THE Malaysian Anti-Corruption Commission (MACC) is investigating the purchase of a hotel in Kuching by the troubled Felda Investment Corporation (FIC).

FIC is believed to have bought the four-star hotel at an inflated price, with a source saying the probe into the purchase was launched following MACC’s investigation into FIC’s purchase of a hotel in London between 2013 and 2015.

The commission believes that the London hotel, bought for £60 million (RM334 million), had been overpaid by at least £20 million.

“Preliminary investigations found that the purchase of this (Kuching) hotel had resulted in FIC losing hundreds of millions of ringgit,” said a source.

“The investigating team is now assessing the information gathered, and is expected to go to FIC’s offices in several locations soon to get documents and details on the purchase of the hotel.”

MACC Investigations Department director Simi Abdul Ghani confirmed the matter.

“We have started gathering information on the hotel purchase, and a detailed investigation will be carried out to determine if there were elements of corruption and abuse of power.”

Sources in Kuching said the hotel may be the Merdeka Palace Hotel and Suites, which stopped serving alcohol in all its outlets after it was sold.

The hotel faces the iconic Padang Merdeka in the heart of the city. – July 27, 2017.