KUALA LUMPUR (May 11): Politicians currently in office should not sit on the board of directors of Malaysia's public companies to avoid conflict of interest, the Minority Shareholders' Watchdog Group (MSWG) said.

Its general manager of corporate services Lya Rahman said a listed company should refrain from appointing members of parliaments, state assembly members and chief ministers on their board.

"Generally there could be conflict of interest, especially if (the politicians) are a dominating chairman," she told The Edge Financial Daily on the sidelines of the "Corporate Governance: Balancing Rules and Practices" conference jointly organised by the Association of Chartered Certified Accountants, KPMG and MSWG today.

"In fact, we have raised concerns with a few (listed) companies," she added.

Lya also raised concerns whether the politicians are able to devote their time to the company.

However, she sees no problem with former politicians and civil servants sitting on the board, saying these individuals have the necessary qualifications to do so.