PAC finds no wastage, misappropriation in Risda companies

KUALA LUMPUR: The Public Accounts Committee has concluded that there was no wastage and misappropriation in the management of companies under the Rubber Industry Smallholders Development Authority (Risda).

Its chairman, Datuk Seri Hasan Arifin, said yesterday the PAC was satisfied with every explanation given by these companies in the proceedings pertaining to the Risda management conducted on June 16, 2015.

Several issues were raised in the Auditor-General’s Report 2014 Series 1 tabled in the Dewan Rakyat on April 6, 2015, and Series 2 on June 15 of the same year.

“The Risda entities involved in the PAC proceedings are Syarikat ESPEK Sdn Bhd, ESPEK Plantation Sdn Bhd, ESPEK Livestock Sdn Bhd, RISDA Bina Sdn Bhd and the Risda College,” he said in a statement.

The issues included a drop in the management and oil palm performance, unattained oil extraction rate, and lack of machinery and workforce at Risda plantations and the Risda College.

Hasan said that the PAC recommended that Risda ensure that its subsidiaries be more organised and competitive, not be dependent on the parent company, and explore external markets.

It also recommended that Risda subsidiaries dispose of businesses that did not generate returns or profits, he said.

Hasan also said that the Risda College should strengthen the programmes of study offered to reduce the student dropout rate so that the college achieved its objectives.

The PAC report on the Risda management of companies was tabled in the Dewan Rakyat yesterday. - Bernama