PETALING JAYA: The Armed Forces Fund Board (LTAT) has recorded a negative balance in its reserves since 2020, the Auditor-General's Department has found.
It was said in the Auditor-General's Report on Federal Agencies 2022 that LTAT’s reserves stood at RM0.376bil in 2020 and RM0.258bil in 2021.
In 2022, the figure was RM0.338bil.
The report also mentioned 41 old share portfolios with an unrealised loss of RM0.662bil, and action has yet to be taken.
It said that this has contributed to the negative balance of the reserves.
The report added that LTAT did not provide investment impairments in Boustead Holdings Bhd and Pharmaniaga Bhd, amounting to RM0.768bil and RM0.044bil, respectively.
“This resulted in net profit for the year and investment in subsidiaries overstated by RM0.812bil,” it said.
The report also revealed that LTAT sold its shares in Perumahan Kinrara Bhd and Tanah Sutera Development Sdn Bhd, worth RM0.043bil, to Perbadanan Perwira Harta Sdn Bhd (PPHSB) in 2022.
In return, LTAT received RM0.232bil worth of shares from PPHSB.
The AG's report on Federal Agencies 2022 is accessible at the National Audit Department's website at https://lkan.audit.gov.my.
It was presented in the Dewan Rakyat on Wednesday (March 6).
