Thursday 28 Mar 2024
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KUALA LUMPUR (Aug 19): The National Patriots Association (Patriot) is calling for a full investigation into what it termed the "shocking" revelation that the Armed Forces Fund Board (LTAT) has paid RM555 million to take over the assets of two companies, which comprise mainly of 40 Automated Enforcement System (AES) cameras.

"The MACC (Malaysian Anti-Corruption Commission) and the police commercial crime division must immediately spring to action and not wait for reports. Patriot demands to know who the corporate owners of the two AES concessionaire are, namely ATES and Beta Tegap," Patriot president Brig Gen (rtd) Mohd Arshad Raji said in a statement today, referring to ATES Sdn Bhd and Beta Tegap Sdn Bhd.

"Why did the managing director and the board of directors of LTAT allow the RM555 million to be taken from the fund?" Mohd Arshad asked.

ATES and Beta Tegap operates the AES under a concession that will be ending on Aug 31 this year, as the government has decided to take over the AES as it views the concession agreement with the two companies "lopsided", according to Transport Minister Anthony Loke on Friday. Under the concession deal, RM16 are paid to the two companies for every AES summons issued, and 50% of the fines collected. 

Loke also revealed that, under the previous government, LTAT, through its subsidiary Irat Properties Sdn Bhd, were instructed to pay RM555 million to the two companies to take over the management and operation of AES in 2015. “In the spirit of sympathy and after taking into account the welfare and the interests of the Armed Forces, the government has decided to refund the RM555 million to LTAT in phases,” he said.

To Mohd Arshad, when funds of the LTAT -- which he highlighted was set up primarily to take care of the welfare and manages retirement benefits for servicemen --  is used in such a manner, it is tantamount to "criminal breach of trust". "Even if the MD and BoDs were taking instruction from the head of government, such conduct was dishonourable, unacceptable and a betrayal of trust," Mohd Arshad said. 

Under the command structure of security forces, he said top leaders or commanders take good care of the welfare of their men and protect their safety. In return, those under their command are willing to risk their lives in dangerous missions. As LTAT is closely related to the military and under the jurisdiction of the Ministry of Defence, he said LTAT's corporate leaders should abide by the norms of military establishments. 

"LTAT also owns 59.4% of Boustead Holdings Bhd, [which] in turn owns 57.4% of Boustead Plantation Bhd, 20.7% of Affin Bank Bhd, 56.1% of Pharmaniaga Bhd, 65.0% of Boustead Heavy Industries Corp Bhd, and a string of other companies...Patriot strongly requests LTAT uses its authority and ownership of its vast business empire to seriously take care of the welfare of service personnel and veterans, such as providing employment opportunities, on-the-job training for those in resettlement course, and scholarships for their children," he said.

"LTAT must not only be doing those as suggested, but must be continuously seen to be doing them by the men and women of the armed forces. It is the least LTAT could do," he added.


 

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