KUALA LUMPUR: The government must move decisively from disclosure to implementation following the release of the Royal Commission of Inquiry report on Lembaga Tabung Haji, says Transparency International Malaysia.
Its president Dr Raymon Ram said the status of every recommendation made by the RCI should be made public through a structured and verifiable reporting mechanism.
He said the Malaysian Anti-Corruption Commission (MACC), police and other enforcement agencies should also provide time-bound updates on investigations arising from the report, including matters previously referred through police reports and MACC investigations.
“Parliament’s proposed special sitting should proceed without further delay and serve as the beginning of sustained bipartisan oversight, rather than a one-off political exercise,” he said in a statement on Thursday (July 30).
Raymon said while TI-Malaysia welcomed the long-overdue release of the report, its publication raised a fundamental question as to why the public, Tabung Haji depositors and Parliament had to wait until July 2026 to access findings reportedly completed and presented to the Yang di-Pertuan Agong in August 2022.
He said a Royal Commission inquiry into matters of significant public interest should not remain beyond public scrutiny for years.
“Transparency delayed undermines accountability, weakens public confidence and limits the ability of institutions to respond decisively to identified failures,” he said.
Raymon said the findings were deeply concerning as they pointed to systemic governance weaknesses, political interference in board appointments and profit-related decisions, serious accounting irregularities, questionable investment practices and a prolonged failure of accountability.
He said public reporting on the declassified report indicated that Tabung Haji should have recorded a RM1.4bil loss in 2017 instead of the RM3.4bil profit that was reported.
He added that hibah distributions were reportedly sustained through improper accounting practices, while the commission had recommended forensic audits into 14 problematic investments.
The RCI had also reportedly proposed that active politicians be barred from serving on Tabung Haji’s board and the boards of its subsidiaries.
“These findings are not merely about historical failures.
“Tabung Haji is entrusted with safeguarding the savings of millions of Malaysian Muslims and occupies a unique position as one of the country’s most important public institutions,” he said.
Raymon said protecting depositor confidence could not be used to justify withholding the truth.
“Genuine confidence is built through competent governance, timely disclosure, independent oversight, effective enforcement and transparent corrective action — not prolonged secrecy,” he said.
He said the report also highlighted the need for structural reform, including amendments to the Tabung Haji Act 1995.
Raymon said the amendments should include clear fit-and-proper requirements for board appointments, a ban on active politicians serving as chairman or board members, stronger conflict-of-interest provisions, and proper declarations of interests and assets by senior office bearers.
He said the law should also reduce excessive discretionary powers in the Executive.
“If, as reportedly recommended by the RCI, Tabung Haji is to remain a single integrated institution, its governance framework must reflect contemporary standards of independence, integrity and public accountability,” he said.
Raymon also called for independent forensic audits into all investments identified by the commission, recovery of losses where possible, and civil, criminal or disciplinary proceedings where evidence warranted.
“No individual — regardless of position, political affiliation or former office — should be shielded from due process.
“At the same time, any enforcement action must be conducted fairly, independently and strictly in accordance with the rule of law,” he said.
Raymon said the episode also reinforced the need for broader institutional reform, including a federal Freedom of Information law and a declassification-by-default policy for future commissions of inquiry once proceedings had concluded, subject only to narrow legal exceptions.
He said the release of the Tabung Haji RCI report must mark the start of meaningful accountability.
“Malaysia cannot afford another cycle of public outrage followed by institutional inertia.
“What the country requires now is decisive action, credible enforcement and lasting governance reform,” he said.
