Auditor General's report about MARA is a concern for all Malaysians as Billions of ringgit of OUR monies have been used for MARA - so mismanagement, and maybe even corruption and abuse of power that caused it to suffer LOSES is a serious issue.
"The inefficient implementation of activities of Mara Inc has resulted in accumulated losses of RM286.3mil.
"Delays in loans arrears from Majlis Amanah Rakyat (Mara) have also impacted the net current liability position of the company.
"These conditions have rendered Mara Inc unable to pay dividends to shareholders since 2014," it said in the report, which was released on Thursday (July 4).
Whilst, HRD Corp has been referred to MACC for investigation and prosecution of those responsible, similarly Mara Inc should also be referred to MACC and other law enforcement agencies for investigation and prosecution. Same goes for all other government entities referred to in the AG's report.
Concern about Zahid Hamidi's seemingly 'lackadaisical attitude' - "We don't want to assign blame, but the losses were due to misguided and excessive investments."
BUT blame must be assigned - so that those responsible, be it the Minister, Directors, CEO or officers who made such mistake - and they should be penalized, after all we are talking about RM286.3 million losses - and this is the Malaysian peoples' monies. Were the persons responsible terminated, fined or even reported to the authorities?
Zahid says losses since 2012, and he claims no responsibility - but then was he not in the Cabinet at that time? Deputy Prime Minister since 2015 to GE14. Is he suggesting that responsibility is just on just the Rural and regional development minister - something is so wrong as the responsibility should lie on the Prime Minister and the entire Cabinet...Even now, he was Rural and Regional Development Minister and/or DPM since November 2022 BUT he did not reveal matters until the Auditor General reports -
The RM286.3 million loss incurred by Mara Incorporated Sdn Bhd (Mara Inc) is due to bad investments, said Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi today.
Zahid, who is rural and regional development minister, said several assets bought by Mara Inc abroad were acquired at prices exceeding market value.
He pledged to find solutions to prevent similar occurrences.
"The losses at Mara Inc have been accumulating since 2012, a period during which I was not responsible for Mara.
"We don't want to assign blame, but the losses were due to misguided and excessive investments.
"I will not tolerate these matters, and we will work to address these losses.
I would have expected that Zahid would have come and stated what actions have been taken to responsible officers, Directors, etc - but no mention about past actions taken against those responsible for these 'bad investments' - including buying assets way above market value?? Promise of future actions also not there...
So, it seems that those responsible continue to be in MARA - excused for their past 'mistakes' that cause hundreds of millions in losses. So, problem not solved - and no action against those responsible?
Malaysia has many persons who are very good in business management - maybe, 'bad apples' should be removed, and better Malaysians (irrespective of whether they are Malay/Bumiputra or 'politically connected' should be brought in).
Maybe an RCI or a TASK FORCE of the 'competent' need to be set up - to find out the flaws in MARA and many other agencies like FELDA and HRD Corp - the people responsible ought not be 'forgiven' but best be removed...to be replaced with NEW CLEAN better people..
That RM286 million - if put RM250000 was put into EPF account of some B40 - will be sufficient to provide for their livelihood until they die for about 1,400 persons.
A minimum wage worker will have to work for 20 years to get ONLY RM360,000. So, when losses of hundreds of million, and billions are a great concern to Malaysia and all Malaysians..These losses due to negligence or even abuses is WRONG.
Should we sue NAJIB to recover the losses - after all the Prime Minister of the Day and the Cabinet is responsible for any of this losses.
Should Zahid Hamidi in 'embarrassment' for his failings in MARA resign - and a new Minister be put in charge?
Mind you, AUDITOR GENERAL highlighted these issues, that Ministers responsible should have known and told us before..and ultimate responsibility is always on Prime MINISTER - who pick and chose his Cabinet Ministers, and even decided which Ministry they will be responsible for.
ANWAR IBRAHIM should rightfully RESIGN in this situation - he failed to HIGHLIGHT these issues b4 the Auditor General did...
It is of great concern when the Prime Minister and Ministers responsible treat the revelations by the AUDITOR GENERAL as 'small issues' - taking no action against Minister, Directors, Officers responsible...
Same old strategy of delaying action against those responsible - refer to MACC and other relevant law enforcement agencies - and Malaysians may not hear about this for a long time and it is forgotten..
BN was rejected because of this kind of 'attitude', amongst others - but now Anwar Ibrahim's PH-led Unity Government maybe just the same...we shall see. There was much hope in Anwar and the Pakatan Harapan --- but disappointment is rising...
Should MARA be placed directly under Parliament - after all it is the vehicle to help Malays and Bumiputra, but under the Prime Minister and his Ministers, it is failing - and worse incurring great losses by reason of 'misguided and excessive investments' and poor management, and the Prime Minister is not even changing fast the managers/officers and letting them carry on???
