Friday 09 Jun 2023
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SHAH ALAM: The RM2.6 million “golden handshake” paid out to aides of former menteri besar (MB) Tan Sri Abdul Khalid Ibrahim was not done according to procedure, a state treasury investigation revealed yesterday.

The 11-page report, distributed at the state assembly sitting, stated that the compensation to Abdul Khalid’s eight members of staff, who also quit when he stepped down three months ago, were in violation of the terms and conditions of their employment letters. Abdul Khalid’s successor Mohamed Azmin Ali had raised concern last month over possible elements of wrongdoing in the matter and asked state-owned Menteri Besar Incorporated (MBI) to look into the matter.

“Compensations were not mentioned among the terms in the appointment letters for the eight staff concerned,” the report stated. It also revealed that the calculation of the payments made were also inaccurate.

“Approvals for the payments were also not forwarded to the MBI’s Board of Directors for consideration and final approval,” the report said, adding that all board members did not give their consent for the payments to be made to the staff.

“The board of directors, except for (Abdul) Khalid (then MBI chairman), did not at any time after Aug 25 give their final approval for the implementation,” the report stated.

From the report, former MBI chief executive officer Faekah Husin was paid the highest — RM581,400 in compensation and RM114,000 in lieu of three months notice. The report said the compensation should have been calculated based on 53 months and 23 days tenure instead of the 78 months used.— The Malaysian Insider

This article first appeared in The Edge Financial Daily, on December 4, 2014.

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