much regret his departure, we fully respect his decision and wish him all the best in his future endeavours,” the statement said.

It added that the 1MDB board of directors and shareholders would remain focused on implementation of its rationalisation plan.

**************

Dr. Samad said that he joined 1MDB as Adviser to the BoD on 29 January 2015. Most likely he was appointed by the decision at PMO level and it is believed that he was brought in to opine on strategic review and rationalisation plan.

In the conference yesterday, he also claimed that he asked for the briefing on information pertaining the financial position of 1MDB; balance sheet, profit and loss and the works.

We are not sure the request for the briefing was made to 1MDB BoD, Management, external auditors or those who appointed him as the Adviser.

However, what is certain Dr. Samad was both sitting on the Investment Advisory Panel to TH and 1MDB when TRX and TH was in their final leg of the discussion and negotiation for the acquisition of the 67,954 sq. ft. parcel earmarked for residential with the Tun Razak Exchange development.

It also believed that Dr. Samad was the Chairman of the BoD of Tadmax Resources Bhd. where 1MDB acquired the parcels in Pulau Indah, Selangor and  Air Itam land in Penang island.

The Oldest English Daily story:

Tadmax land deal with 1MDB settled, report confirms

Thursday July 2, 2015
10:03 AM GMT+8

KUALA LUMPUR, July 2 ― Tadmax Resources Bhd has settled the sale of a parcel of land in Pulau Indah to a unit of state-owned 1Malaysia Development Berhad (1MDB).

Tadmax completed the deal with Ivory Merge Sdn Bhd ― a wholly owned subsidiary of 1MDB ― after having secured requisite approval for land partitioning and the issuance of the separate document title of the land on June 26, according to The Edge today.

“The parties have mutually agreed that the proposed disposal is duly completed on June 30, 2015,” Tadmax was cited as saying in a filing with Bursa Malaysia yesterday.

The announcement also stated that payment of the balance of the purchase consideration will be made by Ivory Merge once it completes verification of the land, final accounts and completion documents by the end of July at the latest.

Debt-riddled 1MDB announced on June 30 that it has received “significant” proposals to buy two large parcels of land in Selangor and Penang even as critics question the state-owned investment’s purchase of them.

In a statement, 1MDB chief executive Arul Kanda Kandasamy said the Cabinet had been informed of the company’s intention to “monetise” its land in Pulau Indah, Selangor and Air Itam, Penang through joint ventures or outright sales on February 15 this year.

“I am pleased to update that we have received significant expressions of interest in both land parcels.

“Accordingly, 1MDB intends to appoint an independent real estate consultant to assist in reviewing the various proposals,” he said Tuesday.

The Edge, however, queried Arul Kanda’s announcement yesterday, saying the status of the 310-acre Pulau Indah land remained unclear and that there has not been any news of 1MDB finalising the RM294.378 million price to buy the plot from Tadmax Resources Bhd.

1MDB’s announcement came after opposition MP Tony Pua questioned the real estate deals, in particular the 310-acre land in Pulau Indah the company bought for RM282 million from Tadmax Resources Bhd, after securing a US$150-million (RM540 million) loan from Export Import (EXIM) Bank.

The DAP MP has suggested that the transaction was a front to bail out troubled government-linked companies, pointing out that Tadmax was formerly known as Wijaya Baru Global Bhd before November 2013, and that Wijaya was known for its involvement in the RM12.5 billion Port Klang Free Zone (PKFZ) scandal.

– See more at: http://www.themalaymailonline.com/malaysia/article/tadmax-land-deal-with-1mdb-settled-report-confirms#sthash.jbX2xIoT.dpuf

*****************

Probably, there could be some degree of issues which suggest the conflict of interest that have arisen and it is the right move made by Dr. Samad to withdraw. After all, Dr. Samad is someone very revered in the accounting profession, having served both as President of MICPA and MIA.

