Action to be taken on Tabung Haji staff who leaked BNM letter

Action will be taken against the Lembaga Tabung Haji (TH) staff who leaked the Bank Negara Malaysia cautionary letter to the pilgrimage fund, TH chairperson Abdul Azeez Abdul Rahim said.

He said he had discussed this with TH’s lawyer and the fund would press charges if necessary, he told Bernama.

He also assured depositors that TH is financially sound.

"Although the haj would cost RM18,980 this year, LTH only charges each pilgrim RM9,980. This means a first-time pilgrim is getting a subsidy of RM8,910. This will not be possible if we are running at a loss," he said in response to reports on its negative reserve levels.

The central bank in a letter leaked online cautioned the fund on its slipping reserves, which BNM said could undermine TH’s ability to pay dividends and trigger mass withdrawals.

Dismissing claims that LTH is facing financial difficulties, Azeez said: "We are not operating at a loss and we do not need the government to come to our rescue.

"It has been our practice to announce the dividend in the first quarter before Chinese New Year and by the first week of the second month. This is in our calendar," he told reporters at the Parliament building today.

In a press statement yesterday, LTH group managing director and chief executive officer Tan Sri Ismee Ismail said throughout the 2014 and 2015 financial years, LTH’s total asset value was higher than its liabilities, taking into account the fair value of all its investment portfolios.

“LTH has been performing well financially... For example, our cash assets alone as at December 31, 2015, stood at RM10.7 billion,” he said.

On a warning letter from Bank Negara Malaysia (BNM) to him, claiming that LTH's liabilities outweighed its assets, Abdul Azeez said the central bank did not take into account the total value of its investment in other sectors.

"The assets mentioned by BNM did not take into account the equity investments of LTH's subsidiaries or associated companies besides that of real estates and plantations," he said. -Mkini