Will Anwar be personally LIABLE for his political appointees? Transparency - TOTAL Number of Political Appointees and how much do they get? Political Appointee L:AW needed?

How many of Malaysia's GLCs or government owned/controlled companies, agencies and entities FAILED, including suffered losses, due to the POLITICAL APPOINTEES?

Three government-linked companies have been flagged by Auditor General (AG) for their unstable financial positions. Mara Incorporated Sdn Bhd (Mara Inc), Mass Rapid Transit Corporation Sdn Bhd (MRT Corp) and i2M Ventures Sdn Bhd are in hot water after the audit report urged them to step up their corporate governance practices.- Business Times, 5/7/2024

Government-linked company (GLC) Mara Incorporated (Mara Inc) has suffered significant financial losses amounting to RM286.3 million as a result of “inefficient” business activities, according to the 2024 Auditor-General’s report. - Sun, 4/7/2024

Did the political appointees to companies know about corporate governance practices or efficient” business activities? Problem is that many a time 'political appointments' may not be about getting an efficient person but rather 'a political reward' to a friend or party member, a 'compensation' for not picking you as a candidate, or even being able to give you a cabinet position - in short 'wrong reasons'. 

All MPs who do not presently hold positions in government will be made heads of government-linked companies (GLCs) by the Perikatan Nasional-led government, according to PAS secretary-general Takiyuddin Hassan, who is also the de facto law minister.... Alhamdulillah, I understand all government MPs will be given the responsibility to manage GLCs..."This is because all of them are qualified. They are MPs," ... - Malaysiakini, 12/4/2020

Hello, a MP is certainly not qualified because he/she is a MP - for Directors, CEOs and management, we need people who have good business skills OR needed skills to make sure a government agency, University, etc succeed. The practice of 'rewarding' must end, and sadly that was the practice that still exist in Anwar Ibrahim's government, as it did in past governments.

When the said businesses and agencies fail, it seems that these persons(political appointees) are not blamed or made liable (no criminal prosecution or civil suits in most cases??) and the end of the day, it is the Malaysian people that suffers...and the practice of 'bailing out' with more government monies just continues.

Auditor General has given its' reports - but is there any actions against those persons who were responsible for the failings? Should not the first course of action is to identify and remove all them bad staff and Directors? Then, appoint NEW persons - qualified persons. Not simply appointing NEW political appointees by the Minister again - maybe, Should not all political appointees be VETTED by Parliament, whose purpose is to be a CHECK AND BALANCE to prevent wrong-doings and 'abuses' by the Executive(Cabinet, Prime Minister, Ministers, etc)?

How many political appointees are there? Finance Minister disclosed 117 political appointees under the Minister of Finance Incorporated (MoF Inc) only - what about the other bodies under the Finance Minister? How many political appointees by the Prime Minister? How many political appointees by the Home Minister? Anwar's Cabinet has about 30 Ministers - so does that mean we have  about 3,000 Plus political appointees? Remember, the EXPERTS should already be civil servants in various Ministries - and if they are appointed, MONIES will be saved as there are already paid civil servants > and thus all 'allowances', salaries and other benefits they receive can be required to be paid back to the government...

YES, Finance Minister just talking about political appointments under the Minister of Finance Incorporated (MoF Inc) - are there other political appointments by Finance Minister? Is Nurul Izzah one of this political appointees?

The government has made a total of 117 political appointments to various statutory bodies and companies under the Minister of Finance Incorporated (MoF Inc). In a parliamentary reply, finance minister Anwar Ibrahim said these positions included chairman posts and board memberships, as of June 12. Of the 117 political appointees, 92 were appointed to posts in statutory bodies, including public varsities, while 25 were appointed to MoF Inc firms.

Oops - even UNIVERSITIES are at risk? What about the HRD Corp - after all Statutory requirement is a mandatory representative of the Ministry of Finance in the Board and/or Investment Panel?

Disclose the name of these political appointees, the position of their political appointment, the salary/allowance he/she receives monthly, the terms and conditions of the appointment - is it a fixed term contract(for how long), etc?

Finance Minister Anwar Ibrahim do not have to wait for Parliamentary Questions before he tells Malaysia the answers. He should make available the full list of political appointment by the Finance Minister, the full list of political appointments by the Prime Minister (including the Prime Ministers' Department). He should make sure ALL his Ministers/Ministries make a full disclosure of all political appointees. 