Highly probable also, CIMB Chairman Dato’ Seri Nazir Razak should analyse the facts, history and do a bit of homework first before exercising his skill of the gift of the gab. Otherwise, it makes him lesser of a professional and closer to become a politician.

*Updated 1530hrs

Press statement by 1MDB pertaining to the resignation of Dr. Samad

Media statement by 1Malaysia Development Berhad

Issued on 8 September 2015
For immediate publication

Further clarification on resignation of Tan Sri Datuk Dr. Abdul Samad Haji Alias from 1MDB Board of Advisors

Further to the announcement issued yesterday by 1MDB on this matter, we regret to note that today, third parties such as Datuk Seri Nazir Razak, who have no direct knowledge of the facts, are issuing speculative opinions on certain statements made on 7 September 2015 by Tan Sri Samad Alias, a former member of the 1MDB Board of Advisors.

1MDB can confirm that our President & Group Executive Director, Arul Kanda, personally met Tan Sri Samad in January and March 2015 to discuss the company’s affairs. Amongst other information, Arul Kanda shared with Tan Sri Samad details of the 1MDB strategic review and rationalisation plan. This included a slide presentation which showed the extent of future debt and interest obligations of the company, and a discussion on proposals to address the key issues facing the company.

As for access to the 1MDB audited financials, these are publicly available documents. 1MDB would most definitely have been able to share these with Tan Sri Samad had such a request been made, or indeed repeatedly made, as claimed by Tan Sri Samad. Tan Sri Samad has the contact details of various 1MDB Board members, including the mobile phone number of Mr. Arul Kanda. However, 1MDB did not receive any “repeated requests” for information as claimed by Tan Sri Samad.

It is, however, important to 1MDB that we properly address the concerns raised by Tan Sri Samad. In addition to regularly issuing public updates on the progress of the 1MDB rationalisation plan, the 1MDB Board of Directors has today sent a letter to Tan Sri Samad to seek a meeting with him to discuss and clarify any outstanding concerns. We further reiterate our appreciation to Tan Sri Samad for his earlier input and support of the company.

Published in: on September 8, 2015 at 11:00  Comments (9)  

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9 CommentsLeave a comment

  1. Why would someone Nazir described as “honest, respected and professional” get involved with the crooked MP from Bintulu, Dato Tiong and former UMNO.Selangor Treasurer Dato Faizal Abdullah.

    Tadmax was formerly a company owned by Tiong that was involved in the PKFZ scandal.

    Nazir has a serious shortfall in character judgement. For that matter, so do you Bigdog.

    Your first employer is not as halaalan toyyiba as you think. I guess as a young aspiring Malay accounrant, you would not have much choice but to work with Samad Alias.

    He is far from meeting any Jewish kosher requirement for getting himself involved with such characters like Tiong and Faizal.

    More so, you have revealed that innocent looking TS Samad Alias seemed to wash his hands of problems after 1MDB came to resolve the logjam of PKFZ.

    It only proves he is as shrewd as a Jew. Shalom!

    • TQVM

      Hehehe. You hv blown a bit of my cover.

      Its alright.

      The story here is about the Consultant-fee banker turning into a Clown, not Dr. Samad.

  2. Very strange that 1MDB denied that TS Samad “had such a request been made, or indeed repeatedly made” for a briefing by the Management of 1MDB.

    It now begs the question: was Samad or 1MDB Management lying, or was the request lost in translation or interpretation of intent?

    Agree with DS Nazir that Samad was “Respected, honest, professional appointed by the Govt and welcomed by the Chairman with fanfare. But denied access to information by management .. what message does it send to other GLC’s/agencies?” Irrespective of whatever motive in Nazir’s saying those and asking that question – he was less than brotherly when, together with his other siblings, issued a signed statement denying the PMO statement attributing to DS Najib’s step son suddenly becoming rich to “a legacy of wealth”.

