SO WHAT IF KHAZANAH’S BOARD, CLUTTERED WITH UMNO-BN ELITES, QUIT EN-MASSE? ARE THEY INDISPENSABLE, ARE THERE NO OTHER MALAYS & MALAYSIANS CAPABLE OF FILLING THEIR SHOES?

KUALA LUMPUR – Khazanah Nasional Bhd managing director Tan Sri Azman Mokhtar and all eight other board members have joined the ever-growing list of high-profile resignations following the government change on May 9 this year.

They reportedly signed undated resignation letters that were submitted to Prime Minister Tun Dr. Mahathir Mohamad’s administration on July 24.

The eight are Datuk Seri Nazir Razak (chairman of CIMB Group and brother of former prime minister Datuk Seri Najib Razak), Tan Sri Md Nor Md Yusof, Tan Sri Mohamed Azman Yahya, Datuk Mohammed Azlan Hashim, Tan Sri Andrew Sheng Len Tao (former Bank Negara Malaysia official), Tan Sri Raja Arshad Raja Uda, Datuk Nirmala Menon and Yeo Kar Peng.

The government’s sovereign wealth fund confirmed that they had offered their resignations.

“Khazanah confirms news reports that all members of the board of directors including the managing director have offered to resign from the board.

“This is done in order to facilitate a smooth and orderly transition under the new government,” it said in a statement yesterday.

It was earlier reported that Azman and the other directors had unanimously decided to offer their resignations at a meeting chaired by Md Nor as they believed that the Dr Mahathir administration should determine the new leadership structure of Khazanah.

A Khazanah source said that the en masse resignations were a “matter of principle and not so much political.”

The source said that it was already understood that with the government change, there would also be changes in the fund’s management.

It was, however, disappointing that despite multiple attempts on Azman and Khazanah’s part, they were never granted an appointment with the prime minister.

The source noted that that some of the board members notably Sheng would most likely be retained.

“The reappointments would need to come from the Prime Minister’s Office so as to not appear conflicting with the current government. Ironically, the appointments of the current management and board are based on merit, and not politically driven,” the source added.

An observer close to the firm said that the resignations were unfortunate but needed as to maintain public perception.

“Khazanah is home to some of the best and brightest talents in Malaysia. Most of these talents are there based on their talent. Unfortunately, the previous Barisan Nasional government was riddled with corruption that anything linked to the previous government will now need to go, despite their contribution,” said the observer.

“Azman and the rest are just at this point, collateral damage.”

Khazanah’s existing succession plan include two deputy MDs namely Ahmad Zulqarnain Onn and Tengku Datuk Seri Azmil Zahruddin Raja Abdul Aziz. Both appointments took effect in January this year.

Ahmad Zulqarnain did not respond when contacted by NST Business.

The appointment of new MD is now up to Dr Mahathir, according to Finance Minister Lim Guan Eng.

“I believe that is their decision and it is to give Prime Minister the opportunity to decide on the direction of the board – whether to maintain the old board appointed by the previous government or to appoint a new one,” he was quoted to say at the Parliment lobby yesterday.

“I think that is a wise decision, to leave it to the Prime Minister,” Lim said, adding that the cabinet had not discussed the matter.

– NST