The 1MDB 'Land Grab' Model

OutSyed The Box

Saturday, January 28, 2023


The 1MDB 'Land Grab' Model


The 1MDB land grab model (curi tanah model really) was very simple. They made the federal government "sell" government land to their crony company for a below market price (RMxx). Crony company then re-sold the undervalued land to third parties at full market valuation (RMyy).

Crony company made buta money RMyy - RMxx = Untung Besar. A very simple land grab model.

Fast forward to 21st century.

There is plenty of land that was transferred from the States to the Federal government (going back to the 1980s, and at 1980s valuations). Plenty of this land has remained undeveloped. Today 40 years later the value of those lands must have multiplied 10 times or more. (For comparison in the early 1980s a double storey terrace house in Bangsar Baru was valued at around RM200,000. Today the same house is worth RM2.5 million). So there is plenty of undervalued land (or actually land with unrealised capital gains) lying around.

The States (or some of them) are asking for such lands to be handed back to them - at the same 1980s valuations. Wow!! Lands with potential capital gains of multiple times what they were in the 1980s.





Wouldnt that be a dainty dish to be set before an MB or CM?

But what shall be the quid pro quo?

What shall be the consideration?

You scratch my back, I will scratch your back.

Satu untuk kau, . . .


And you thought egg shortages and chicken prices were the main items on the menu? There are much larger fish to fry.


By Syed Akbar Ali at January 28, 2023