



UPDATED 12.20PM - A statement by Tabung Haji and Urusharta Jamaah Sdn Bhd has been added to reflect the new development.

Four Tabung Haji-owned hotels, which were said to be ceasing operations, will continue to operate and none of their employees will be laid off.

This was confirmed by Tabung Haji and Urusharta Jamaah Sdn Bhd (UJ) in their joint statement today.

It said the operations will continue as usual despite ownership transfer from Tabung Haji to UJ.

UJ's subsidiary company UJ Property Management Sdn Bhd (UJPM) will take over the operation of the four hotels from TH Hotel and Residence Sdn Bhd (THHR) beginning April 4, the statement read.

The hotels, each located in Kota Kinabalu, Bayan Lepas, Alor Setar, and Kuala Terengganu, will be renamed Raia Hotel.

The statement also said that 90 percent of the THHR employees will continue to work as usual while the other 10 percent will be absorbed by THHR Kelana Jaya.

The statement followed a purported internal notice announcing the closure which had gone viral on social media.

The two-page notice also mentioned about offering separation scheme to the employees, which the statement has now dismissed.

Tabung Haji said the four hotels are among 29 property assets and one company with a market value of RM9.63 billion transferred to UJ.

This was in exchange for RM19.9 billion, comprising two tranches of sukuk and RM300 million in cash to Tabung Haji.

De facto Islamic Affairs Minister Mujahid Yusof Rawa (above) this morning tweeted that the four hotels are among 29 assets owned by Tabung Haji which had incurred losses.

"The principle in the recovery of Tabung Haji is to identify assets which incur losses. This is to save (it) from the deficit left by Umno.

"There are 29 of those assets including the four hotels which were made viral.

"(The hotels' ownership) is transferred to the SPV (Special Purpose Vehicle) owned by the government with the original value, to ensure the continuity of TH operation," he said.