Malaysia

Minister announces task force for HRD Corp probe, orders 3rd-party audit

The company has been told to cooperate with authorities.

Updated 2 years ago · Published on 10 Jul 2024 12:30PM

Minister announces task force for HRD Corp probe, orders 3rd-party audit
Human Resources Minister Steven Sim Chee Keong has announced the establishment of a special task force to facilitate the ongoing investigation of Human Resource Development Corporation and to review its regulatory reports. – Facebook pic, July 10, 2024.

HUMAN Resources Minister Steven Sim Chee Keong has announced the establishment of a special task force to facilitate the ongoing investigation of Human Resource Development Corporation (HRD Corp) and to review its regulatory reports.

The task force will be chaired by the ministry’s Secretary-General, Dato’ Seri Khairul Dzaimee Daud, and its duties would include ensuring follow-up actions and necessary improvements were implemented at HRD Corp.

“A special task force has been established to ensure that follow-up actions, including improvements, are fully implemented,” Sim said in a statement today.

A probe into the mismanagement of hundreds of millions of ringgit in HRD Corp is currently underway after the organisation failed its audit.

The Auditor-General's latest report revealed that over RM50 million in training grants were disbursed to the same person multiple times, with auditors deeming more than 200 transactions suspicious.

Sim also ordered an independent audit of HRD Corp’s affairs, adding that a third-party auditor would ensure a more transparent audit of the corporation.   

“The independent audit will review all processes, procedures, documentation, and compliance with laws and any guidelines related to the issues raised in the reports. 

“The ministry is currently in the procurement process to appoint a professional third-party auditor, which is expected to be completed by July 31, 2024,” he said.  

The duration of the independent audit and the reporting period would be determined once the auditor had been appointed. 

Sim said the independent audit would run concurrently with investigations by MACC and other relevant authorities, adding that HRD Corp had already been told to cooperate with investigations. – July 10, 2024.  

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