JOHOR BARU – Over RM4 million worth of monies from a funding scheme under the former Communications and Multimedia Ministry were channelled to companies tied to directors and committee members of the National Film Development Corporation’s (Finas) board and their family members, the Auditor-General’s Report 2021 Series 2 has revealed.
A total of six companies are highlighted in the report.
The report explained that the funds funnelled to these corporations were in relation to film and television series projects.
According to the Finas website, the Digital Content Fund was introduced in April 2015.
Formerly known as the Digital Content Industry Fund, it was meant to be a continuation of the National Creative Industry Policy, launched in 2012 with the aim of boosting the local creative industry’s development and to make it more competitive, including on an international level.
One of the companies identified is Veedu Production Sdn Bhd, which received RM500,000 from the Digital Content Fund for the Pengirl Rock project.
The Auditor-General’s report explains that the company was owned by a member of Finas’ board of directors.
A company search by The Vibes revealed Denes Kumar Ragupathy and Vimala Perumal as both directors and shareholders of the company.
Denes Kumar had reportedly served as a member of the Finas board.
Meanwhile, the report also identified Current Pictures Sdn Bhd for receiving RM2 million worth of funds for the production of the movie Rain Town.
Rain Town is a film touted to be directed by Tunku Mona Riza, who according to company checks, is also both director and shareholder of Current Pictures.
Her husband, Ku Mohamad Haris Sulong, also served as a member of the Finas board.
Another company that is listed in the report is Red Communications Sdn Bhd, which received RM200,000 for the movie Sa Balik Baju, featuring an all-star cast comprising Kaka Azraff, Mira Filzah and Juliana Evans, among others.
Based on checks conducted, Lina Tan Suan Jeu, who was a Finas board member, Astro corporate representative Agnes Kim Rozario, and film director Shamyl Othman are listed as Red Communications’ company directors.
Tan and Astro Entertainment Sdn Bhd are listed as the only shareholders of Red Communications, with the former owning majority shares.
EY Entertainment Sdn Bhd was also named in the Auditor-General’s report for receiving RM100,000 to produce a television series titled Kabut Semalam.
The series, which was directed by Faizal Karim, premiered on TV AlHijrah.
Although the report says that EY Entertainment is owned by a Finas board member, checks show that Wan Aiman ‘Idlan bin Wan Mazlan and Muhamad Rosdin bin Nasarudin are both shareholders and directors of the company. Either one’s affiliation to Finas could not be confirmed at press time.
Alfanazra Productions Sdn Bhd was also highlighted in the report for receiving RM600,000 in relation to the upcoming movie Penculikan Leha Lawa.
The company features both Ahmad Sabri bin Ahmad Nadzri and Ahmad Khalid bin Ahmad Nadzri as directors and shareholders.
It is understood that both individuals are siblings of former Finas CEO Ahmad Idham Nadzri.
Meanwhile, Ohhsem Network Sdn Bhd received RM600,000 for a project called Diari Seorang Pendosa, the report said.
The report says that the company was owned by an individual who sits as a committee member in Finas and served as a special officer to Ahmad Idham.
A company search revealed an individual named Zaharah binti Othman to be both director and shareholder. Her connection to Finas could not be confirmed at press time.
Prohibition spelled out in Finas act
It was explained that under Section 14 of the Finas Act 1981, anyone appointed to the board of directors or committees, or has any ties to Finas is prohibited from having an interest in any organisation or company involved in the production of films or entering into contracts with Finas itself.
Additionally, the report explained that anyone who violates Section 14 would cease to become a member of the board of directors or relevant committees.
Feedback provided by the Communications and Multimedia Ministry to the Auditor-General revealed that action over the matter has been taken.
“Finas prepared a notice to be presented to the new board of directors which informs the new members to refrain from violating the provisions specified in Section 14.
“A decision was made in September 2022 to present an official letter to the Malaysian Anti-Corruption Commission to investigate the matter pertaining to the Digital Content Fund,” the report said. – The Vibes, February 20, 2023
