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Tuesday, June 6, 2017

Shahrir urged to intervene, keep Zakaria in FGV posts

Rafizi Ramli claims there are many issues behind the move to direct CEO Zakaria to go on leave which need to be examined, adding that Isa and Zakaria differ on major FGV approaches.
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PETALING JAYA: Rafizi Ramli has called on Federal Land Development Authority (Felda) chairman Shahrir Abdul Samad to intervene in the forced leave of Zakaria Arshad as CEO and president of subsidiary Felda Global Ventures (FGV).
The PKR vice-president said Shahrir, a former Umno minister and current Johor Bahru MP, needs to defuse the situation by maintaining Zakaria in the positions while investigations take place.
In a statement today, the Pandan MP said there were many issues behind the suspension that needed to be examined with greater clarity.
He said he was informed that Zakaria’s views on some major issues differed from those held by FGV chairman Isa Samad.
Isa, a former Umno minister and Negeri Sembilan menteri besar, was Felda chairman before he was succeeded by Shahrir in January this year.
Rafizi claimed that the contentious issues included a plan to purchase PT Eagle High Plantations shares in Indonesia.
Felda’s special purpose vehicle Felda Investment Corporation (FIC) Properties Sdn Bhd acquired a 37% stake in Eagle High, owned by Indonesian tycoon Peter Sondakh’s Rajawali Group, in April this year.
This was after FGV had taken the lead last year in the acquisition proposal and it was later decided that FIG should take over the role.
“I am following closely some latest proposals that have dragged FGV to become involved in dealings with Tan Sri Peter Sondakh, including a latest proposal to terminate a land lease agreement with Felda that would entail transfer of shares to make Sondakh one of the biggest shareholders in FGV,” Rafizi alleged.
He added that there had been no confirmation on whether this alleged move would be pursued.
“I have also received information that there are a few projects that involve injection of funds amounting to hundreds of millions of ringgit to a foreign company, which have created differences in opinion between Isa and Zakaria,” he claimed.
Rafizi said as a second-generation corporate leader in Felda, Zakaria had successfully led FGV.
“I have issued fewer statements on FGV of late because I wanted to monitor FGV’s ability to develop under his leadership,” he said.
Zakaria was today issued an order by the company’s board of directors to go on leave, and give up both his positions, pending the conclusion of investigations into the issue of a delayed payment by Afghan company Safitex to FGV subsidiary Delima Oil Products Sdn Bhd.
In a letter to FGV yesterday, Zakaria 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. FMT

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