SHAH ALAM: The staff and directors of Kumpulan Semesta Sdn Bhd (KSSB), a subsidiary of the Selangor government and a sand-mining concession holder, were given two months' bonus in December 2008, four months after it started its operation, an inquiry here heard today.
The company's non-executive chairman Abdul Shukor Nahor, who testified before an inquiry conducted by Selcat, said they also received an additional four months' bonus between January and June last year.
There was nothing wrong with giving bonuses to the staff, he said, because the company made profits.
"Sand-mining is a difficult industry and our employees work very hard despite receiving threats regularly," Abdul Shukor, the third witness to testify in the inquiry, said.
Selcat or the Selangor Select Committee on Competency, Accountability and Transparency, is probing into the allegations by Kapar Member of Parliament S. Manikavasagam that there were corrupt activities involving senior officials of KSSB.
The three-day inquiry started today.
Selcat has seven members namely Selangor State Assembly Speaker Teng Chang Kim, who is the chairman, Haniza Talha (PKR-Taman Merdan), Azmin Ali (PKR-Bukit Antarabangsa), Saari Sungib (PAS-Hulu Kelang), Edward Lee Poh Lin (DAP-Bukit Gasing), Ismail Sani (BN-Dusun Tua) and Sulaiman Abdul Razak (BN-Permatang).
Teng questioned the move by KSSB in rewarding its staff with six months' bonus altogether, saying the company had just been formed in July 2008.
"How come KSSB can reward its staff with this hefty sum when the company only operated two mining areas at that time?" he added.
Abdul Shukor also said that 40 police reports had been lodged by KSSB staff over the threats they received since the time the company started its operation.
He also said that KSSB did not have sand-mining monopoly in the state.
Selcat hearing starts with Yaakob Sapari as first witness
SHAH ALAM: This morning’s public hearing by Selcat saw State chairman for Agriculture, Natural Resources and Entrepreneurial Development, Yaakob Sapari, as the first witness for the probe into Kumpulan Semesta Sdn Bhd (KSSB).
Yaakob, who is also Kota Anggerik State assemblyman, appeared calm when questioned by the panel headed by Selangor State Assembly Speaker Teng Chang Kim.
Among the issues raised were the involvement and authority of KSSB towards sand-mining activity in Selangor and the progress that has been made by the company which was set up in June 2008.
Yaakob said as a wholly-owned state subsidiary, KSSB only had jurisdiction over state-owned land and the rivers in the state.
"KSSB had not issued permits for sand-mining activities in privately-owned land and as such, did not have the power to do anything when private land was encroached into," Yaakob told the panel.
In one of the sessions, Dusun Tua assemblyman Ismail Sani questioned the credentials of four people from the KSSB board of directors which led them to be appointed in the state-owned subsidiary company.
“They are all professionals. Ramli Abdul Majid, for example, was among the first degree holders in mining engineering in the country,” Yaakob replied.
Ismail then asked if it was true that one of the directors was related to Menteri Besar Tan Sri Abdul Khalid Ibrahim, to which Yaakob immediately replied that the question was malicious.Yaakob also told the panel that the selection of the directors was made and agreed in the Selangor State Exco meeting.
He said as such, the appointment of Abdul Shukor Nahor as the company's non-executive chairman, and Wong Su Kok and Mohamad Khairuddin Othman as the director and executive director respectively, was made by the state government based on their experience and qualifications.
Teng also asked if Yaakob was aware of how bonus payments were made in KSSB, to which he said "no".
“Do you agree that you should monitor this to ensure the efficiency of the company and the State governance in the matter?” asked Teng. Yaakob said he agreed.
Teng then elaborated by saying such activities needed to be monitored as not to risk the State government from being doubted and criticised at.
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