PAC asks MOHR to present independent audit report on HRD Corp in September
11 Jul 2024, 11:17 am
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Photo by Patrick Goh/The Edge

KUALA LUMPUR (July 11): The Public Accounts Committee (PAC) is requesting the Ministry of Human Resources (MOHR) to present the findings of an independent audit of the Human Resource Development Corporation (HRD Corp) at follow-up proceedings in September.

The demand follows the ministry's announcement that it will appoint a professional third-party auditor to address issues raised in the Auditor General's (AG) Report 2/2024 and a PAC report.

Human Resources Minister Steven Sim Chee Keong's move to proactively carry out an independent audit of HRD Corp is welcomed, PAC chairperson Datuk Mas Ermieyati Samsudin said in a statement, noting that it is the right step to restore trust in HRD Corp.

HRD Corp, an agency under the MOHR, is responsible for collecting levies from key industries and disbursing training grants to registered employers through the Human Resources Development Fund.

HRD Corp, however, came under intense scrutiny following reports by the AG and the PAC, which highlighted unusual transactions, including suspicious disbursements, dubious property deals, and risky investments.

On Tuesday, the Malaysian Anti-Corruption Commission visited the HRD Corp office, and is believed to have taken documents linked to the findings in the AG and PAC reports.

Sim reiterated that he will not protect any individuals implicated in the mismanagement of HRD Corp.

The AG last week flagged suspicious disbursement of training grants totalling RM51.69 million to some 3,700 individuals who attended training multiple times under the Gerak Insan Gemilang scheme. More than 200 participants were flagged for identical names and identification numbers.

The PAC also held its own investigation into HRD Corp, and found that the company had been utilising a significant portion of the levy it collected from companies for risky investments. The bipartisan parliamentary committee also found that HRD Corp had engaged in several dubious property deals.

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