KUALA LUMPUR – The Communications and Digital Ministry has sprung into action to cover loopholes that allow funding to be misused, following the auditor-general’s revelation of possible violations in the channelling of monies from the Digital Content Fund (DCF).
Minister Fahmi Fadzil said he received a full briefing on the matter from the CEO of the National Film Development Corporation (Finas) two weeks ago.
He said that while investigations into any flouting of the law come under the ambit of the Malaysian Anti-Corruption Commission and police, the ministry needs to act as well.
“I was quite shocked and very surprised at the issues raised in the auditor-general’s report,” he said.
“As far as the ministry is concerned, we want to ensure that these loopholes, whatever things that were taken advantage of at that time, are not repeated.”
The Vibes reported this morning that over RM4 million in funds from DCF were channelled to companies tied to directors and committee members of the Finas board and their family members.
According to the Auditor-General’s Report 2021 Series 2, which highlighted a total of six companies, the delegation of these funds occurred under the former Communications and Multimedia Ministry.
The report explained that the funds funnelled to these corporations were in relation to film and television series projects.
Fahmi stressed that the monies under the DCF are meant to help as many content creators as possible.
He was speaking to media personnel after appearing as a guest speaker at a private gathering organised by the Concorde Club at the Bukit Bintang City Centre gallery here today.
“I’d like to review the DCF to make sure that it is more judiciously utilised and employed, in light of the role that this content can play as intellectual property that can be exported across the world.
“I see DCF as an extremely critical aspect of the digital economy, specifically in view of Finas, as well as any other agency, in light of what this ministry aims to do.”
“There will have to be some remedial efforts to make sure and show the auditor-general’s office that we have learnt from the errors and mistakes that were made, and will work hard and strive to ensure that they do not happen again.”
According to the auditor-general’s report, Finas has since prepared a notice to be presented to its new board of directors, informing new members to refrain from violating the provisions specified in Section 14 of the Finas Act 1981
This law specifies that 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.
“A decision was made in September 2022 to present an official letter to MACC to investigate the matter pertaining to the DCF,” the report said.
On another matter, Fahmi said that he has submitted a name to fill the position of Finas chairman, which is vacant at present.
He said it is important for the board’s composition to be such that its members understand the plight, passion, and problems faced by filmmakers like producers, scriptwriters and technical crew, and are therefore able to guide Finas forward.
The Concorde Club is an informal media group of local and foreign editors that meets regularly with political leaders and key policymakers.
Previous guest speakers include Pakatan Harapan’s Datuk Seri Anwar Ibrahim, Rafizi Ramli, and Anthony Loke; Barisan Nasional’s Datuk Seri Mohamad Hasan, Datuk Seri Najib Razak, and Datuk Seri Zambry Abdul Kadir, Muda’s Syed Saddiq Syed Abdul Rahman; Bersatu secretary-general Datuk Seri Hamzah Zainudin; and former health minister Khairy Jamaluddin. – The Vibes, February 20, 2023
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