MB: Perak SEDC CEO Ordered To Submit Report On RM100m Losses – The Edgedaily.com

IPOH: The Perak state government has ordered State Development Corporation (SEDC) chief executive officer Datuk Shamsudin Hashim to submit a detailed report on the more than RM100 million losses suffered by several subsidiaries.

Menteri Besar Datuk Seri Mohammad Nizar Jamaluddin said the losses suffered were actually a cumulative figure by several subsidiary companies and not by one company as reported last Friday. The report is inaccurate as not one company with a RM50,000 paid-up capital incurring more than RM100 million losses.

“It’s a cumulative figure involving several companies,” he told reporters after a meeting with Perak Penghulus’ Assocation here yesterday.

Asked whether the losses were incurred from foreign investments, Mohammad Nizar said they were mainly from investments besides various other ventures.

“Investments made in and outside the country ended up in losses. Besides that, several housing projects cannot be sold. Hence, several companies accumulated the losses over a long period,” he said.

Mohammad Nizar said the state government would make public the reasons for the huge losses after perusing the report.

Asked whether there was any truth in earlier claims that the losses also stemmed from failed foreign investments by one subsidiary company, Cherry Blossom Sdn Bhd, he said: “It is one of them and I will confirm it later.” — Bernama