Najib denies provide an initial fund of RM500 million to TIA

Najib: Statements made by MP Sepang that TIA was given an initial fund of RM500 million is not correct.

KUALA LUMPUR: Prime Minister Datuk Seri Najib Tun Razak has denied allegations that the government provided funds totaling RM500 million to the Terengganu Investment Authority (TIA), which was later renamed the 1 Malaysia Development Berhad (1MDB).

"Based on the information submitted by the management 1MDB to the Finance Ministry, the statement made by Sepang (Hanipa) that TIA was given an initial fund of RM500 million is not correct.

"The Federal Government has taken over the TIA of the state government on 25 September 2009 at a price of RM1,000,002.00 and subsequently renamed TIA 1MDB," he said in a written reply in the House of Commons here.

Najib, who is also Finance Minister, said this in response to the questions of members of parliament Sepang (PAS), Hanipa Harapan.

Hanipa in question, Najib asked to state whether the TIA, which was founded in 2008 before converted to 1MDB has been granted an initial fund of RM500 million and if so, what happened to the funds or the capital.