Nasrudin: Insider trading may be behind govt resuming project
KUALA LUMPUR: Pas has claimed that insider trading may be behind the government’s move to proceed with the East Coast Rail Line (ECRL).
Its information chief, Nasrudin Hassan, said the move to proceed with the project had courted controversy after 21 million share units of T7 Global Bhd was bought by Berjaya Corp founder and executive chairman Tan Sri Vincent Tan on May 17.
The tycoon has emerged as a substan- tial shareholder of T7 Global, with the acquisition of 5.04 per cent stake in the company.
In March, T7 Global signed a new memorandum of understanding with Terengganu stateowned company Eastern Pacific Industrial Corporation Bhd and CMC Engineering Sdn Bhd to form a consortium to undertake the construction of the ECRL project’s Terengganu parcel.
Nasarudin said despite only 15 per cent of the initial work in the RM66 billion project being completed, it had continued.
Yesterday, he said, the government should have undertaken a review of the RM20 billion payment to China Communications Construction Company before any decision was made on the project.
“Even though the government is seen as being prudent in managing its fiscal policy by regularly harping on the nation’s debt sentiment and tightening its purse strings. It has created new opportunities in the capital market when foreign investors withdrew their funds.
“The question is whether there is a possibility of insider trading. Certain quarters appeared to have knowledge of the government’s policy and profited. Now, who is raking in the profit? Welcome ‘kleptocronisme’?,” he said.
Nasarudin said it was public knowledge that Tan was a close friend of Prime Minister Tun Dr Mahathir Mohamad.
He said the two had been criticised in relation to a gambling licence, which was said to have been issued in 2003.
He said previously, another corporate leader, Tan Sri Ting Pek Khiing, linked with Dr Mahathir and Council of Eminent Persons chairman Tun Daim Zainuddin had returned to the public scene two weeks after Pakatan Harapan won the 14th General Election to kick-off the RM30 billion Langkawi City project.
“Pakatan Harapan de facto leader Datuk Seri Anwar Ibrahim is more knowledgeable about this matter, especially projects such as the Bakun Dam where he had lodged a report in 1999.”
He said the government was not firm in its decision regarding infrastructure projects, such as the high speed rail and MRT3.