Do away with political appointments in state GLCs, Penang govt told

 

A PN assemblyman has called on the Penang government to demonstrate transparency and accountability in its handling of state GLCs by providing independent audits of accounts. (Bernama pic)

GEORGE TOWN: The Penang government must do away with political appointments to government-linked companies (GLCs), an opposition lawmaker told the state assembly.

Izhar Shah Arif Shah (PN-Seberang Jaya) said the state government needs to adhere to reform promises made by Pakatan Harapan (PH) in opposing political appointees.

“This practice of political rewards, by appointing people from various parties, can ‘burden’ a company or GLC, turning them into a cost centre instead of a profit centre,” Izhar said while debating the 2024 supply bill.

Izhar Shah Arif Shah.

He also requested an independent audit on state GLCs be tabled annually at the assembly.

The Bersatu assemblyman said the state government should ensure state agencies, statutory bodies and GLCs that receive state funds perform well enough to produce projected returns.

Izhar said the 15 GLCs owned by Chief Minister Incorporated (CMI) and one by State Secretary Incorporated (SSI) need to be monitored closely and given targets on their expected returns, employing the lowest risk factors.

It would be “an unhealthy practice” if these GLCs did not generate revenue for the state and were only dependent on state funds for any of their initiatives.

Separately, Izhar also called upon the Penang state government to table the annual financial reports of both CMI and SSI in line with its “competency, accountability and transparency” (CAT) principles.

He said not less than RM3.3 million was collected from the rent of lands owned by SSI and CMI. They should be asked to table their earnings at the assembly as part of good governance, he added. - FMT