Tee Yong: S’gor used RM1b to bail out Talam

MCA today released documents which allegedly proved that Selangor had used RM1 billion to bail out ailing contruction firm Talam Corporation Bhd through complicated accounting.
Making good his threat to expose a recent scandal in Selangor, MCA central committee member Chua Tee Yong said the Pakatan Rakyat administration had not be forthcoming in debt recovery exercise involving Talam.
He said that while the state had pledged to collect all debts which Talam owed state companies or agencies, but the facts showed that the state paid more than it should for Talam’s assets.
“We have been taken for a ride,” he said during a press conference at the party headquarters today.
Referring to Talam’s 2010 financial statements, Chua said that the state had paid RM667 million to Talam for properties in the debt recovery exercise, which was RM284 million more than the debts owed.
Coupled with the RM392 million state allocation obtained through a supplementary budget in 2009 to facilitate the debt recovery exercise, the total figure exceeds more than RM1 billion.
“Before the deal with Pakatan Rakyat Selangor government, Talam corporation was still under the PN17 (status which) means that it is not financially in good shape and can be delisted to the detriment of the shareholders.
“After the deal, Talam is no longer under PN17.
“This is a clear cut case of bailout whereby the Pakatan government used the rakyat’s money to help a listed company by buying a lot of its assets,” he said.

tunku : the selangor government said proudly that they have collected all Talam's debt but instead they had over paid them. how can a state government can do such blunder? can the public rely on this government to rule the state ? they will ruin the state if they are given more time to rule it.