Task Force Questions Thomas Role In Accepting Genting S Equanimity Offer

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The Equanimity, which was once owned by controversial businessman Jho Low, was purchased by Genting for US$126 million.PETALING JAYA: The decision to accept Genting Malaysia Bhd’s US$126 million offer for the purchase of the superyacht Equanimity appears to have been unilaterally made by then attorney-general (AG) Tommy Thomas, says a government report.
A special task force that investigated Thomas’ memoir said the ex-AG had made an “immediate acceptance” of Genting chairman Lim Kok Thay’s offer for the superyacht previously owned by fugitive businessman Low Taek Jho, or Jho Low.
It added that this was done without reference to the then legal owner of the superyacht, 1MDB Group and the sovereign fund’s ultimate shareholder, Minister of Finance Incorporated (MOF Inc).
“Neither was reference made to the National Anti-Financial Crime Centre (NFCC), which was a body handling properties seized from financial crimes.
“Significantly, the acceptance of the Genting offer was not made conditional upon approval by the Admiralty Court as this is a judicial sale which needed the endorsement of that court.
“On the basis of what is written, it would appear that the acceptance of the Genting offer of US$126 million was a unilateral decision made by Thomas himself,” the task force said in its report.
It called for the authorities to probe whether Thomas, as the AG, had the authority to accept Genting’s offer without referring the matter to 1MDB and MOF Inc for approval, or the NFCC.
The NFCC, it pointed out, was established to manage the recovery of 1MDB assets.
It also suggested the authorities probe if there was a link between the sale of Equanimity to Genting with the withdrawal of a judicial review application against the finance minister over the cancellation of a tax incentive to the company.
The task force said Genting was seeking to quash the (previous) finance minister’s decision to cancel the tax incentive in a letter dated Dec 17, 2014, and a declaration that the incentive be reinstated.
“The finance minister, through the AG’s Chambers (AGC), had resisted Genting’s application and had prepared an affidavit in opposition.
“However, when the sale of Equanimity to Genting was approved by the courts, the (judicial review) application by Genting was withdrawn.
“(Meanwhile,) the finance minister in a letter dated July 4, 2019, agreed to restore the original decision of the (previous) finance minister, whereby the investment incentive can be claimed against all income of Genting which is stated to be derived from one source.”
The task force said the reinstatement of the tax incentive to Genting would have resulted in a loss of revenue to Putrajaya and a corresponding financial gain to the company. - FMT

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