PETALING JAYA: The board of news portal Malaysiakini has filed a police report over what it terms the "diversion" of RM3mil from its subsidiaries to third-party entities believed to be operating non-licensed investment schemes.
In a statement on Thursday (March 5), it said Mkini Group Sdn Bhd's board of directors conducted internal investigations assisted by independent legal counsel and financial consultants
"The diversion of funds happened between March 2023 and March 2024 and was enabled by former key employees of Malaysiakini," read the statement
on Thursday (March 5).
"The diversion went undetected as the audited company accounts from 2023 and 2024 stated the funds were in 'fixed deposits placed with a licensed bank'," it said, adding that a police report has been filed over the matter and active remedial measures are underway.
Co-founders Steven Gan and Premesh Chandran, who are non-executive directors of the Mkini Group, expressed their deepest disappointment and regret over the unauthorised actions.
"To be betrayed by some of our most trusted staff members is a heavy blow. We are determined to recover the funds and tighten oversight to prevent any recurrence," they said.
"The board will provide further updates as more information becomes available, subject to the constraints of the ongoing investigation and litigation," read the statement.
