AG never said we're in a mess, says NFC

Having received much bad press for several months now, the National Feedlot Corporation Sdn Bhd  (NFC) today insisted that the Auditor-General had never said it was it a “mess” in his 2010 report.

In a press statement today, NFC executive director Wan Shahinur Izmir Salleh said the use of the term in press reports has created “perceptual confusion” and was “mischievous”.

“Nowhere and at no time had the Auditor-General described in his 2010 audit report that National Feedlot Corporation Sdn Bhd was in a ‘mess’.

“Clearly, critics saying the project being in a ‘mess’ is inaccurate. And quoting the Auditor-General to having said that is an allegation made out to mislead falsely and mischievously,” he said.

Izmir, who is the son of cabinet minister Shahrizat Abdul Jalil who is also feeling the heat over the NFC scandal, also urged the public to read the AG’s 2010 report which is available online.

In his 2010 report, the AG found that the National Feedlot Centre project failed to meet its objectives of 8,000 cows in 2010 due to three reasons, including NFC’s failure to set up the Entrepreneur Development Programme (EDP).

Based on the agreement, NFC was supposed to produce 130 satellite ranchers who will receive cattle and feed to fatten the cattle, which will later be bought back by NFC.

“As of Dec 31, NFC has not set up the EDP. Besides that, the draft of the standard operating procedures (for the ranchers) by NFC has yet to be finalised,” the report read.

Another reason cited was the withdrawal of main operator Lamberts in 2008, when it failed to get cooperation from its partner company to supply cattle.

The AG also reported that the area meant to plant fodder grass to feed the cattle was overgrown with acacia trees.

The report added that NFC, which was awarded RM13 million in government grant and RM250 million of government soft loan at 2 percent interest, also did not meet its obligation to:

• Build a feed factory,

• Build a bio-gas factory to process refuse from the abattoir and feedlot, to be used to generate electricity,

• Maintain the infrastructure of the feedlot centre.

NFC thanks NGOs for dialogue

Meanwhile, NFC also extended its appreciation to a group of 12 NGOs who had joined a “no holds barred” dialogue with the company on the matter on Saturday.

The NGOs include Pertubuhan Pribumi Perkasa Malaysia (Perkasa), Persatuan Pengguna Islam Malaysia, Malaysian Entrepreneurs Council, Peninsular Malay Students Coalition, Consultative Council, Malay Professional Thinkers Association and the Children of Kelantan Association.

The company also welcomed news of the appointment of an independent audit firm to audit the project to “help clear the air once and for all, and put into perspective the true picture of the project”.

It will help allay public concerns and criticism as the findings of the independent audit would bring out the hard facts of the project.