“What was initially supposed to be a funding agency to nurture, support and facilitate the enhancement of the standard of sports has turned out differently. The ministry and the National Sports Council have turned into an uncontrollable monster because of the money at its disposal.”
Malaysiakini, May 24
On the same day I wrote the above, proceedings in the High Court in Kuala Lumpur provided the perfect anecdote in the form of evidence to verify and authenticate what I had written.
At the trial of former deputy prime minister Ahmad Zahid Hamidi, the court heard that Yayasan Akalbudi, which he heads, provided an RM1.3 million “advance” to the police football club seven years ago.
Zahid, who is facing 47 criminal charges, said he came to know from his son-in-law (Zul Hisham Zainal) that 45 police football players and staff had not been paid their salaries and allowances for four months.
This, he said, made it difficult for them to pay house rents, car loans and support their family members.
Zahid said the National Sports Council (NSC) later reimbursed RM1 million to the legal firm of Messrs Lewis & Co, which was managing the funds.
In money laundering parlance, it would be described as “layering”, but I make these remarks with a caveat – I am not in the least alluding that these monies were “layered” lest I get a “love letter” from his lawyers.
These comments are by no means an attempt to malign the accused or change the course or influence the court.
Whether a crime has been committed or not will be decided by the court based on the evidence presented.
Zahid’s testimony under oath has yet to be refuted. Hence, it shows misconduct and financial irregularities on the part of the NSC.
Since when has the NSC been tasked to “bail out” professional football teams when they are in financial trouble? Is this their forte? Have the principles for funding for sports activities been changed?
The NSC is supposed to enhance the standard of sports by providing financial assistance to National Sports Associations for the training and development, as well as monthly allowances for athletes. Surely, it does not encompass professional clubs.
The trial was told that RM1.3 million was to pay the wages of the players and staff of the football association, which was on average about RM500,000 to RM600,000 per month, and that the outstanding salary for four months came to around RM1.3 million.
Again, since when did the NSC start paying the salaries of professional footballers and officials? Was it a loan, a grant or a donation? If it was a loan, has it been repaid and if it was a grant, how was it recorded in the accounts?
But that is not the end of the matter. Why did the NSC make payment to a third party, in this case, Lewis & Co, which managed Akalbudi’s funds? Something is certainly not right as there is no privity of contract between Akalbudi or Lewis & Co and the NSC.
If any, shouldn’t the deal be between the club and NSC? Shouldn’t payment be made directly to the club instead of making it to Lewis & Co?
Is this a precedent? Has it opened the door for other troubled professional outfits going with a begging bowl for similar acts of charity?
Where does the buck stop?
This is the uncontrollable monster I commented on this week. Previously, millions were spent on bringing ageing stars for exhibition tennis matches while local tennis continues to flounder due to a lack of funds.
In 2007, there was the infamous Champions Youth Cup football tournament hosted by Malaysia at a cost of over RM20 million. The tournament was a failure by all standards.
At that time, when the spending was questioned, the then sports minister Azalina Othman Said maintained that RM17 million paid to the company – Gifted Group and its head honcho Jonathan Price – was "bidding fees" but nowhere in the world does any country “bid” to host any tournament for three consecutive years.
But after the flop and the change of guard at the ministry, the subsequent editions were not held and a cancellation fee was demanded!
The biggest standout of this monster endeavour undertaken by the NSC was the planned development of a “forward training base” in Brickendonbury, just outside London.
About RM70 million was earmarked to develop the Tun Abdul Razak Research Centre but the local council rejected the application. Despite being told that no development would be allowed in the area because of restrictions on land use, RM2 million had already been spent on architects’ fees and other related matters.
Where does the buck stop? Is the NSC the country’s Santa Claus for sports? Is money allocated for sports development spent prudently?
The spending is done in secrecy. After the failure to win a gold at the London Olympics in 2012, I approached the then minister, Ahmad Shabery Chik, for a breakdown of the RM30 million spent on the “Road to London” project.
Shabery said it would be done but he was over-ruled by the NSC director-general who declared that “there is no need to tell anyone how we spent the money”.
This aptly sums up the attitude of civil servants entrusted with public money. With no one to be accountable to, millions go down the drain – as in the case of paying professional footballers. How many more millions have been spent in other spheres without the need to be accountable? - Mkini
R NADESWARAN started his journalistic career as a sports reporter and continues to be a close observer of sports, its administration and related issues. Comments: citizen.nades22@gmail.com.
The views expressed here are those of the author/contributor and do not necessarily represent the views of MMKtT.
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