Legal Action Against NFC over RM248M Loan

2340
- Advertisement -

The government is taking legal action against the National Feedlot Corporation (NFC) to recover RM248 million the company owes in soft loans.

The written parliamentary reply from the finance ministry was to a question by Akmal Nasrullah Mohd Nasir (PH-Johor Bahru) on the efforts taken to retrieve the money involved in the NFC scandal and whether any legal action had been taken.

The finance ministry said legal action was postponed in 2015 and again in 2016 after instructions from the second finance minister at the time.

“In 2012, the police were instructed to seal the assets and cash held by NFC.

“They have paid RM35.5 million so far. As of June 30, the NFC still owes RM248.9 million,” the ministry said.

The NFC was set up to develop a commercial cattle feedlot farm and set up a beef production system through contract farming.

It was supposed to enhance the country’s food security and reduce the need for beef imports, and had received an RM250 million soft loan from the government.

It was headed by executive chairman Datuk Dr Mohamad Salleh Ismail, the husband of then Wanita Umno chief Tan Sri Shahrizat Abdul Jalil.

Bernama

Salleh was charged with criminal breach of trust amounting to RM49.7 million. He was acquitted by the courts in November 2015.


Earlier report: May 24, Government to Restart NFC Probe