NFC fiasco: ‘RM600k spent via credit card’

PKR also wants a corporate administrator to be appointed to take over the management of NFC and conduct a full audit on the company

PETALING JAYA: The family of Shahrizat Abdul Jalil had spent almost RM600,000 of taxpayers’ money through the National Feedlot Corporation (NFC), claimed PKR today.

PKR strategic director Mohd Rafizi Ramli alleged that the Women, Family and Community Development Minister’s family had spent that amount via credit card through the NFC in 2009.

“Investigations by PKR showed that in 2009, the credit card spending by the family members of Shahrizat reached RM593,500, which is fully funded by the rakyat’s money through NFC,” he said.

Rafizi said Shahrizat’s husband Mohamad Salleh Ismail spent a total of RM182,525 that year, averaging a monthly spending of RM15,210. While their children Wan Shahinur Izran Mohamad Salleh spent RM160,673 (averaging RM13,389 monthly); Wan Izzana Fatimah Mohamad Salleh RM127,900 (averaging RM10,658 monthly); and Wan Shahinur Izmir Mohamad Salleh RM122,402 (averaging RM10,200 monthly).

Another police report on the excessive credit card spending of Shahrizat’s family will be lodged by PKR tomorrow afternoon, he added.

Rafizi also criticised NFC executive director Wan Shahinur Izmir Salleh’s statement yesterday that NFC operations will continue as usual despite an assets freeze.

“That statement has raised the question of whether (Prime Minister) Najib Tun Razak was only making empty statements without specific orders, or was it NFC which had gone against the instructions of the government?” he said.

Appoint corporate administrator

Rafizi said that the right thing to do would be to appoint a corporate administrator to take over the management of NFC and conduct a full audit to expose all the misappropriations that had happened.

Rafizi said that the action to “freeze NFC assets” should by right mean that:

All spendings other than that of the payment of salary to workers in the operation of cattle farming (as is mandated in the spendings agreement with the government) should be frozen;

The current management which consists of the family of Shahrizat should not be allowed to make any decisions involving the operations, finance, human resources and other important decisions;

Any form of withdrawal of any funds from NFC, including the payment of salary and the spending of other companies belonging to Shahrizat’s family, should be stopped immediately; and

Any decisions involving assets or company structure and investment should not be allowed to prevent the transfer of assets.

“Normally, it is the corporate practice of good governance, whenever someone is investigated of an accusation of breach of trust, the person is not allowed to enter the office and is immediately suspended to avoid destroying evidence,” said Rafizi.

He said NFC’s statement which indicated that Shahrizat’s family was still free to control the finances and operations of NFC brings about “big risks” and could jeopardise the evidence and finance records of NFC.

“PKR reiterates that Najib should be braver by terminating any involvement of Shahrizat’s family in the operation of NFC and appoint a corporate administrator to take over the management with the mandate to expose all misappropriations that have happened,” he said.

He warned that PKR would continue to reveal more abuses if that was not done.

“More revelations will be made until Najib takes action to show that he and his Cabinet friends accept fully the responsibility of the misappropriations that have happened with NFC,” he said.

‘Business as usual’

Yesterday, despite having its assets frozen amid a probe by the police and the Malaysian Anti-Corruption Commission, NFC said that it was “business as usual” as operations would continue running uninterrupted.

NFC came under attack from the opposition parties , particularly PKR, after the release of the 2010 Auditor-General’s Report, which said the publicly-funded corporation was “in a mess” after it failed to meet targets for beef production.

Shahrizat’s family was accused of misappropriating RM250 million of public funds meant for NFC in the purchase of a luxury car and luxury condominiums in Bangsar and Singapore. It was also claimed that the beef produced by NFC was channelled to luxury restaurants owned by Shahrizat’s family.

Shahrizat, who is also Wanita Umno chief, denied that she was involved in any wrongdoing. However, she faces growing calls to quit as minister, not only from the opposition parties, but from within Barisan Nasional and Umno as well.

Last week, Shahrizat said she was taking a three-week leave until investigations were completed.