Former aide to Tan Sri Abdul Khalid Ibrahim, Faekah Husin, said there was nothing illicit in the RM2.6 million in severance packages doled out to her and those linked to the former Selangor menteri besar. – Pic courtesy of Selangorku.com, January 6, 2015.
A former aide to Tan Sri Abdul Khalid Ibrahim today denied there was any wrongdoing in the RM2.6 million in severance payments that she and others linked to the former Selangor menteri besar had received.
Faekah Husin, who is former Menteri Besar Incorporated (MBI) chief executive officer, revealed that she had received a letter from the state, demanding that she return the "golden handshake" she received last November from Khalid in his last days in office.
"Since this issue is about the law, all those who received the money under the Mutual Separation Scheme (MSS) will engage lawyers to scrutinise the letter of demand and take the necessary steps," she said in a statement today.
"I deny that the payout through MSS was illegal and was made without any approval, as was stated in the letter. The letter of demand has also failed to clearly state what procedures and financial regulations were violated when the payments were made."
This comes after Selangor Menteri Besar Mohamed Azmin Ali on January 3 ordered the former aides to return the “golden handshake” – given when Khalid was holding office – within 14 days from the receipt of written notice from MBI.
Azmin said an investigation found violations in terms of procedures and financial regulations when the payments were made to the eight aides.
It was reported that RM2.27 million in compensation and RM376,000 in lieu of three months' notice were allegedly paid to Khalid's eight members of staff.
Faekah allegedly received the highest amount, at RM695,400, in a document sighted by The Malaysian Insider.
An 11-page state treasury investigation on the severance package found that payments had not been done according to procedure.
The report, distributed at the state assembly sitting early last month, said that the compensation to Khalid's staff, who also quit when he stepped down three months ago, violated the terms and conditions of their employment letters.
Faekah today rubbished the contents of the "defective" investigation report, saying it was manipulated and the audit was unprofessionally conducted.
"The audit is defective as it was made a public document without getting any explanation from those involved, including the former menteri besar himself," she said.
"Manipulating the audit has caused tremendous prejudice against those involved in making the decision, including those who received the severance payment."
She said that she ordered her lawyer to look at every legal angle in order to counter the demand and to seek damages for the breach of the terms of the MSS and the humiliation she faced over the issue.
"The MSS approach was taken to give enough room for the new administration to continue their agenda and their way of ruling without having to face the previous workforce.
"I am sorry that this mutual agreement has been tainted and breached by the new administration," she added.
Azmin said that action would be taken against those who failed to comply with the notice.
He said once they have returned the money, MBI will review the amount they should have been paid according to the current allocation.
Khalid however defended the payout, saying the payments were made under a voluntary separation scheme (VSS) offered to the eight when he left office.
He added that the payout made up less than 2% of MBI's RM112 million cash reserve.
PKR sacked Khalid last August after he failed to attend a disciplinary committee hearing over allegations concerning Selangor's water-restructuring exercise, his debt settlement with Bank Islam and the proposed Kinrara-Damansara Expressway.
These came amid a tussle for the menteri besar position that started early last year, with PKR leadership wanting him to step down to make way for party president Datuk Seri Dr Wan Azizah Wan Ismail.
The crisis ended when the Sultan of Selangor appointed PKR deputy president Azmin as the new menteri besar in September.
- TMI
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