Malaysia to probe US$2 billion in payments made to Chinese pipeline firm under ousted ruler Najib Razak
Finance minister says the ex-leader’s government had paid 88 per cent of the total value of two pipeline projects awarded to China Petroleum Pipeline Bureau, although they are less than 15 per cent complete
Malaysia’s finance minister on Tuesday announced plans to report to the anti-graft agency upfront payments of billions of ringgit the previous administration made to a Chinese firm for two pipeline projects that have barely begun.
Since taking office two weeks ago, Lim Guan Eng has been driving a campaign to expose financial scandals in the administration of former prime minister Najib Razak, unseated in a stunning election defeat last month.
Lim said Najib’s government had paid 8.25 billion ringgit (US$2 billion) or 88 per cent of the total value of two pipeline projects awarded to China Petroleum Pipeline Bureau (CCPB), although they are less than 15 per cent complete.
Watch: Malaysian finance minister pleads for unity
“We have discovered that the payment schedules for the above contracts are based almost entirely on timeline milestones, and not on progressive work completion milestones,” Lim said in a statement.