Tabung Haji Invested RM1.2 Billion Without Minister's Consent!

Interesting information often comes out in court. Read here of the Tabung Haji way of doing things and the consequences thereof. One must remember however that the matter is now sub judice and therefore any comments should be given cautiously.

The Sessions Court here was told Monday that RM1.2 billion in investments by Tabung Haji (TH) in the financial year 2001 were made without the consent of the minister in charge.

Former Operations Manager (Property) Hamidun Ibrahim, 51, said the amount involved five of the nine investment schemes made by TH in local currency market investments.

He said it was a normal procedure in TH to make such investments and that there was no need to get the minister's consent since they were not high-risk investments.

Hamidun, who is now Perak TH Director, said the investment schemes included the "Islamic Notes - Al-Mudharabah" which involved investments of RM837.68 million.

Hamidun was testifying in the trial of former TH Senior General Manager (Investment) Mohamad Shafie, 56, and former Senior Finance Manager Datuk Mohd Amin Sidek, 55, who have been asked to enter their defence to charges for cheating and criminal breach of trust.

They were charged with cheating the then Minister in the Prime Minister's Department Tan Sri Abdul Hamid Othman and his successor, Brig Gen (Rtd) Datuk Abdul Hamid Zainal Abidin.

The offence was alleged to have been committed between June 29, 2000 and July 27, 2001 at the Prime Minister's Department at Putrajaya.

Mohamad and Mohd Amin are also charged with criminal breach of trust involving RM200 million, which were allegedly committed between July 14, 2000 and May 11, 2001 at the Tabung Haji building at Jalan Tun Razak here.

Questioned by counsel Mohd Firuz Jaffril, who represented Mohd Amin, Hamidun said he prepared the working papers for four investment schemes, including on the RM200 million investments in Metrowangsa Asset Management.

"After the board (TH) had reached a decision, the matter will then be referred back to the fund management general manager, Abdul Manaf Abdul Samah, and then the Senior Finance Manager Datuk Mohd Amin Sidek for final investment procedures," he added.

Hamidun said he did not check on the background of Metrowangsa in preparing the working papers on TH investments in the company.

"I did the working papers on the investments after attending a seminar organised by Metrowangsa and the investments had received the minister's approval," he added.

Hearing before judge Akhtar Tahir continues on Dec 26.

-- BERNAMA