SHAH ALAM: The Selangor state assembly heard a motion by Hulu Kelang assemblyman Saari Sungib on Tuesday to temporarily halt the operations of newly-formed state investment firm, Darul Ehsan Investment Group (DEIG).

He proposed that DEIG operations be stopped for six months until a white paper could be tabled in the assembly, adding that it must also explain the need for the company set up by Menteri Besar Mohamed Azmin Ali.

Saari also said all strategic investments related to government-linked companies should proceed under Menteri Besar Incorporated (MBI), which is Selangor’s investment holding firm.

“We want transparency and accountability. Our concern is that DEIG is set up by the same person heading the MBI and chaired by the menteri besar.

“We are worried that there might not be sufficient check and balance measures,” Saari told reporters outside the assembly last Friday.

He said the concern was shared by a majority of the assemblymen.

Mohamed Azmin, who is PKR deputy president, is under fire for setting up a state investment firm which legislators said does not have to report to the state assembly. Critics included lawmakers from PKR’s ally, DAP, who said that MBI’s operations should be improved first.

The menteri besar said DEIG would not have any impact on the state since the entity was only responsible for investment matters, while its policies would be decided by MBI and the state government.

He also said DEIG would not be the same as debt-laden investment firm 1Malaysia Development Bhd,  which is owned by the Finance Ministry and the focus of an ongoing financial and political turmoil in the ruling Barisan Nasional. — The Malaysian Insider

This article first appeared in digitaledge Daily, on August 20, 2015.