Does Anwar Ibrahim NOT TRUST the existing public officers in the various Ministries - if he did, he NEED NOT pick others who are not current civil servants as 'political appointees'. The appointment of employees, CEO, management or Directors from other successful private plantation companies as FELDA management and Directors makes sense considering the fact that FELDA is primarily in the plantation business, makes sense - but appointing party members, former MPs, etc, is ABSURD more so when they lack needed knowledge and skills.

REMEMBER a Director is RESPONSIBLE for all actions/omissions of a Company - and that is why we need QUALIFIED persons, not 'political appointees' who are unfamiliar with business - who lack the capacity to make the BEST decisions for the best interest of the company and for Malaysia, not for themselves or their 'political appointer Minister' or their 'friends'. 

Is 'LOYALTY' to the appointment of political appointees - DANGER these may be people who may not oppose 'instructions' by the appointing Minister. Why did the Directors of 1MDB,SRC,..not prevent the about RM50 Billion loss by reason of abuse?

WHY have the Directors of 1MDB and/or SRC NOT been CHARGED yet in court for their wrongdoings, intentionally or negligently,and the losses amount to about RM50 Billion? These Directors, if they did their jobs, would have prevented the 1MDB Scandal??? 

Are 'political appointment' in Malaysia 'RISK-FREE' - only giving the 'appointees' monies and 'power', but NO RESPONSIBILITY or LIABILITY for their failures?  

They NEVER LEARN - and continue to use 'political appointments' as payback for support or some other reasons. 

How many GLCs, Statutory Bodies and Agencies have 'FAILED' by reason of these 'political appointees'? Or suffered great losses? 

The bad practice of political appointees started with the then BN regime, and still today with Anwar's government - interestingly, it was also there during the time PN ruled...

Umno vice-president Datuk Seri Khaled Nordin issued a stern reminder to his PN colleagues, that it is not a government mandated by the people, as he criticised the use of “political rewards” to keep the frail coalition intact.

Is Anwar Ibrahim continuing the BAD PRACTICE, that is costing Malaysians monies - the use of “political rewards” to keep the frail coalition intact.

Is Anwar Ibrahim continuing the BAD PRACTICE, that is costing Malaysians monies - to keep Anwar in power within his own political party? Some party keep its membership because they share a common VALUE or belief for the good of Malaysia - others sadly have members that are there for 'self interest' - where they get monies and 'benefits' like contracts - Wonder about what kind of members that PKR has?

What exactly is the pay/allowance that every particular 'political appointee' gets - and what is the nature of their 'appointment agreement' - is it for a FIXED duration or longer? Reasonably, one will argue that all political appointees by any Minister should lapse as soon as this Minister is no more the Minister of the said portfolio - be it ended by a GE, a cabinet re-shuffle, or the removal of the said Minister from Cabinet, or if there is a change of government.

Should the appointing Minister, like Finance Minister Anwar Ibrahim be PERSONALLY LIABLE for the failures or actions of his/her political appointee that cost Malaysia losses?  

Anwar, who is also prime minister, added that candidates must be vetted by the Malaysian Anti-Corruption Commission, insolvency department, Federal Court chief registrar’s office, Bank Negara Malaysia, police and Inland Revenue Board. - FMT, 19/7/2024

VETTING by by the Malaysian Anti-Corruption Commission, insolvency department, Federal Court chief registrar’s office, Bank Negara Malaysia, police and Inland Revenue Board is INSUFFICIENT - 

MACC - can only check and see whether there are any pending investigation or cases - what else can MACC reasonably do?

Insolvency Department - can only say whether one is bankrupt or not, or maybe is part of a company that was wound-up

Police - same as what MACC can do.

Federal Court Chief Registrar's Office - can tell Anwar whether anyone is part of any pending or completed case.

Inland Revenue Board - can tell Anwar whether there is any outstanding unpaid tax??

So, this VETTING is really inadequate - and in no way determines whether the potential political appointee is SUITABLE or appropriate for the position he/she is to be appointed to...FAR FROM SUFFICIENT...

BEST - if PARLIAMENT is involved in approving all political appointees..

Now, in terms of most political appointees - it is only the relevant Minister that decides and chooses.

Should all political appointments be APPROVED by Cabinet - Cabinet will VET and approve every proposed 'political appointee'? NOT approved by Prime Minister - how can Prime Minister Anwar Ibrahim monitor Finance Minister Anwar Ibrahim?

POLITICAL APPOINTMENT LAW needed. What will it cover?

