MALACCA: Mismanagement has been found to be the major factor leading to several state government agencies incurring losses amounting to RM360mil.
Commenting on yesterday’s front-page report in The Star, Chief Minister Datuk Seri Idris Haron (pic) said the losses could have been avoided if these agencies had prioritised effective and prudent management.
“I knew about the financial situation and the need to intervene early. Hence, I embarked on the reshuffling exercise by appointing more credible and effective officials to helm the agencies.
“The state government emphasises transparency and good governance, and never attempted to conceal or refute the losses when made public (by The Star),” he said here yesterday.
Idris emphasised that the losses were due to mismanagement and not misappropriation or other criminal acts. Therefore, there was no need to involve the Malaysian Anti-Corruption Commission (MACC).
“These are more related to managerial aspects of these agencies, and we see no need to lodge reports with MACC.
“We have conducted internal probes and audits, and the outcome has been made public because the state government has no intention to cover up the losses,” he said.
Idris added that the state government would continue to ensure that its agencies were managed effectively and could generate significant revenue.
Asked on his plans for the ailing agencies, Idris said he would start by placing responsible and accountable leaders inside these organisations.
“We need time to make changes as well as to ensure that the agencies can generate revenue.
“We have our own way of doing this,” he added without providing further details.