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Thursday, November 20, 2014

Azmin vows stern action over breach in payouts to Khalid’s ex-staff

Selangor Menteri Besar Mohamed Azmin Ali issued a warning today after an audit showed a breach of procedures in the RM2.5 million payout to the former aides of Tan Sri Abdul Khalid Ibrahim. – The Malaysian Insider file pic, November 20, 2014.Selangor Menteri Besar Mohamed Azmin Ali issued a warning today after an audit showed a breach of procedures in the RM2.5 million payout to the former aides of Tan Sri Abdul Khalid Ibrahim. – The Malaysian Insider file pic, November 20, 2014.
Selangor Menteri Besar Mohamed Azmin Ali has warned of stern action after an audit showed a breach of procedures in the RM2.5 million severance payouts to the former aides of his predecessor, Tan Sri Abdul Khalid Ibrahim.
Azmin was reported saying today that the next course of action would be determined by the new management of Menteri Besar Incorporated (MBI) after they were sworn in early next month.
The audit on the payouts showed a breach of process whereby the money was transferred in a short period of time.
"Results from the investigation showed there are a few matters that were not adhered to regarding the payouts, and the large extraordinary amount needs to be relooked into."
It was alleged that Khalid made severance payments worth some RM2.27 million in compensation and RM376,000 in lieu of three months' notice to his eight members of staff.
In a document sighted by The Malaysian Insider, the highest amount of RM695,400 was allegedly paid to Faekah Husin, former CEO of state-owned Menteri Besar Incorporated (MBI).
Khalid reportedly said he was unaware that exorbitant severance payments were made to them, but said that it was a “voluntary separation mechanism” offered to staff after the change of menteri besar.
He was quoted as saying by The Star that the payments were made under a voluntary separation scheme (VSS) offered to the staff when he left office.
Khalid defended the amount, saying the VSS payouts were less than 2% of MBI's RM112 million cash reserves.
He also said the payments were approved by MBI's board of directors, which comprised him, the state secretary and state financial officer, as well as the state executive councillors.
The four PAS exco members who served under Khalid in his last days as MB said they were not aware of the RM2.6 million “golden handshake” to his aides, nor had they endorsed it.
The four, it was reported, were taken by surprise by the quantum, which was approved by the MBI board.
"They were surprised when they found out the money was transferred electronically to Khalid's aides at night on his last day as MB," said PAS Shah Alam MP Khalid Samad.
The four PAS lawmakers who formed Khalid's exco were Dr Ahmad Yunus Khairy, Iskandar Abdul Samad, Dr Halimah Ali and Sallehin Mukhyi.
- TMI

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