TIME TO INTRODUCE VETTING OF MINISTERIAL CANDIDATES - Problem is that Ministers chosen by Prime Minister has been found wanting. A Minister has a lot of POWER and can exercise many of these powers, without even prior approval of Cabinet, let alone Parliament. Hence, should not Parliament VET candidates for Minister as proposed by the Prime Minister first to ensure that they are CLEAN, competent and qualified to be the Minister of the said portfolio.
So, PM will forward names of proposed Ministers. Parliament will verify suitability - including a Q&A with candidates to determine suitability of the candidate to be the Minister for a particular portfolio... Such practices already happening in other countries. This way, we will ensure BETTER and more responsible MINISTERS..
See some past posts:-
HRD Corporation - How will Minister Sim and also Finance Minister Anwar Ibrahim deal with it? 'Sweep Under the Carpet' or act fast against all including Chief Executive, Directors, Investment Panel Members and even ex-HR Minister?
Mas Ermieyati Samsudin and PAC did not know that HRD Corp is a STATUTORY BODY? Quality of Malaysian MPs - we need better quality?
FELDA - RM10 Billion Bailout? Clarification needed...'Bailing out FELDA or Settlers?' No explanation how DEBT occurred?
Mara Inc's inefficient implementation led to accumulated losses of RM286.3mil, says AG's Report
- Nation
-
Thursday, 04 Jul 2024
PETALING JAYA: Four government-owned companies, including Mara Incorporated Sdn Bhd (Mara Inc), have been flagged for their less stable financial positions due to inefficient business activities, according to the Auditor-General's Report 2/2024.
The other three companies identified are Mass Rapid Transit Corporation Sdn Bhd, International Islamic University Malaysia, and i2M Ventures Sdn Bhd.
"The inefficient implementation of activities of Mara Inc has resulted in accumulated losses of RM286.3mil.
"Delays in loans arrears from Majlis Amanah Rakyat (Mara) have also impacted the net current liability position of the company.
"These conditions have rendered Mara Inc unable to pay dividends to shareholders since 2014," it said in the report, which was released on Thursday (July 4).
The other three companies identified are Mass Rapid Transit Corporation Sdn Bhd, International Islamic University Malaysia, and i2M Ventures Sdn Bhd.
The report also found that only RM2.88mil in dividends was paid by Mara Inc to Mara in 2012 and 2013.
In response to the Auditor-General, Mara Inc said that the drop of earnings in 2011 was due to the movement control order while the increase in earnings in 2022 was due to the return of its operation as usual.
"The Covid-19 pandemic has left a serious impact on hotel and student lodging industry players and directly impacted the financial flow of the company as well as an indirect impact on the increase in shareholders' deficit.
"The cash flow position in 2023 is also higher compared to 2022," said Mara Inc.
Mara Inc’s portfolio includes three local properties and six overseas – four in the UK and two in Australia.
It reported an equity deficit of RM115.73mil, with current liabilities standing at RM234.96mil.
Property operations management is inefficient due to incomplete document submissions related to properties.
Five out of nine of its own corporate governance elements were not fully practiced, said the report.
The
report urged the Rural and Regional Development Ministry and Mara to
increase the monitoring of its subsidiaries such as Mara Corp and Mara
Inc. - Star, 4/7/2024
Mara Inc's RM286m loss due to bad investments, says Zahid
PASIR MAS: The RM286.3 million loss incurred by Mara Incorporated Sdn Bhd (Mara Inc) is due to bad investments, said Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi today.
Zahid, who is rural and regional development minister, said several assets bought by Mara Inc abroad were acquired at prices exceeding market value.
He pledged to find solutions to prevent similar occurrences.
"The losses at Mara Inc have been accumulating since 2012, a period during which I was not responsible for Mara.
"We don't want to assign blame, but the losses were due to misguided and excessive investments.
"I will not tolerate these matters, and we will work to address these losses.
"We will focus on managing transactions involving four assets bought above market prices in Australia and England.
"Although rectifying these issues may take time, we will ensure there is no breach of trust or mismanagement involving Mara's subsidiaries."
He said this after launching the Career and Youth Sports Carnival Madani 1.0 here.
The 'Auditor General's Report 2/2024' revealed that Mara Inc had incurred an accumulated loss of RM286.3 million due to inefficient operations.
The group reported an equity deficit of RM115.73 million, alongside current liabilities amounting to RM234.96 million.
In addition, Mara Inc's investments in five subsidiary
companies suffered a substantial impairment of RM87.18 million,
representing a 54.8 per cent decline in accumulated value. - NST, 6/7/2024
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