The finance ministry says it will allocate RM40 million to a trust fund operated by the Tunku Abdul Rahman Alumni Association (TAA) once it is approved by the authorities.
In a statement, Finance Minister Lim Guan Eng said the trust fund is expected to be approved by the end of the month.
Putrajaya had earlier promised an allocation of at least RM30 million per year for the trust fund for the benefit of Tunku Abdul Rahman University College (TAR UC) and its students.
“For this year, RM40 million will be allocated. Apart from TAA, the proposed trustees will comprise one representative each from TAR UC students and the finance ministry.
“This RM40 million allocation will rebut once and for all lies by irresponsible elements that such an allocation is illegal,” Lim said, adding that the government’s critics have yet to explain their claims.
He added that TAA should be given the chance to show how it can deliver on the utilisation of funds for the benefit of TAR UC and the welfare of its students.
Previously, Lim denied that the money in the trust fund could only be used if MCA relinquished ownership of the college.
He said the money could only be channelled directly to TAR UC if MCA gave up ownership and control of the administration.
Lim has been engaged in a war of words with MCA leaders over the matching grant for TAR UC. He argues that the educational institution should not be controlled by political parties and politicians. – FMT