Top officers in corporate scandals must not go unpunished, says Ku Li

Noel Achariam Noel Achariam Updated 3 years ago · Published on 11 Apr 2021 7:00AM · 7 Comments

Tengku Razaleigh Hamzah says people who have caused the government to lose money should be made to pay for their mistakes. – The Malaysian Insight pic by Nazir Sufari, April 11, 2021.

BOARD of directors, top officials at government-linked companies should be penalised for decisions they made which resulted in company losses, said Tengku Razaleigh Hamzah.

The Umno veteran said that it is not right that top officials get away despite making mistakes that cause companies to incur huge losses. 

“If you incur losses to any government investment, then I think the minister or persons responsible should have to pay for their mistakes either by way of losing their jobs or pension.  

“With billions of ringgit involved, in the end the taxpayer loses out and the individual is free. This is not excusable,” he told The Malaysian Insight. 

Tengku Razaleigh, or Ku Li as he is popularly known, said it was the same for borrowings and those involved should be taken to task. 

“Otherwise they will just keep borrowing, thinking that money is flowing like water. 

“I don’t think they should be excused for that (negligence). They (the government) should go after these people.”

Tengku Razaleigh was commenting on the 1MDB corruption scandal and the Malaysian Airline System, which had been replaced as Malaysia Airlines Berhad (MAB) after being taken over by Khazanah Nasional Bhd in 2015. 

In April last year, the US Justice Department announced it had sent Malaysia US$300 million (RM1.3 billion) – funds stolen in the 1MDB corruption scandal that had been laundered through the global financial system.

The money was a part of the more than US$4.5 billion that US investigators say was looted from the state-owned investment firm, with alleged help from Malaysian ex-prime minister Najib Razak and his inner circle.

On March 3, the Finance Ministry announced that Deloitte PLT had agreed to pay RM324 million to settle all claims pertaining to the firm’s role as the auditor of the accounts of 1MDB and SRC International Sdn Bhd.

The deal was done after Ambank Group had also agreed to settle with the government all claims in regard to its involvement in the 1MDB scandal. 

The Finance Ministry had announced that AMMB Holdings Bhd would pay RM2.83 billion to settle the case.

This had followed US investment bank Goldman Sachs’ RM15.8 billion settlement with the Malaysian government in July over the Wall Street titan’s role in the 1MDB affair.

Najib is currently facing corruption charges for the IMDB scandal.  

As for MAS, it was reported in October last year that prior to the 2014 turnaround plan, MAB received RM17.4 billion in several bail-out attempts, while Khazanah also injected RM6 billion to rescue the bleeding MAB.

MAB was supposed to return to the black by end of 2017. However, it has yet to show profit.

None of the top officials of these corporate entities were punished for what had happened.

Tengku Razaleigh said that top officials at GLCs feel they are protected and can get away with dereliction of duties. 

“Those holding high positions feel protected. They are civil servants but they are holding the position of directors and they can do no wrong.

“Even if they make any mistake, they are not going to be penalised. 

“I believe the stakeholders and taxpayers are made to suffer because of the losses due to their negligence or irresponsible acts.”

The Gua Musang MP said that even the private sector (directors) have to bear the risks.

“They could face bankruptcy proceedings and lose everything. 

“I don’t think our civil servants should be allowed to get off scot-free as though nothing happened and they won’t be penalised.”

Ku Li said during his tenure in government that there was no leeway for them (civil servants) to detract from the objectives that were set by the government back then. 

“I don’t know about now. But, it is our responsibility as what is set out to be implemented, must be implemented. If not we will pay dearly at the polls. 

“People will not vote for us if we don’t perform and fulfil promises made.

“That’s why we hear about pledges not being fulfilled or broken promises.”

He said that there is no excuse for politicians and if they make a promise they must fulfil it. – April 11, 2021.

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Comments

  • coming from a party which principles are based on position and cash

    Posted 3 years ago by Lan Lan · Reply

  • Just look at Silterra. Top management trf money to the company they owned (Lokalocal) yet Khazanah not taking any action.

    Posted 3 years ago by Bitcoin Mining · Reply

  • Yes indeed. The ex-premier who hails from Ku Li's party is the most corrupted individual. But surprisingly, he still garners strong and loyal support for the party's grassroots..

    Posted 3 years ago by SYED ABDULLAH BIN MOHAMED · Reply

  • Who can change this UMNO tradition?

    Posted 3 years ago by Tanahair Ku · Reply

  • Coming from a guy who is part of the system for decades.

    Posted 3 years ago by A Subscriber · Reply

  • Dont talk . Do something. Why talk now. What hv you been doing the past 30 years.Bz digging your ears??? All trafsrs of money in excess of 100m must be published in the papers for trandpatency.

    Posted 3 years ago by Besaman Mucho · Reply

  • This is just lip service and nothing more then a political gimmick to show he is as clean as white, to me it's just the surface of it, if this are in grained to the appointed people we won't be in this state of affairs. Just how to curb when the real objective to appoint someone to helm a company is to strengthen the pool of people who appoints him/her there and of course the person appointed would also want a piece of the cake. Ku Li go fuck some spiders else where.

    Posted 3 years ago by Teruna Kelana · Reply