- Criteria and Process of Political Appointment? Requirement of Cabinet, or Parliamentary Approval of Political Appointment?

- TERMS - Salary/Allowances, Length of Appointment Contract(should an automatic end of appointment when the Appointing Minister is no more - due to resignation, due to Cabinet re-shuffle, due to disqualification, due to a General Election > unfair that new government forced to keep 'political appointees' of old government?)

- No MP/Senator/ADUN shall be appointed, and if so appointed, all salary/allowance received by virtue of such appointment shall be paid back into a 'Consolidate Fund' to be utilized by the government or Parliament. WHY? MP/Senator/ADUN already receives salary allowance as MP/Senator/ADUN, also noting that they cannot hold other 'office of profit'

- A civil servant or public servant appointed shall also return all or any 'additional' salary/allowance received by reason of the said appointment > as he/she too is already earning a government salary.

- That the Minister appointing the political appointee shall be VICARIOUSLY LIABLE for the actions/ommissions in their position of appointment that has led to LOSSES incurred by the said entity and/or Malaysia. This will MAKE SURE that appointing Minister will ensure only qualified persons are appointed.

- Should political appointees be considered public officers - hence entitled to ALL benefits enjoyed by public officers? Will they be subject to the SAME Misconduct and Disciplinary Rules as other Public Officers?

Political appointees get 117 posts in MoF Inc firms, statutory bodies

FMT Reporters

-19 Jul 2024, 02:50 PM

Government says 92 were appointed to posts in statutory bodies, including public varsities, while 25 were appointed to MoF Inc firms.

The finance ministry said these political appointments followed a vetting process to ensure each individual could fulfill the role and responsibility effectively. (Bernama pic)

PETALING JAYA:

The government has made a total of 117 political appointments to various statutory bodies and companies under the Minister of Finance Incorporated (MoF Inc).

In a parliamentary reply, finance minister Anwar Ibrahim said these positions included chairman posts and board memberships, as of June 12.

Of the 117 political appointees, 92 were appointed to posts in statutory bodies, including public varsities, while 25 were appointed to MoF Inc firms.

Anwar said these appointments had followed a vetting process to ensure that each individual could effectively fulfil the roles and responsibilities involved.

“The chairmen and members of boards of directors of MoF Inc firms and statutory bodies are appointed based on their capabilities, backgrounds and expertise, while considering the entity’s needs and core business.

We also emphasise the personality of the individual, taking into account the aspects of integrity and responsibility,he said.

Anwar, who is also prime minister, added that candidates must be vetted by the Malaysian Anti-Corruption Commission, insolvency department, Federal Court chief registrar’s office, Bank Negara Malaysia, police and Inland Revenue Board. - FMT, 19/7/2024

Auditor General tells three GLCs to buck up [BTTV]

By Diyana Isamudin - July 5, 2024 @ 7:02am

KUALA LUMPUR: Three government-linked companies have been flagged by Auditor General (AG) for their unstable financial positions.

Mara Incorporated Sdn Bhd (Mara Inc), Mass Rapid Transit Corporation Sdn Bhd (MRT Corp) and i2M Ventures Sdn Bhd are in hot water after the audit report urged them to step up their corporate governance practices.

Mara Inc is a subsidiary of Mara Corporation Sdn Bhd, making it an indirect subsidiary of Majlis Amanah Rakyat (Mara) that is regulated by Rural and Regional Development Ministry (KKDW).

Mara Inc's main activities include property development, alongside managing property, hospitality and renewable energy which are carried out by Mara Inc and its five wholly-owned subsidiaries with investments amounting to RM159.14 million as of 2023.

Mara Inc managed three local properties while four of its subsidiaries managed six properties abroad in United Kingdom and Australia.

AG highlighted that the company had incurred a total loss of RM286.3 million in 2022, with an equity deficit of RM115.73 million and liabilities at RM234.96 million.

"Mara Inc has implemented real estate management activities in line with the objective of its establishment but this objective has not been achieved completely. 

"Implementation of activities is less efficient until resulting in an accumulated loss position of RM286.3 million. 

"Loan arrears from Majlis Amanah Raya (Mara) has an impact on the liability position net current of the company," it said.

According to Mara Inc in the report, KKDW had given an approval on Feb 6 2024 to convert old debt to equity shares and it is waiting for consideration and approval from the Finance Ministry.

The report emphasised that the unstable financial position had resulted in the company's inability to pay dividends to shareholders since 2014.  Previously, it only paid RM2.88 million dividends to MARA in 2012 and 2013.

