Nauseous dung from the cow project

Last week the PM and the agriculture minister claimed that the soft loan of RM250 million given to the National Feedlot Corporation (NFC) controlled by Shahrizat’s family has not been fully disbursed to the company. However, on Tuesday (8 Nov) PKR has released documents and financial statements filed with the Companies Commission of Malaysia which show that the soft loan has already been fully drawn down in two installments: RM130 million upon signing of the agreement and RM120 million on 31 March 2009.

If PKR’s claims are true, it means that both the PM and the agriculture minister had lied to Parliament. Why are they desperately trying to cover up the truth? Are they expecting NFC to default on the loan and losing RM130 million of taxpayers’ money is better than losing RM250 million? Actually, it doesn’t matter whether the loan has been fully disbursed. What the taxpayers want to know is who will be accountable for approving the huge soft loan to a company without a track record.

The agriculture minister, Nor Omar has attempted to stave off the persistent queries by PKR MP’s by saying that money could be in an escrow account without really understanding what it would mean if it were an escrow account.

The financial records referred to by PKR showed RM81.22 million was transferred to another company National Livestock & Meat Corporation Sdn Bhd (NLMC) as a loan. NLMC is supposed to be the “marketing agent” for NFC. Lets get this straight. NFC gets a soft loan of RM250 million from the government and it gives out a loan of RM81.22 million to its “marketing agent”? And the money is supposed to be in an escrow account?

There is a simpler explanation. NLMC is also majority-owned by Shahrizat’s family!

NFC is also very generous in giving discounts to its customers. The documents released by PKR revealed that NFC gave a discount totalling RM2.96 million to Real Food Company Sdn Bhd (RFC), which operates a chain of luxury restaurants including Meatworks. And surprise, surprise. RFC is also controlled by Shahrizat’s family.

If the stink hasn’t made you nauseous yet, it was also alleged that more than RM800,000 was spent on an overseas trip for the NFC directors using company funds and claimed as entertainment allowance. If you are a shareholder of a listed company, you would be concerned if the company pays RM800,000 directors’ fees if the company is not making a profit. But in this case, no profit but the directors have the audacity to spend more than RM800,000 for an overseas trip not for business but for entertainment?


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