HRD Corp CEO, HR Ministry sec-gen to reach out to MACC over irregularities revealed in A-G’s Report: Sim

This follows report stating company is owed RM205.42 mil in mandatory levies by over 21,000 employers

10:23 AM MYT

 

KUALA LUMPUR – The Human Resource Ministry will report the findings of the 2024 Auditor-General’s (A-G) Report on irregularities found in the Human Resources Development Corporation (HRD Corp) to the Malaysian Anti-Corruption Commission (MACC). 

In a statement today, its minister Steven Sim said he has instructed the ministry’s chief secretary Datuk Seri Khairul Dzaimee and HRD Corp chief executive Datuk Shahul Dawood to reach out to the graft busters immediately. 

He said the ministry takes seriously the reports by the auditor-general and the Public Accounts Committee (PAC), which were presented in the Dewan Rakyat yesterday. 

“The auditing process scrutinises HRD Corp’s operations from 2019 to 2023. 

“I was informed about the auditing process by these two bodies when I took over the ministry portfolio in mid-December 2023.  

“Subsequently, I instructed the ministry and HRD Corp to give full cooperation to the National Audit Department and PAC,” he said. 

In the report, it was revealed that HRD Corp is owed RM205.42 million in mandatory levies by various employers. 

The levies, which were meant to be used for the company’s training programmes, were owed by a total of 21,058 employers, the report said. 

The report also said there has been a year-on-year increase in outstanding levies, rising from RM72.47 million in 2020 to RM96 million in 2021, RM141.77 million in 2022, and RM183.87 million in 2023. 

In addition to the RM183.87 million owed in 2023, inactive employers whose companies had closed or been dissolved owed an additional RM21.55 million in levies. 

Sim said that his objective is to ensure the ministry achieves the highest standards of governance and corporate excellence through the reengineering efforts implemented in the past six months. 

“The ministry’s reengineering efforts at HRD Corp include measures aimed at preventing the recurrence of issues highlighted in the auditor-general and PAC reports. 

“The ministry will continue to cooperate should any relevant agency wish to conduct further investigations. It remains steadfast in its commitment to uphold the law without compromise,” he added. – July 5, 2024 

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