PUTRAJAYA: Prime Minister Datuk Seri Najib Razak has hit out at one of his predecessors for the problems faced by national carrier Malaysia Airlines Bhd (MAB).
Najib said the history of the MAB was fraught with bad decisions made by the previous leader.
“We have gone through a difficult period. It was a nightmare that was inflicted upon MAB due to bad decisions by one of my predecessors.
“I will not go down the same road. I will make it right and ensure that MAB will become one of the leading airlines in the future,” he said at the launch of the Negaraku livery on MAB's B737-800 aircraft, today.
However, the prime minister did not name the leader in question.
It is believed that Najib was referring to Tun Dr Mahathir Mohamad, who had previously made controversial decisions regarding MAB involving entrepreneur Tan Sri Tajudin Ramli in 1994.
Tajudin was reported to have purchased a controlling stake of 29 per cent in MAB in 1994 from the central bank, paying nearly twice the market price for the carrier.
Tajudin reportedly said that he only agreed to buy the stake for RM1.8 billion because Dr Mahathir, who was then prime minister, and former finance minister Tun Daim Zainuddin, had assured Tajudin he would be absolved of all liabilities if the job of running the airline became too onerous.
In 2000, the government bought back MAS shares at RM8 a share, a reported 117 per cent above the market price.
Tajudin was quoted as saying that he was taking legal action because the government allegedly reneged on an agreement to protect him from losses and liabilities.
Dr Mahathir later denied allegations that he had persuaded Tajudin to buy the airline to help bail out the central bank.