KOPERASI BERMASALAH BESAR, RUGI BESAR

 Malaysian Co-operative sector has plunged into misuse of funds with plunder, blunder and mismanagement.

much ignorance persists with the authorities which has led to the deteriorating state

millions forcefully transferred to illegal Co-------ive Com--sion from the Statutory Reserve Fund which has been falsely gazetted

The independence of the Co-operative movement worldwide has eroded and deviated from it's original principals. A good example is the Malaysian Co-operative sector, the 3rd economic sector which has plunged into misuse of funds with plunder, blunder and mismanagement.

          In the Malaysian scenario, I have resorted to legal options after repeated attempts to bring this matter to the attention of parliamentarians, ministers and even to Madani. It is sad to note that much ignorance persists with the authorities which has led to the deteriorating state.

          RM millions has been forcefully transferred to the illegal Co------ive Com---sion from the Statutory Reserve Fund which has been falsely gazetted. 

The irony is that all these ill gotten gains has been put in an illegal co-operative bank initiated by the Co-------ive Com---sion.

          Returns of investments in RM millions are being used by them. These funds actually belong to the relevant co-operatives. A few hundred co-operatives are languishing ... since 1982. The statement of affairs of these organisations have not been reflected in the annual accounts.

          Fixed assets belonging to the co-operatives are rotting all over the country. They are being administered by retired co-operative officials and other personnel who have not registered themselves as liquidators with the authorities.

          The biggest blunder is the receivership of the Co-------ive C----l Bank which has been put into liquidation without approval from the courts. 59 co-operatives which had invested a total of 59 million in the Bank are in dire peril for the past 32 years.

          The court action initiated by a co-operative consultant is defended by the AG's chambers with a sense of perse--tion without considering a solution of the 16,000 co-operatives with a membership of 16.2 million.

          Another irony is the shareholdings of co-operatives in the Bank is reduced to 1rm by the then Co-operative Development Department without them realising that capital reduction should be approved by the courts.

          The saga continues with these short comings and abuse being highlighted in the media. It is time for the authorities to conduct an overall programme evaluation and management audit to review the stringent by-laws to resuscitate this organisation which is in limbo.

Thuraisingham S. (016-),

Co-operative & Management Consultant,
Hon Secretary URUSKOP,
Persatuan Usahawan & Pengurusan Islam Malaysia,
Secretariat Entrepreneur & Islamic Association of Management Malaysia.

The views expressed are those of the writer and do not necessarily reflect those of MMKtT.