    Obviously Samad wanted more information than appeared in the audited accounts – he is an accountant himself and at one time led the Malaysian Institute of Accountants. Could it be connected with what the then PAC Chairman DS Nur Jazlan, also an accountant, saying to theStar (or was it M’Kini) “the lower end of the standard” of 1MDB auditing and that the audit firm was changed twice in a span of 5 years? If so, sure the Management would want to avoid being grilled with endless penetrating questions at a “briefing”.

    Note that the new 1MDB CEO Arul Kanda selected his words carefully when saying in the denial statement that he had met Samad to discuss “strategic review and rationalisation plan.” He didn’t even need to do that as that’s about the only thing he was prepared to reveal about 1MDB anywhere so far. Surely Samad would want to know how the RM42 billion debt came about – that and such other info on how 1MDB was managed well before Arul’s time – those that the 1MDB Management would shiver to face at a briefing.

  3. Obviously this kind of information that Nazir took time to highlight would make even the average UMNO member realize clearly the blame on Najib for the 1MDB scandal. Should to day’s Supreme Council meeting decide to sack Muhyiddin, Shafie Afdal and Mukhriz, from their positions in the party, or eve their membership, the anti-Najib sentiment will increase greatly.

    Ahmad Zahid had said not to speculate on the sacking and that there would be no sacking. UMNO Youth Chief Khairy also said so and Zahid was quoted as saying those in response to Khairy making the statement. But the fact that UMNO people themselves – let alone non-UMNO people – keep talking about that shows the kind of thinking people have on UMNO’s top leadership, particularly after dropping of Muhyiddin and Shafie from the Cabinet.

    Also the kind of reaction and words used by some of them since that time.

    The fact that the Ketua2 Bahagian were said to be communicating via WhatsApp regarding the last cabinet reshuffle has made people wonder if the same has been and is still happening among the 30 Supreme Council members regarding the three – Muhyiddin, Shafie and Mukriz. But what is clear is that if they are punished at to day’s meeting, the split in UMNO will be very serious. And PRU14 would be as good as lost.

  4. Tadmax website revaled Dato Faizal Abdullah as Executive Deputy Chairman of the Board of Director.

    The former company, WIjaya Baru was formerly one of the vehicle used by Tiong in the political fund raising exercise for Pak Lah which involved over inflating land meant for PKFZ.

    This was done after the management was changed from the Arab group to local group.

    It is obvious that Tadmax is the new front for Tiong to recoup his lost value arising from the scandal. 1MDB could be helping or Najib just wants to solve this problem so that PKFZ could be developed accordingly.

    TS Dr Samad and Nazir cannot not know of this. Tun M should know since he was made witness in court.

    If Tun M is so adamant against political funding, he should take up this issue.

    Maybe he fear UMNO members asking him as to what happen to fleet group assets now in the names of other proxy and some lost to Khazanah.

    • Boleh ke sesiapa terangkan pasal apa ada Board of Directors dan Board of Advisers di 1MDB?

      Dan apa fungsi nya tiap satu tuh? Dibayar gaji ke elauns ke? Banyak ke tak?

      Kalau “Executive Deputy Chairman ” tuh ada fungsi eksekutif – di bayar gaji besar, gamak nya.

  5. GLC selalau tukar ketuanya. Macam jawatan kerajaan. Dua atau tiga tahun cukuplah. Lain orang ada mahu jawatan. Kalau ikut sector swatar CEO itu duduk lama dalam jawatan CEO cathay Pacific da lebah 20 menjawat jawatan itu. Kira sekarang. Dalam sejarah MAS da ada berapa CEO atau General Manager. Jawatan di permainkan sebagai kerusi music.

  6. […] Nazir isn’t a novice at the faux pax game against 1MDB. […]

  7. […] of them to explain themselves. Not just this but other stories about them before this. Especially seemingly habitual Nazir, who was quick to ‘bastardise’ (faux pas) with his tendency of send-button-happy […]


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