PETALING JAYA: The Royal Commission of Inquiry (RCI) report on Lembaga Tabung Haji (TH) must not end with just a parliamentary debate. It ought to lead to concrete reforms and accountability to restore depositors’ confidence, say experts.
Transparency International Malaysia (TI-Malaysia) president Dr Raymond Ram said tabling and debating the report in the Dewan Rakyat were essential, but should be the beginning of accountability, not its conclusion.
“The RCI identified serious weaknesses involving governance, political interference, accounting and financial reporting, profit distributions and high-risk investments.
“Most strikingly, it found that full application of Malaysian Financial Reporting Standards would have resulted in a RM1.4bil loss in 2017, instead of the RM3.4bil profit reported.
“These matters go directly to the integrity and stewardship expected of an institution holding the haj savings of millions of Malaysians,” he said when contacted yesterday.
The Dewan Rakyat held a special sitting yesterday to debate the findings of the RCI which was released on July 29.
He said reassurance alone was not enough to restore confidence.
TI-Malaysia is calling for all 25 RCI recommendations to be publicly tracked, with clear deadlines for outstanding reforms, he said.
He said it also wanted amendments to the Tabung Haji Act to tighten board appointments and bar active politicians from serving, alongside stronger conflict-of-interest safeguards, independent investment oversight, forensic reviews of flagged investments, efforts to recover losses and firm legal or disciplinary action where warranted.
“TH says 75% of the recommendations have been implemented. That progress is welcome, but the public should be able to verify it,” he said.
He acknowledged that TH is now in a much stronger financial position, with its balance sheet restored and a 3.5% profit distribution declared for 2025.
However, he stressed that financial recovery alone could not replace governance accountability, with depositors needing clear and verifiable evidence that the failures identified by the RCI would not be repeated.
Malaysia Corruption Watch (MCW) president Jais Abdul Karim said the report must be properly debated, given its implications for the public interest and institutional accountability.
“MCW proposes several immediate priorities, including strengthening the independence and professional competence of TH’s board and management, as well as stronger safeguards against political interference.
“Ultimately, depositors’ confidence will not be restored through assurances alone. It must be rebuilt through transparency, accountability, institutional reform and demonstrable action,” he said.
