PUTRAJAYA has announced a special RM77 million allocation for the Federal Land Development Authority (Felda) to help settlers with outstanding payments for the current year, Finance Minister Lim Guan Eng said.

He said Prime Minister Dr Mahathir Mohamad had ordered for the money disbursed in view of Felda’s critical cash flow problem.

“The ministry pays serious attention to Felda’s cash flow problem, which is critical this year.

“The prime minister is also concerned, and has ordered for the allocation to be given to assist the settlers,” he said in a statement today.

The money will help settlers pay outstanding “khairat kematian” (death benefits) totalled at RM1.2 million involving the families of 120 settlers who are deceased.

The money will also be used on RM43 million of outstanding payments to Felda Technoplant Sdn Bhd for farm development operations.

Another RM32.8 million will be used on cost of living aid and deposits for replanting benefiting 38,000 Felda settlers.

“The ministry will channel the total RM77 million to the Economic Affairs Ministry which oversees Felda,” Lim said.

It is widely known that Felda faces a serious cash flow problem, which led the Pakatan Harapan government to work on a White Paper to expose the real situation with Felda’s finances.

Economic Affairs Minister Mohamed Azmin Ali said earlier this month that the paper would be tabled at the Dewan Rakyat during its first meeting of the second session of the 14th Parliament next year.

The tabling was at first scheduled for December 10 but had to be postponed to allow certain legal issues to be resolved first. – December 20, 2018.