MACC probing third FIC hotel

KUALA LUMPUR (Aug 18): The Malaysian Anti-Corruption Commission (MACC) is now probing a third hotel deal made by a Felda unit back in 2012, The New Straits Times (NST) reported today.

The graft busters are investigating the purchase of a three-star hotel in Sabah by Felda Investment Corp (FIC) in addition to the ongoing probes on similar hotel deals in London and Sarawak.

Citing sources, the NST reported that the latest probe is meant to establish if the purchase was was conducted in the same manner as the other two deals involving Park City Grand Plaza in Kensington, London, and Merdeka Palace Hotel & Suites in Kuching, Sarawak.

It is alleged that the London and Kuching hotels were purchased at prices above the market rates.

"When investigators cracked open the London hotel purchase, information surfaced about Merdeka Palace and that is why we began investigations into that deal.

"It is the same with the Grand Borneo Hotel [the hotel in Sabah] deal," a source told the daily.

FIC bought the Grand Borneo Hotel in 2012 for RM86.4 million.

Former Felda chairman Tan Sri Mohd Isa Abdul Samad was remanded for five days from Wednesday to assist the MACC in its probe into the purchase of the London hotel by FIC between 2014 and 2015.

Mohd Isa was arrested on Tuesday after he had gone to anti-graft body’s HQ to give a statement.

The MACC also conducted a search at Mohd Isa’s office at the Land Public Transport Commission (SPAD) relation to the graft-buster’s investigations into cases related to FIC.

Berita Harian also reported that MACC has frozen Mohd Isa's bank accounts as part of its probe.

The MACC has so far called up 29 witnesses for questioning over the hotel deals.

Five people including a former chief executive officer of FIC had also been detained for questioning.