00:00The Human Resource Development Corporation followed all procedures in the aborted 202.5
00:07million ringgit deal to buy the Manara Iklas Twin Towers in Putrajaya, according to a reply
00:12document to the 2024 Auditor General's report.
00:17According to the document cited by FMT, the company had signed a lease-to-own agreement
00:21rather than a common sales and purchase agreement, which explains the 50% deposit instead of
00:26the usual 10% deposit which critics have questioned.
00:30It said it was under such an arrangement that the company paid a 120 million ringgit deposit
00:35with a balance of 82.5 million ringgit to be paid over 10 years in 120 monthly installments
00:42of 687,500 ringgit each.
00:46The deal was criticized in the AG's report for the unorganized management of deposit
00:50payments, with HRD Corp's investment panel obtaining approval only after the payment
00:55was made.
00:56However, the document revealed that the exercise was presented to the board and approved by
01:00the investment panel.
01:02The deal was discontinued as the vendor could not deliver vacant possession and transfer
01:06the title, leading to the refund of the 120 million ringgit deposit plus 3.2 million ringgit
01:12interest.
01:14Another issue raised was the irregular payment to a legal firm not aligned with the agreement
01:18clauses, but the document clarified that the vendor had changed lawyers and instructed
01:22the payment to be made to the new lawyer.
01:25HRD Corp said this change did not alter the fundamental terms of the agreement.
Comments