THE Malaysian Football League (MFL) is confident that the controversy involving unpaid Employees' Provident Fund (EPF) contributions will be resolved soon, possibly as early as this week, a source told The Vibes.
The source said an investigation is being conducted to determine the real problem behind the issue, and it is expected to be resolved soon.
Last week, the Asian Football Confederation (AFC) announced it has opened an investigation into the Football Association of Malaysia (FAM) and the MFL for violating club licensing regulations.
The AFC warned that FAM and MFL risk losing their authority to grant national licences to M-League clubs due to unpaid wages.
The recent revelation that Super League side Kuala Lumpur City received a club licence for the 2024-25 M-League season, despite reportedly unpaid EPF contributions since February 2023, has forced the AFC to act.
"Action is being taken to look into the matter. The First Instance Body (FIB), an independent regulatory body, will also investigate the allegation made by Kuala Lumpur Football Association (KLFA) vice president Syed Yazid Syed Omar.
"All procedures were followed before granting the football licence to KL City, based on documents provided by KLFA.
"Each stakeholder is looking into this matter, and I believe it can be resolved soon, possibly within this week," the source said.
Syed Yazid previously questioned FIB's issuance of an M-League playing licence to KL City for the 2024-2025 season despite reports of salary arrears and non-payment of EPF since February 2023.
Responding to Syed Yazid, FIB chairman Sheikh Mohd Nasir Sheik Mohd Sharif said FIB received a declaration letter from EPF, sent by KL City, confirming no outstanding payments as of June 30, 2023. The letter was accompanied by an attachment.
"On March 29, another declaration letter from the EPF was received, again from KL City, indicating no outstanding payments as of December 31, 2023. This letter also included an attachment.
"Based on these EPF-issued payment declarations, the FIB found it appropriate to grant the licence to KL City," Mohd Nasir said.
The Vibes has contacted Syed Yazid for comments, but phone calls went unanswered.
Violation of club licensing regulations could result in FAM and MFL losing their authority to grant national licences to M-League clubs and could lead to no Malaysian representatives being eligible to compete on the Asian stage.
AFC secretary-general Datuk Seri Windsor John said the AFC Club Licensing Department has opened an investigation after some clubs were given licences despite failing to meet the club licensing conditions.
"The investigation file has been opened, and the next step is to contact MFL and FAM to initiate discussions with the Club Licensing Department, which will monitor and review the licensing process," Windsor told the media.
"After gathering the information, we will make a decision through our committee. The most severe consequence is that we cannot accept any representatives if we revoke the authority of FAM and MFL to grant licences due to issues in the licensing process.
"If there is a violation, there will be penalties, as we have regulations in place. It cannot be that one country faces penalties while another does not. There will always be penalties. So, we need to first see if they have violated the rules or not."
In 2022, the AFC Club Licensing Task Force suspended the Iranian FA until they addressed and rectified their Club Licensing Administration to the satisfaction of the AFC General Secretariat.
The ban prevented 2020 AFC Champions League finalists Persepolis, two-time Asian champions Esteghlal, and Gol Gohar Sirjan from taking part in the 2022 competition.
Government involvement needed
Meanwhile, former KLFA president Khalid Samad hoped the government could play a role in convincing investors to invest in national football clubs.
The ex-lawmaker noted that KL City is not the only football club facing financial difficulties.
"We have had some sponsorships, but they didn't last long. Some put in RM1.5 million and RM2 million, but that is all.
"There is no consistency. We approached several potential investors before, but they could not meet our needs.
"I hope the government can convince big companies to invest in clubs like KL City. Other clubs are also in trouble. There's not enough encouragement from Putrajaya, and we need that," he said.
Khalid also expressed disappointment with current Federal Territories Minister Dr Zaliha Mustafa, who refused to allocate funds to the Kuala Lumpur Football Association and Kuala Lumpur City FC despite past practices.
However, the ex-Shah Alam MP revealed that his former club is trying to find other ways to raise funds, including selling a parcel of land.
"Works are in progress to raise money, and the club is working on selling a piece of land, which will be finalised next year. There is already a buyer for the land," he added.
Khalid had also requested that Kuala Lumpur City Hall allocate 0.5% of the RM2.38 billion it collected last year to KL City FC. – August 1, 2024.