PM moves to appease Felda fury - Will it work , I doubt it will work as they know it is their money and no gift from PM

Prime Minister Najib Razak at the National Felda Settlers Day celebration in Putrajaya today. Some 25,000 settlers were present, along with Felda chairman Shahrir Abdul Samad. – The Malaysian Insight pic by Seth Akmal, July 23, 2017.

AMID the array of problems related to Felda and its listed entities, Prime Minister Najib Razak has announced a cash incentive amounting to RM475 million to placate settlers.

At the closing of the three-day National Felda Settlers Day celebration in Putrajaya today, Najib also announced five housing and debt forgiveness incentives.

The cash incentive will see 94,956 settlers receiving RM5,000, payable by next month, to reward their support for the government.

Some 25,000 Felda settlers were present at the event, along with Felda chairman Shahrir Abdul Samad.


The five incentives are:

RM519 million set aside to allow each settler to have up to RM5,000 in debts forgiven if they are participants in Felda's programme to replant unproductive oil palm, with 17,679 settlers who are not part of the programme getting six months, beginning August, to join and apply for debt forgiveness;

A total of 77,934 settlers, who are still paying their Felda Global Ventures Holdings Bhd (FGV) equity loans, will have the balance of their loans disposed of, while 1,626 settlers, who have paid their loans, will get RM1,820 in cash each, with the disposals and cash incentive totalling RM128.1 million;

Interest-free housing loans of up to RM40,000 and approval to construct more than one house per site. A total of 70,506 sites for single-unit homes have also been set aside by Felda and approved by state governments, with the cost of the units' construction to be borne by the settlers;

A special replanting grant by the Malaysian Palm Oil Board, amounting to RM7,500 per hectare and covering 24,280ha, with an allocation of RM166.6 million until 2020; and,

A special fund of RM300 million that will be set up for the period between this year and 2021 to help with replanting operation debts exceeding RM40,000.

All in, the cash incentives and programmes will cost taxpayers RM1.59 billion.

Najib called on Felda settlers to rally behind the ruling Barisan Nasional government.

"Putrajaya will be defended at all cost. Don't believe the lies spread about Felda settlers not supporting the government.

“Look here, there are 25,000 supporters of Felda and the government.

"We held his year's celebration in Putrajaya because it is closely regarded by the national leadership," said Najib on the three-day event, where 50,000 attendees were expected.

He noted the contributions made by the agricultural programme, which was launched by his father, former prime minister Abdul Razak Hussein, in 1956.

"There are one million people whose future changed for the better due to the success of Felda and our struggle, which began 61 years ago.

"My father set up this initiative with these goals: land for the landless, job for the jobless and good land for good people.

"The Felda initiative is close to my heart. It cannot be separated from myself and my family.

“I promise you all, this initiative will continue.”

Felda settlers, who are predominantly ethnic Malays, form an important voting bloc for Umno.

They live in rural constituencies, accounting for 54 parliamentary seats.

Felda is currently mired in controversy, with the most recent Felda-linked scandal allegedly involving former chairman Isa Samad being the purchase of a luxury hotel in Kensington, London, at an inflated price.

Two Felda Investment Corporation Sdn Bhd officers have been questioned by the Malaysian Anti-Corruption Commission (MACC), which has opened investigation papers into the purchase.

Isa resigned from FGV on June 19 after a public row with FGV president and chief executive officer Zakaria Arshad over questionable deals amounting to hundreds of millions.

In March 2015, MACC had questioned an unnamed son of Isa's over the London purchase, it was reported.

The government had closed the case in May that year, saying there was no wrongdoing.

In a statement today, FGV denied any conspiracy in its investigations into Zakaria and three other executives, all of whom are on leave.

It said its "domestic inquiry" would focus on Safitex debt issues, which may involve up to RM50 million in unsettled debts. – July 23, 2017.