4 Malaysia central bank officials put on leave pending probe into RM2 billion land purchase

The four Bank Negara Malaysia officials were put on leave as the authorities including the Malaysian Anti-Corruption Commission investigate further into how the sale was concluded.
The four Bank Negara Malaysia officials were put on leave as the authorities including the Malaysian Anti-Corruption Commission investigate further into how the sale was concluded.PHOTO: GOOGLE MAPS

KUALA LUMPUR (THE STAR/ASIA NEWS NETWORK) - Four Bank Negara Malaysia officials have been told to go on leave pending investigations into the January purchase of land valued at RM2 billion (S$660 million).

The four were put on leave as the authorities including the Malaysian Anti-Corruption Commission investigate further into how the sale was concluded.

In June this year, former Bank Negara Malaysia governor Tan Sri Muhammad Ibrahim resigned from his post over the controversy.

The controversy over the sale of land came about because the proceeds were alleged to have been used to settle some of the liabilities of debt-laden 1Malaysia Development Bhd (1MDB).

The issues were the pricing and speed at which the transaction was completed. The RM2 billion price tag is what the land would have cost if the purchase was for commercial reasons.

However, in Bank Negara Malaysia's case, the purchase was not for commercial reasons. Hence, the contention was that the price should have been lower.

Also, the money was transferred to the federal government before the full transaction was completed.