PAC to proceed with NFC probe

By Shannon Teoh

March 21, 2012

KUALA LUMPUR, March 21 — The Public Accounts Committee (PAC) insisted today it will continue its inquiry on the alleged abuse of a RM250 million federal loan by the National Feedlot Corporation (NFCorp).

However, PAC chairman Datuk Seri Azmi Khalid (picture)told reporters it will abide by the Dewan Rakyat Speaker’s ruling that matters specific to criminal charges faced by NFCorp chairman Datuk Seri Mohamad Salleh Ismail are subjudice.

“(Tan Sri Pandikar Amin Mulia) advised that we have to abide by the ruling in Dewan. But I was informed matters regarding the National Feedlot Centre (NFC) not involving the court case can be discussed.

“What we will touch on is how public funds were used, how it was approved, what studies were done and what problems arose. Loan agreements will not change if they are brought before PAC. There is no subjudice here,” the Padang Besar MP said.

The panel held an emergency meeting this morning to deliberate the Dewan Rakyat Speaker’s orders which came just a day after Datuk Seri Shahrizat Abdul Jalil’s family, who own NFCorp, refused to face the committee.

But Pandikar Amin clarified in Dewan Rakyat today that only matters specific to criminal charges brought against Mohamad Salleh Ismail were subjudice.

Mohamed Salleh, who is married to Wanita Umno chief Shahrizat, was charged in court on March 12 with two counts of criminal breach of trust and two counts of violating the Companies Act.

Pandikar Amin had last week disallowed an emergency motion to discuss the RM250 million controversy despite earlier approving it for debate, citing a criminal case on the same issue.

But a High Court ruling sighted by The Malaysian Insider showed that Pandikar Amin’s decision was flawed.

The High Court, in a contempt suit filed by Syarikat Bekalan Air Selangor Sdn Bhd (SYABAS) against a Selangor government lawyer and PAS organ Harakah last year, had held that the courts must be cautious in applying the subjudice law and must also take into consideration constitutional provisions on the freedom of speech.

Justice Ariff Yusof, when rejecting the application, had said “the court cannot believe the sensitivities of the average Malaysian can be so different so as to incline the court to adopt a completely different juristic approach which relegates freedom of expression below the subjudice rule.”

NFCorp had also said yesterday its directors would not appear before the PAC due to the pending court case.

Mohamad Salleh pleaded not guilty to the charges in relation to RM49 million in federal funds given to the company in the scandal that has opened Datuk Seri Najib Razak and the Barisan Nasional (BN) government to damaging attacks ahead of elections expected soon.

Shahrizat announced the day before on March 11 that she will cease to be women, family and community development minister when her senatorship ends on April 8.

She, however, will continue as Wanita Umno chief despite being dogged for over four-and-a-half months by the NFC scandal.

Shahrizat and her family were accused by the opposition of using public funds earmarked for NFCorp to finance over RM62 million of land, property and expenses unrelated to cattle farming.

The company, tasked with running the national cattle-farming scheme, is headed by her husband and their three children.

The National Feedlot Centre (NFC) project in Gemas, Negeri Sembilan, was awarded to the company in 2006, when Shahrizat was in Cabinet.

NFCorp hit the national headlines after it made it into the Auditor-General’s Report last year for missing production targets.