Friday 29 Mar 2024
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KUALA LUMPUR: Selangor Menteri Besar Mohamed Azmin Ali has warned stern action after an audit showed a breach of procedure in the RM2.6 million severance payouts to the former aides of his predecessor, Tan Sri Abdul Khalid Ibrahim.

Azmin was reported as saying yesterday that the next course of action would be determined by the new management of Menteri Besar Incorporated (MBI) after they are to be sworn in early next month.

The audit on the payouts showed a breach of process whereby the money was transferred in a short period of time.

On Sunday, he said that the state’s audit department found elements of wrongdoing in the payout.

“Results from the investigation showed there were a few matters that were not adhered to regarding the payouts, and the large extraordinary amount needs to be looked into again.”

It was alleged that Khalid made severance payments worth some RM2.27 million in compensation and RM376,000 in lieu of three months’ notice to his eight members of staff.

Khalid reportedly said he was unaware that exorbitant severance payments were made to them, but said that it was a “voluntary separation mechanism” offered to staff after the change of menteri besar.

He also said the payments were approved by MBI’s board of directors, which comprised him, the state secretary and state financial officer, as well as the state executive councillors.

The four PAS exco members who served under Khalid in his last days as MB said they were not aware of the RM2.6 million “golden handshake” to his aides, nor had they endorsed it.

The four, it was reported, were taken by surprise by the quantum, which was approved by the MBI board.

The four PAS lawmakers who formed Khalid’s exco were Dr Ahmad Yunus Khairy, Iskandar Abdul Samad, Dr Halimah Ali and Sallehin Mukhyi. — The Malaysian Insider

This article first appeared in The Edge Financial Daily, on November 21, 2014.

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