Soi Lek queried on MCA asset management

KUALA LUMPUR: Some MCA division chairmen want to know how the party’s assets are being managed under the leadership of party president Datuk Seri Dr Chua Soi Lek, said Wangsa Maju division chairman Datuk Yew Teong Look.

Yew said he and 22 other division chairmen want Dr Chua to give details on the RM107mil in party assets accumulated since he became party president.

“We are very concerned over the party assets,” Yew told a press conference here yesterday.

In Batu Pahat last Sunday, Dr Chua disclosed party assets grew by RM107mil since he became president in March 2010.

He said the party had appointed tax and financial advisers to re-organise its assets to become more tax efficient.

Dr Chua said the advisers had recommended that Star Publications ( M) Bhd shares and Wisma MCA be transferred and registered under the party.

The president was the trustee for Star Publications prior to the transfer.

The transfer, he explained, had enabled the party to save money because the dividends from Star Publications shares and rental from Wisma MCA would be tax free since MCA was a political party and entitled to tax exemption.

Dr Chua said the party saved RM700,000 in tax yearly from Wisma MCA’s rental income, while MCA’s stake in Star Publications had gone up from 41% to 42.4% in the last three years.

He said the party also bought Menara Multi Purpose and registered it under the party, and its rental income was also tax free.

Dr Chua said the party could only sell its assets if it obtained approval from two-thirds of the central committee.