Rafizi noted that LTAT, through its subsidiary Perbadanan Pewira Harta Malaysia (PPHM), was the turnkey contractor that took over 1MDB’s responsibility of moving eight air bases from Sungai Besi to a location called Bandar Malaysia and upgrading them there. The contract is worth RM2.1 billion, as announced by 1MDB in April 2013.

“We know that 1MDB is having financial issues and they cannot even settle their own debts,” Rafizi told reporters outside the Dewan Rakyat.

“We don’t know if 1MDB has paid PPHM fully.

“If 1MDB fails to pay the bulk of its debt to PPHM on time, I worry that LTAT might have had to use its own funds to pay the sub-contractors. If this has happened, certainly it would affect LTAT’s financial position, considering the size of the contract. And this could have affected its ability to pay gratuities on time.”

He said 30 armed forces veterans had talked to him about the issue and that a few of them had been waiting for more than six months for their gratuities.

“Six months without income is tough,” he said. “I worry for the veterans.”

He urged 1MDB and PPHM to disclose details of work that had already been done under the contract and how much 1MDB still owned PPHM.

“I also urge PPHM to announce how much LTAT has paid the sub-contractors from its own funds,” he added.