‘Politicians should not serve in GLCs’

Don: It is a conflict of interest to do so and can lead to abuse of power

KUALA LUMPUR: Politicians should not be allowed to sit in government-linked companies (GLCs) or statutory bodies, according to a development economist.

Prof Dr Edmund Terence Gomez said this was because politicians were likely to use the GLCs to serve their own political interests or “even their own economic vested interests”.

He told reporters this after briefing the Council of Eminent Persons (CEP) at Ilham Tower here yesterday.

Prof Gomez, who is a professor of political economy at Universiti Malaya’s Faculty of Economics & Administration, said there was a real danger that politicians sitting in GLCs would abuse their positions as there had been past cases.

However, he said exceptions could be made for the Prime Minister, Cabinets ministers and state executive councillors to sit in GLCs in an oversight capacity.

Asked if he had suggested doing away with GLCs to the CEP, Prof Gomez said more research was needed in that area.

“The government should review GLCs as a whole and decide exactly what they want of them before moving forward,” he added.

Economist Tan Sri Dr Kamal Salih, who also met the CEP yesterday, said he called for the removal of race-based economic policies as it has proven to be a failure.

The UM Adjunct Professor said an alternative new economic model was needed to ensure a fair distribution of wealth to all irrespective of race.

He suggested the adoption of an Islamic economic model to strike a balance between a capitalist and socialist model.

“The Islamic economic model is not an antagonistic model, but requires acceptability from both Muslims and non-Muslims,” he said.

As for the model accommodating gambling activity and alcohol consumption, Dr Kamal said these were permissible as long as it did not become the determining factor in society.

He pointed out that the Islamic economic model allowed room for adjustments in its implementation.

Dr Kamal had, among others, served as a member of the Prime Minister’s Economic Panel from 1981–1986; a member of the Malaysian Business Council 1991–1996; and was Rapporteur-General of the first National Economic Consultative Council from 1989– 1991.