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7th Rangers: Was LCS project planned to help pay off bad debts, Harapan duo ask Najib

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Was LCS project planned to help pay off bad debts, Harapan duo ask Najib
Friday, August 12, 2022


Malaysiakini : Former defence minister Mohamad Sabu and his then deputy Liew Chin Tong questioned whether former premier Najib Abdul Razakā€™s plan from the beginning for the littoral combat ships (LCS) project was to help pay off the bad debts from the failed new generation patrol vessel (NGPV) project.

This comes after Najib attempted to link former prime minister Dr Mahathir Mohamad to Boustead Naval Shipyard Sdn Bhd (BNS) being forced to use part of the funding for the LCS to pay off NGPVā€™s bad debts. ā€œIn 2011, Najib as the sixth prime minister (PM6) approved the procurement of six LCS and awarded the contract to BNS.

ā€œDid PM6 start the LCS project through direct negotiations with the aim of paying off NGPVā€™s bad debt?  ā€œNajibā€™s answer to this question will help us all understand the problems of the LCS project,ā€ Mohamad and Liew said in a statement today.

Over RM6 billion of the ceiling RM9 billion LCS project allocation had been paid to BNS by the Malaysian government. Of the RM6 billion, a total of RM745 million was used for the ā€œbailoutā€ of the NGPV project, they said.

Former prime ministers Najib Abdul Razak and Dr Mahathir Mohamad

They claim using the funds in this manner is a criminal breach of trust that is considered a crime under Section 409 of the Penal Code.

READ MORE: KINIGUIDE | A littoral dive into the navy's RM9b LCS scandal 

ā€œThis RM9.128 billion is to make the LCS project a success, not to ā€˜bailoutā€™ NGPV project. ā€œBasically, what has been done here was to cover the losses of the old agreement that failed with a new agreement,ā€ they said.

ā€œIf we follow Najibā€™s logic (that) NGPVā€™s bad debts were the responsibility of the fourth prime minister (Mahathir), then all of the LCS problems are the responsibility of the sixth prime minister because all the decisions regarding LCS happened while Najib was the prime minister from 2009 to 2018,ā€ they added.

Read it all here, subscription required..........

posted by Major D Swami (Retired) @ 8:31 PM  
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