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Saturday, June 10, 2017

Felda wants 3 new reps in FGV board, says Shahrir

Felda chairman Shahrir Samad says there has been no response from FGV to a letter on the appointments since it was sent on May 26.
shahrir-fgv-boardPETALING JAYA: Felda chairman Shahrir Abdul Samad is confident in the agency’s ability to resolve the crisis that has struck subsidiary Felda Global Ventures Holdings (FGV).

He said drastic measures need to be undertaken to ensure the company is returned to a stable condition.
The former Umno minister and current Johor Bahru MP said the best move is to appoint Felda representatives to take up positions in the FGV board of directors.
In an interview published by Utusan Online today, Shahrir said FGV has not responded although a letter on the appointments was sent by Felda, which comes under the Prime Minister’s Department, more than two weeks ago.
“On May 26, Felda had sent a letter to FGV to place three individuals in its board of directors. Two of them were management representatives while the third was a member of Felda’s own board of directors.
“However, till today there has been no response to the letter,” he said adding that he will personally write a follow-up letter to the proposal when he is back in Kuala Lumpur on Monday.
On June 6, FGV president and CEO Zakaria Arshad was asked by the company’s board of directors to take leave with immediate effect to allow investigations to take place on the issue of a delayed payment by Afghan company Safitex to FGV subsidiary Delima Oil Products.
In a letter to FGV the day before, Zakaria had defended himself against accusations of wrongdoing related to payments involving Safitex.
“The payment process was approved and implemented by the previous chief executive.
“I am not guilty of those accusations and will not resign as instructed,” he was reported to have said in the letter.
Besides Zakaria, FGV’s chief financial officer Ahmad Tifli Mohd Talha, Delima Oil Products senior general manager Kamarzaman Karim and FGV Trading CEO Ahmad Salman Omar were also asked to go on leave.
FGV chairman Isa Samad later said PricewaterhouseCoopers, an auditing firm, had discovered irregularities in transactions involving Delima Oil Products and Safitex, and FGV’s internal auditors also found discrepancies when they investigated the matter.
The matter is now being investigated by the Malaysian Anti-Corruption Commission (MACC) which seized documents during a day-long raid at the company’s office on Thursday.
Shahrir, who became Felda chairman in January this year, said FGV’s top management should acknowledge that the company is facing serious problems instead of denying the matter.
“What needs to be done is to find the best solution for the company and not dwell on who has won from this episode,” he said.
He said Prime Minister Najib Razak viewed the problem very seriously and had appointed Idris Jala to resolve it.
“This is a good move,” he said on the assignment of the former minister and now Pemandu Associates Sdn Bhd president and CEO, to establish the facts of the case and recommend the way forward following the FGV board’s decision.
Shahrir also said he hoped the situation gets back to normal as soon as possible without having any negative implications on Felda and its settlers, since Felda is the largest shareholder in FGV with a 33% stake. -FMT

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