KUALA LUMPUR, March 14 (Bernama) -- MIC President Datuk Seri S. Samy Vellu today clarified that the statement he gave to the police yesterday was on the RM2 million Sri Lankan Tsunami Fund and not on the alleged financial mismanagement in the building and running of the Asian Institute of Medicine, Science and Technology (AIMST) University as reported by the media.
"I wish to clarify that the police officers who came to see me at the MIC headquarters yesterday only wanted to take my statement on the allegation made by the CEO of the Maju Institute of Educational Development (MIED), P. Chitrakala about the so-called RM2 million Sri Lankan Tsunami Fund," Samy Vellu said in a statement.
He said that when tsunami hit several neighbouring countries, he initiated the collection of funds from well-wishers under the auspices of the Construction Industry Development Board (CIDB).
"We collected a total of RM5,595,362.01. We then disbursed a sum of RM1 million to the Sri Lankan government, a further sum of RM1 million to the Tamil Rehabilitation Organisation and RM1.7 million to the Tamil Nadu Relief Fund.
"These distributions were effected through the offices of CIDB. The balance RM1,895,362.01 was reserved for the building of a technical school at Vellati in Jaffna under the Tamil Relief Organisation," he added.
Samy Vellu said the architectural plans for the school had already been drawn up but before those plans could be approved by the Tamil Relief Organisation, civil conflict in Sri Lanka escalated.
Under those circumstances, the funds allocated for the project was eventually paid out by CIDB to Yayasan Pemulihan Sosial in March 2008 and placed under fixed deposit receipts, he said.
"The interest earned as of February 2009, is in the sum of RM57,952," he added.
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