Palanivel again? Samy raps Subra, Sothi

The coming MIC elections is shaping up to be a repeat of the 2006 battle for deputy presidency with the exception that there are three candidates, and possibly a fourth this time around.

With incumbent G Palanivel seated next to him at a press conference in Kuala Lumpur, MIC president S Samy Vellu today launched a scathing attack against his former deputy S Subramaniam, who is hoping to make a comeback.

Subramaniam had lost to Palanivel in 2006, after the president openly backed the latter.

Samy Vellu also took a swipe at vice-president S Sothinathan, who is also gunning for number two.

Another possible contender is Human Resources Minister and party secretary-general Dr S Subramaniam.

Although Palanivel has yet to confirm his candidacy, and Samy Vellu has yet to announce who he is endorsing, today's development speaks for itself.

As for Subramaniam, Samy Vellu accused him of holding up the sale of insurance company Oriental Capital Assurance Bhd to resolve the Maika Holding’s crisis.

Subramaniam is the head of Nesa Cooperative Bhd which purportedly took the injunction to stop the sale of the cash cow, an issue, Samy Vellu said, has been a thorn in the party’s ties with the Indians.

'I tried to be friendly with Subramaniam'

Samy Vellu who appeared annoyed, said the injunction prevented Maika Holdings from selling it to a prospective buyer who had since withdrawn his bid after the injunction was not lifted by Nesa Cooperative.

"The buyer had even given Maika Holdings a grace period of 10 days to get the injunction withdrawn and even paid a deposit of between RM13 million and RM14 million but the injunction was not withdrawn (by Nesa Cooperative)," he told reporters at a function in Kuala Lumpur.

He said since Subramaniam was the chairperson of Nesa Cooperative, the company's action could indirectly be attributed to Subramaniam.

"Without him, I don't think this (the injunction) would have happened," he said.

Samy Vellu said he had tried to be "friendly" with Subramniam "but there was no solution on sight for the Maika Holdings sale."

He lamented that the action by Nesa Cooperative had prevented Maika Holdings shareholders from getting back their money and now he had to take a bank loan to pay some of the shareholders who wanted their investment back.

"I feel sad for the shareholders some of who are very poor and they wanted the money," he said, adding that if the sale had gone through, the shareholders numbering over 60,000 would have got back their initial investment and bonus shares.

Sothi should have gone for No 1

Samy Vellu's attack on Subramaniam is expected to reignite the feud between the two MIC leaders which went back to 1989 when Subramaniam challenged Samy Vellu for the party presidency and lost.

However, the two leaders patched up their differences after the last general election last year.

Samy Vellu said he was informed that Maika Holdings would hold its annual general meeting soon where it would decide on its next course of action against Nesa Cooperative for preventing the sale and the losses suffered.

On the contest for the deputy presidency, Samy Vellu said he would refrain for now from announcing his choice for the post until the Maika Holdings issue was settled.

As for Sothinathan - once considered his protege - the president criticised him for "going on his own" despite Samy Vellu stressing the need for a consensus for the number two post amongst the aspiring candidates.

"He (Sothinathan) should have fought for the (MIC) president's post last March. I don't know why he did not take that option," he quipped.

Samy Vellu had reportedly said that a consensus would prevent the party from breaking into factions.