Azam had enough funds to purchase Velocity Capital shares, says source

 The MACC chief earns about RM50,000 a month, on top of the retirement gratuity and golden handshake worth nearly RM1.2mil received in 2023.

The controversy over MACC chief Azam Baki’s shareholding arose from a Bloomberg report that he held 17.7 million shares in Velocity Capital Bhd, or 1.7% of the company’s paid-up capital.

PETALING JAYA:

 Malaysian Anti-Corruption Commission (MACC) chief commissioner Azam Baki had more than enough personal funds to buy his shares in Velocity Capital Bhd and did not ultimately profit from the transaction, says a source, dismissing claims of a conflict of interest.

He said Azam had sufficient income and savings, including retirement benefits, to fund his purchase.

“He received a retirement gratuity and golden handshake totalling nearly RM1.2 million when he first retired in 2023. So he has more than enough.

“He receives remuneration of about RM50,000 a month, including his pension and monthly salary,” he added.

The source said Azam bought Velocity Capital shares early last year and sold them soon after, which tallies with documents previously cited by FMT and issued by the public service department showing that he purchased the shares on Jan 15 and sold them in July.

The controversy over Azam’s shareholding arose from a Bloomberg report that he held 17.7 million shares in Velocity Capital, or 1.7% of the company’s paid-up capital, worth about RM800,000 based on the company’s annual return lodged on Feb 3 last year.

The report said Azam’s name still appeared on the company’s register of shareholders at the Companies Commission of Malaysia.

This is said to be in breach of a 2024 government circular which states that civil servants may hold shares in Malaysian-incorporated companies provided the holdings do not exceed 5% of the paid-up capital or RM100,000 in value.

Azam said he would send Bloomberg a letter of demand over the report, claiming it was malicious and had tarnished his and MACC’s reputation.

RM400,000 loss from Velocity Capital trades

The source said Azam lost over RM400,000 in his purchase and sale of the shares last year, and that his share dealings were declared to chief secretary Shamsul Azri Abu Bakar through the Human Resources Management Information system.

He also said Azam had proactively declared his shares, even though the regulations stipulated he had another five years to declare them following their purchase. “Right now his trading account is empty,” he said.

The source said the asset declarations were made confidentially under current regulations and were not meant to be disclosed publicly.

“He is not obliged to declare assets publicly. There is no law or regulation. You enter the figures into the (government’s) system. That’s all,” he added.

Yesterday, reporters asked Azam if civil servants are allowed to trade shares, to which he said the key element is disclosure. “If government officers are not allowed to buy shares, then all of us cannot buy shares. But as far as I know, when we do trading, we need to declare. That’s all. That’s a must,” he said.

Asked if he had complied with the relevant circular, Azam replied: “I’m more than aware. That’s why I complied. That’s why I declared it within a very short period of time.” - FMT