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-------- Original Message --------
Subject: [sangkancil] [BUNGARAYA] Sothinathan: Explain MAIKA scandal
role or withdraw as candidate (fwd)
Date: Wed, 7 Jun 2000 18:41:34 +0800 (MYT)
From: "M.G.G. Pillai" <[EMAIL PROTECTED]>
To: Sang Kancil <[EMAIL PROTECTED]>
CC: SK <[EMAIL PROTECTED]>
---------- Forwarded message ----------
Date: Wed, 07 Jun 2000 12:02:14 +0800
From: DAP MALAYSIA <[EMAIL PROTECTED]>
Reply-To: [EMAIL PROTECTED]
To: [EMAIL PROTECTED]
Subject: [BUNGARAYA] Sothinathan: Explain MAIKA scandal role or withdraw
as candidate
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Media Statement by DAP National Chairman Lim Kit Siang in Petaling Jaya
on
Wednesday, 7th June 2000:
Abdullah Badawi should direct Sothinathan to give a full and frank
account
of his role in the RM120 million MAIKA Telekom shares hijacking scandal
or
withdraw him as the Barisan Nasional candidate for Teluk Kemang
by-election
================================================
I am surprised that my query on Sunday during my visit to Teluk Kemang
to campaign for the Barisan Alternative candidate Ruslan Kasim asking
the Barisan Nasional candidate S. Sothinathan to explain his role and to
apologise for his involvement in the RM120 million MAIKA Telekom shares
hijacking scandal sparked so much emotions among MIC leaders.
The first to lose his cool was the MIC President and Works Minister,
Datuk Seri S. Samy Vellu who described me as a "dead politician" who
has no right to talk about the plight of the Malaysian Indians because I
was defeated in Penang in last year's general election and who even went
to the extent of fabricating the falsehood that I had opposed the
allocation of RM100 million special fund to poor Indians during the
height of the MAIKA Telekom shares hijacking scandal ten years ago.
Sin Chew Jit Poh today reported that Samy Vellu was very angry when he
was asked about Sothinathan's involvement in the MAIKA Telekom shares
hijacking scandal, challenging me to lodge a report with the
Anti-Corruption Agency (ACA).
Sothinathan himself was no less emotional than Samy Vellu, openly
calling on me to "shut up". According to Sin Chew Jit Poh today, he
denied that he was involved in the 1990 MAIKA Holdings "affair",
claiming that my allegation that he was director of the three companies
which had hijacked the nine million Telekom shares specially allocated
to MAIKA was baseless.
May be Sothinathan did not know that Samy Vellu had already admitted on
his behalf that Sothinathan was the director of Personal Computers Sdn.
Bhd. and SB Management Services Sdn. Bhd. (a RM2 shell company), two of
the three companies which hijacked six million out of nine million
shares specially allocated to MAIKA Holdings for the socio-economic
upliftment of the Indian community.
How can Sothinathan continue to deny his involvement in the two
companies when Samy Vellu had publicly admitted them, although the MIC
President denied that there was any "hijacking scandal", claiming
"Sothinathan has donated all the money to MIED, what else does he (Lim)
want."
Sothinathan should feel very proud and thankful that I am giving him the
opportunity to tell the Teluk Kemang voters of what he had done for
MAIKA and the Indian community ten years ago, instead of trying to hide
the whole episode unless he now agrees that his involvement in the MAIKA
Telekom shares episode was something disreputable and dishonourable.
The Deputy Prime Minister, Datuk Seri Abdullah Badawi, who is heading
the Barisan Nasional by-election campaign in Teluk Kemang, is also the
Chairman of the Cabinet Committee on Good Governance.
Abdullah should direct Sothinathan to give a full and frank account of
his role in the RM120 million MAIKA Telekom shares hijacking scandal in
keeping with the principles of good governance or withdraw him as the
Barisan Nasional candidate for Teluk Kemang by-election.
On 30th June 1992, I wrote to the Prime Minister, Datuk Seri Dr.
Mahathir Mohamad on the RM120 million MAIKA Telekoms shares hijacking
scandal, where I highlighted the most salient points of the scandal,
which were as follows:
(a) The Minister of Finance, Datuk Seri Anwar Ibrahim told Parliament
on 6th May 1992 that the allocation of nine million Telekom shares to
MAIKA Holdings was withdrawn after the MAIKA management had informed the
Finance Ministry that it was not willing to take up the nine million
shares because of financial constraints.
(b) The Deputy Minister of Finance Ghani Othman told Parliament on 12th
May 1992 that the Finance Ministry diverted the nine million Telekom
shares to three companies proposed by MAIKA Holdings, namely Advanced
Personal Computers Sdn. Bhd., S. B. Management Sdn. Bhd. and Clearway
Sdn. Bhd.
Events proved both statements by Anwar and Ghani Othman, which were
based on Treasury minutes in connection with the allocation in
September/October 1990, were untrue, that MAIKA management never
rejected the offer of nine million Telekom shares and never recommended
the three companies to the Finance Ministry to receive the nine million
shares - and that they were the work of one man, the MIC President, Samy
Vellu.
At that time, the MAIKA Board of Directors and the then Managing
Director of MAIKA, Tan Sri Rama Iyer, p[ublicly denied that MAIKA had
rejected the allocation of 10 million Telekom shares at RM5 per share,
and that in fact, MAIKA was "able and willing" to take up all the 10
million Telekom sharers because of the full RM50 million loan facility
from the Arab Malaysian Merchant Banking Bhd.
The MAIKA Board of Management also denied that the Finance Ministry
diverted the nine million Telekom shares to the three companies on the
recommendation of MAIKA, as MAIKA never knew about the existence of
these three companies.
This is what Sothinathan should explain, how he came into the picture
and the role he played in the RM120 million MAIKA Telekom shares
hijacking scandal where the 66,000 MAIKA shareholders and the Indian
community lost over RM70 million as a result of the diversion of the
special allocation of nine million Telekom shares from MAIKA to the
three companies.
Sothinathan should not run away from the issue of his role in the RM120
million MAIKA Telekom shares hijacking scandal and give a full and
satisfactory statement on the matter or he should withdraw as the
Barisan Nasional candidate in Teluk Kemang.
- Lim Kit Siang -
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