KUALA LUMPUR (June 26): Perturbed by what he deems as "mischievous" and "sinister" news reports linking his 5.04% stake in T7 Global Bhd with the controversial East Coast Rail Link (ECRL) project, tycoon Tan Sri Vincent Tan Chee Yioun said he intends to dispose of all of his shares in T7 in due course.

"I hope this will put an end to any further controversy on this issue," he said in a statement today.

Tan, who is the founder and executive chairman of conglomerate Berjaya Corp Bhd, said he has started disposing of some of his shares in T7 since yesterday.

He also said he had no knowledge that T7 is one of the contractors for the ECRL project, tasked to China Communications Construction Co Ltd and whose contract terms have been subject to renegotiation.

He was responding to news and social media articles regarding his recent acquisition of 21 million shares or a 5.04% stake in T7 Global.

Yesterday, Prime Minister Tun Dr Mahathir Mohamad denied that the Government was considering proceeding with the ECRL because Tan had bought into the company.

Tan was among the entrepreneurs who had been successful under Dr Mahathir’s 21-year tenure as Prime Minister till 2003, and among the first businessmen who met with Dr Mahathir at his house after the latter was sworn in for the second time after May 9.

"I have no knowledge that T7 is one of the contractors for the ECRL project when I purchased shares in the company. I acquired the stake in T7 as I am acquainted with the major shareholder of the company, and more importantly as a long-term investment in the oil and gas services industry as T7 is well positioned in this sector,” Tan stressed.

He noted that Finance Minister Lim Guan Eng had also clarified that since RM20 billion had already been paid under the ECRL project, it would be too costly to cancel the project but would be renegotiated to bring down the costs of the project.

Tan slammed several news reports and social media articles that appear to imply a "sinister link" between his acquisition of a substantial stake in T7 and the decision of the Pakatan Harapan-led government not to cancel the ECRL project despite earlier reports to the contrary, saying they are "mischievous" and were intended to embarrass him and the new Government.

“Despite such clarifications by the Prime Minister and Finance Minister, scurrilous and baseless allegations of impropriety still seem to be making their rounds in the news and social media,” he said.

Tan went on to say that he felt it was necessary to release the statement in order to clarify his position and refute any allegations or suggestions of impropriety or cronyism on the part of the government and Dr Mahathir.

Meanwhile, Tan also denied investing in a financial startup that has developed a trading platform called Bitcoin Formula which promotes blockchain and crypto technologies.

“There is also a Facebook article claiming that I will be donating RM525 million to Tabung Harapan. There is absolutely no truth to either of these reports and I believe they have been put out by unscrupulous persons to deceive the public,” he said.

T7 shares closed down 0.5 sen or 1% at 49.5 today, with 9.52 million shares traded, for a market capitalisation of RM207.63 million.