Human Resources Ministry to lodge MACC report on A-G Report findings, says Steven Sim

PETALING JAYA: The Human Resources Ministry will lodge a report to the Malaysian Anti-Corruption Commission (MACC) about the findings of the reports by the National Audit Department and the Public Accounts Committee (PAC) which was presented in the Dewan Rakyat on Thursday.

“In line with the recommendations of the Auditor-General, I have instructed Kesuma’s Secretary General Datuk Seri Khairul Dzaimee, and Chief Executive of HRD Corp Datuk Wira Shahul Dawood, to report to the Malaysian Anti-Corruption Commission (MACC) about the findings of the reports,” said Human Resources Minister Steven Sim in a statement on Friday (July 5).

The auditing process is against the Human Resources Development Corporation (HRD Corp) operations from 2019 until 2023.

“I have been informed about the auditing process by these two bodies when I took over the ministry portfolio in mid-December 2023, then instructed Kesuma and HRD Corp to give full cooperation to the Audit Department and PAC," Sim said.

Within these six months, the ministry officially rebranded as Kesuma has started the engineering process (reengineering) across all ministries, to ensure good governance and efficient processes throughout the ministry and its agencies.

“My goal is to ensure that Kesuma reaches the level of governance and the highest corporate governance,” he added.

Kesuma Engineering at the HRD Corp level has been implemented to ensure the issues raised in the Auditor-General’s Report and PAC reports will not repeat.

Sim also said Kesuma will not hesitate if any relevant agency wants to further investigate the ministry.

“Kesuma will not compromise with actions that are against the law,” he added.

ALSO READ: ‘HRD Corp made bad bets’

Suspicious real estate deals and high-risk investments were some of the issues identified by the Public Accounts Committee (PAC) in its report on HRD Corp.

One such deal was the purchase of Menara Ikhlas for RM202.5mil in February 2021, where a deposit of RM120mil was paid upfront to a company called Crystal Clear Technology.

“It was more than 50% of the purchase price of the building, but the purchase was eventually cancelled.

“The agreement was a sales and purchase agreement, but the contents of the agreement was a lease to purchase agreement,” said the PAC in its report released on Thursday (July 4).

HRD Corp chairman Datuk Rajasekharan Ramasamy said the RM120mil deposit in question was returned with an interest of RM3.2mil.