"The dividend payment of RM1.55 million for the financial year 2023 has been approved by the board of directors on Feb 20, 2024. Payments are made in stages starting from April 2024," Mara Inc said in the report.

It also revealed that the company's key performance indicators (KPI) was inconsistent between 55 per cent and 94.6 per cent.

Despite real estate investment returns having increased in 2023 compared to 2020, the cost of investment in its subsidiaries in 2022 suffered an impairment of RM87.18 million.

"The financial position of the subsidiary companies is less stable as four companies have a deficit in shareholding," it added.

AG also pointed out that real estate operations management was less efficient as the handover of documents related to real estate was  incomplete.

Furthermore, it emphasised that five of the nine elements in Mara Inc's corporate governance practices are not fully practiced. 

They involved the chairman, board of directors, company secretary, company standard operating procedure (SOP) and audit committee.

Meanwhile, MRT Corp, which is fully owned by the Minister of Finance (Incorporated), was flagged for its unstable financial position despite achieving its establishment objectives as a developer and asset owner of MRT1 and MRT2.

AG said the performance of these two transportation projects in terms of number of daily passengers, number of trains operating and frequency of peak hour train services still had not reached the targets set in the MRT1 and MRT2 Railway Schemes.

"For MRT1, the reimbursement cost was not audited every six months after 2013 and the MRT1 final account has not been closed although it has completed and fully operational since 2017.

"For MRT2, 84 or 38.2 per cent of the 220 construction works have not been completed and 22,114 damage-related cases were recorded. 

"Liquidated ascertained damages (LAD) amounting to RM3.17 million are not charged against the contractor's delay for the Jinjang Depot work package," it added.

In the report, the AG said that four of nine corporate governance elements were not fully practised and recommended corporate governance be improved.

However, the AG report noted that MRT Corp's corporate governance was satisfactory.

As for i2M Venture, the report stated that the company's objective to promote, market and manage business in Iskandar Puteri, Johor was not achieved. 

Furthermore, its financial position is entirely dependent on allocations from its parent company, Khazanah Nasional Bhd which is under the Minister of Finance (Incorporated).

The report said three of the GBS Iskandar investors failed to achieve the target with one of them ended an agreement a year after it was sealed.

"i2M Ventures has sued the companies to clawback the financial assistance that has been channeled to the investors amounting to RM425,174," the company said in the report. - NST, 5/7/2024

 

A-G's report: Felda lost RM1bil in 2022

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By TEH ATHIRA YUSOF

• Nation

• Wednesday, 06 Mar 2024

PETALING JAYA: The Federal Land Development Authority (Felda) had losses of RM1bil, the 2022 Auditor-General's Report revealed.

The AG report on the Federal Agencies Financial Statement for 2022 said that Felda faced a net loss of RM1.005bil.

It also faced a net loss of RM0.545bil in 2021.

“The outstanding loans from external institutions for Felda amounted to RM8.659bil in 2022 (2021: RM8.809bil),” said the report.

The report also revealed that Felda received grants amounting to RM0.214bil in 2022 and RM0.342bil in 2021.

“The reduction in grants received by Felda impacts operational sustainability as it heavily relies on financial aid from the Federal Government,” it said.

The report also mentioned Felda’s commitments to loan repayment whereby loans at the Felda Group level include an Islamic Financing Facility agreement signed by Felda's subsidiary company, FIC Properties (FICP), with Govco Holdings Berhad (GovCo), a company under the Finance Ministry (Incorporated), amounting to RM2.500bil.

“FICP's failure to repay the loan led Felda to enter into a new agreement with GovCo as a corporate guarantee for the Islamic Financing Facility,” the report added.

The report said Felda’s cash and cash equivalent position amounted to RM0.808bil in 2022. However, Felda had significant commitments totalling RM1.561bil.

According to the report, based on the existing cash and cash equivalent balance, Felda is unable to meet commitments amounting to RM0.753bil.

The audit report recommended that Felda establish a clear direction for operating with strong financial performance without high dependence on federal government assistance and financial support.

It also advised Felda to monitor the operations and financial performance of subsidiary companies more closely to ensure their sustainability, continued progress without reliance on the parent agency and good returns to Felda.

