How Tabung Haji became an unregulated ‘bank’

The pilgrimage fund announced yesterday that it had recorded RM1.3bil in revenue during the six-month period, generated primarily from fixed-income asset investments (RM663mil), real estate investments (RM292mil) and Islamic money market instruments (RM199mil).

LEMBAGA Tabung Haji (TH) started off with the noble cause of helping the poor perform their haj pilgrimage.

It was given the authority to collect deposits, a privilege accorded only to financial institutions that are tightly regulated by Bank Negara.