KUALA LUMPUR (Aug 9): TMC Life Sciences Bhd (KL:TMCLIFE) will issue a notice of domestic inquiry against its suspended group chief executive officer (CEO) Wan Nadiah Wan Mohd Abdullah Yaakob, after failing to achieve any settlement following two show cause letters and a mediation process.  

A notice of domestic inquiry is an internal disciplinary proceeding conducted by an employer to examine whether an employee has committed an act of misconduct, in breach of the terms of employment. 

This process provides the accused employee with an opportunity to defend themselves against the charges brought against them.

The notice will be issued to allow Nadiah the opportunity to be heard by an independent domestic inquiry panel, TMC Life Sciences said.

"The board shall provide further necessary announcement when the domestic inquiry panel has completed its process and presented its findings to the board," the multi-disciplinary healthcare provider said in a filing. 

TMC Life Sciences announced on Jan 29 of Nadiah's suspension as group CEO, and as CEO of its subsidiary Thomson Hospitals Sdn Bhd. 

This was to "facilitate an internal disciplinary process relating to six allegations of misconduct" as stated in the first show cause letter issued on the same day. 

The group then issued a second show cause letter against Nadiah on March 29, containing an additional nine allegations distinct from those outlined in the first show cause letter. 

Until now, TMC Life Sciences have yet to reveal the 15 allegations of misconduct against Nadiah.  

After concluding that the written replies from Nadiah to the two show cause letters were "generally insufficient to answer the allegations", TMC Life Sciences' Audit and Risk Management Committee (ARMC) had first recommended the issuance of the notice of domestic inquiry some time in May. 

However, prior to the issuance of such notice, the group said Nadiah on May 28 requested a mediation to be held on a without prejudice basis which was promptly acceded by the board on May 30. 

According to TMC Life Sciences, the mediation process took place before an independent certified mediator — who was appointed jointly by the company and Nadiah — on June 6 and 10. 

The mediation was attended by members of the ARMC on behalf of the group. 

"However, the mediation followed by subsequent negotiations failed to achieve any settlement effectively on July 26, 2024," it said. 

Nadiah was appointed executive director of TMC Life Sciences in February 2019. 

Prior to that, she was the chief operating officer at Sunway Medical Centre after being promoted from director of its business development and corporate communications in October 2016.

Shares of the group closed up half a sen or 0.82% at 61.5 sen, giving the group a market capitalisation of RM1.07 billion. Year to date, the counter has fallen by 18%, or 14 sen.