The AG report on the Federal Agencies Financial Statement for 2022 is accessible at the National Audit Department's website at https://lkan.audit.gov.my after it was presented in the Dewan Rakyat on Wednesday (March 6). Star, 6/3/2024

Zahid Hamidi: GLC appointments of MPs to ensure govt policies and ‘aspirations’ carried out

Datuk Seri Ahmad Zahid Hamidi congratulated MPs from Umno, MCA, MIC and PAS who had been appointed to head GLCs and other institutions that are owned or linked to the government. ― Picture by Yusof Mat Isa

By YISWAREE PALANSAMY

Wednesday, 27 May 2020 9:47 PM MYT

KUALA LUMPUR, May 27 — Umno president Datuk Seri Ahmad Zahid Hamidi today posted a congratulatory message to politicians who were made heads of government-linked companies (GLCs) recently, adding that their appointments were to ensure that the Perikatan Nasional (PN) government’s policies and “aspirations” were implemented.

Taking to his Facebook page this evening, Zahid congratulated MPs from Umno, MCA, MIC and PAS who had been appointed to head GLCs and other institutions that are owned or linked to the government.

“Indeed, in the composition of the board of directors of companies, there are appointees who are politically appointed, for the purpose of implementing the policies and aspirations of the ruling party, but I am confident that the senior management members, who are the chief executives and managing directors, were still appointed from among professionals based on merit, qualifications, experience as well as suitability with their field of work,” he wrote.

“It was the previous tradition of the Barisan Nasional government that drove the economy and developed the people’s socioeconomy, through the involvement of GLCs and GLICs (government-linked investment companies) in many strategic projects and businesses, especially infrastructure development,” he added.

Zahid also urged all the appointees of the Muafakat Nasional pact between Umno and PAS to be trustworthy and dedicated in their responsibilities.

In April, PAS secretary-general and de facto Law Minister Datuk Takiyuddin Hassan was quoted by Malaysiakini as saying all of his party’s MPs who do not presently hold positions in government will be made heads of GLCs by the PN-led government.“PAS has 18 MPs, eight are ministers and deputy ministers, one has been made the prime minister’s special envoy to the Middle East.

“This leaves nine more MPs. Alhamdulillah, I understand all government MPs will be given the responsibility to manage GLCs.

“This is because all of them are qualified. They are MPs,” he was quoted as saying to journalists at Kompleks Kota Darulnaim in Kota Baru.

Ironically, later that same month, Umno vice-president Datuk Seri Khaled Nordin issued a stern reminder to his PN colleagues, that it is not a government mandated by the people, as he criticised the use of “political rewards” to keep the frail coalition intact.

In a sharply worded statement levelled against allies Bersatu, Khaled said PN remains devoid of legitimacy, and that it could only garner public support through good governance and accountability.

Previously in March, the Pakatan Harapan (PH) Presidential Council called upon the PN administration to stop looking into political appointments and focus on the fight against the Covid-19 outbreak.

In a joint statement, DAP secretary-general Lim Guan Eng, Amanah president Mohamad Sabu and PKR president Datuk Seri Anwar Ibrahim said the government’s recent action to sack appointees from government entities like Majlis Amanah Rakyat (MARA), Federal Territories Resident Representative Council (MPP) and National Welfare Foundation (YKN), among others are inappropriate. - Malay Mail, 27/5/2024

 

PAS sec-gen: All MPs not holding gov't positions to be made GLC heads

N Faizal Ghazali

Published:  Apr 12, 2020 8:56 PM

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All MPs who do not presently hold positions in government will be made heads of government-linked companies (GLCs) by the Perikatan Nasional-led government, according to PAS secretary-general Takiyuddin Hassan, who is also the de facto law minister.

"PAS has 18 MPs, eight are ministers and deputy ministers, one has been made the prime minister's special envoy to the Middle East.

"This leaves nine more MPs. Alhamdulillah, I understand all government MPs will be given the responsibility to manage GLCs.

"This is because all of them are qualified. They are MPs," he told journalists at Kompleks Kota Darulnaim in Kota Bharu today.

Takiyuddin (above), who is also the Kota Bharu MP, was asked to respond to the appointment of politicians to head government agencies.

Among the appointments include PAS' Pasir Mas MP Ahmad Fadhli Shaari as the new Skills Development Fund Corporation chairperson, replacing K Saraswathy who is a lawyer by training.

Takiyuddin said the appointments will depend on legal procedure.

He said this is due to some positions being the prerogative of the respective minister while others require the Yang di-Pertuan Agong's appointment.

"For coordination purposes, all proposed appointments of GLC chairpersons must get the agreement of the prime minister," he said. - Malaysiakini, 12/4/2020