TRX City honoured repayments on Socso loan

KUALA LUMPUR: TRX City Sdn Bhd honoured its repayment schedules for the RM800 million loan from the Social Security Organisation (Socso) and has since pared down its principal payment to RM540.6 million.
"So far, the loan is government guaranteed and we managed to get the return as promised which is twice a year and they have also started to repay the principal payment," Socso's CEO Datuk Seri Dr Mohammed Azman Aziz Mohammed told SunBiz at the sidelines of a media briefing held in conjunction with Ops Kesan.
"The coupon payment was twice a year, normally in April and November and the recent payment was paid on time. So, all this while they have honoured (payments) meaning there is no lapse in payment," he added.
It is understood that the loan was taken in October 2012 by 1Malaysia Development Bhd's property arm, 1MDB Real Estate Sdn Bhd, now known as TRX City Sdn Bhd.
It has an interest rate of 4.041% per annum with a tenure of 10 years which is paid on an amortised basis. Thus far, the workers' fund has received a total repayment amounting to RM239 million.
Finance Minister Lim Guan Eng said in May that an RM800 million loan was taken for TRX City from the fund.
Meanwhile, Socso which will be kickstarting the 10th edition of Ops Kesan on Aug 1 – an operation which compounds errant employers (having at least one employee) who have not registered their employees – has opened a voluntary amnesty period of one month between July 1 and July 31 to enable such employers to do so.
Mohammed Azman also urged employers to come forward and take advantage of the amnesty period as it exempts unregistered employers from being penalised with a compound for late payment.
Failing to register by the stipulated deadline, carries a compound amounting between RM500 and RM4,000, failing which will carry a penalty of up to two years' imprisonment or RM10,000 fine or both.
He said it is also mandatory for employers to register for the protection coverage, for spouse termed employee in a business run by husband-wife.
Registration for this segment is still ongoing and contributions will only be accounted for next month.
Ops Kesan will be carried out nationwide and will also ensure that self-employed taxi drivers and e-hailing drivers are registered under the Self-Employment Social Security Act 2017 which came into force on June 1, 2017.
As of June 30, Socso saw some 4,529 new registrations from taxi and e-hailing drivers.
Between 2009 and May 31, some 29,361 compounds amounting to RM21.65 million and involving 12,593 cases were registered.
Socso will deploy close to 500 of its staff to participate in Ops Kesan which will be carried out nationwide. Registrations can be carried out at any of the 53 Socso offices nationwide.
As of April 30, there are 569,371 employers with 6.8 million employees who have been actively contributing to the fund.