Explain sale of ‘golden goose’

S’gor govt urged to clarify allegations

PETALING JAYA: The Selangor Government has been urged to clarify allegations that it sold shares of a cash-rich government-linked firm to a RM2 company.

Gagasan Anti Penyelewengan Selangor (GAPS) demanded an explanation from the state if WorldWide Holdings Sdn Bhd’s shares had indeed been sold to Worldclass Title Sdn Bhd.

GAPS president Hamidzun Khairuddin said Worldwide, which has a paid-up capital of RM177.12mil, was regarded as the state’s “golden goose” as it was a money-making entity.

“The people have the right to know because WorldWide is a wholly-owned subsidiary of PKNS (Selangor Development Corporation),” he said.

He said this following Kuang assemblyman Abdul Shukor Idros’ query at the Selangor state assembly recently as to why the state government had sold World Wide shares to World class, which was a RM2 company.

Describing the revelation as shocking, Hamidzun questioned if the shares were transferred to facilitate a takeover or restructuring.

WorldWide, he said, had recorded earnings of RM238mil in 2008, RM149mil in 2009 and RM169mil in 2010.

“WorldWide’s profit before tax was at RM100mil in 2008, RM79mil in 2009 and RM93mil in 2010. Why is the state selling off shares of such a money-making company?” he said.

WorldWide is actively involved in business development, management, property investment and environment management.

Questioning if Mentri Besar Tan Sri Abdul Khalid Ibrahim was “on a spree” to auction off state-linked interests, Hamidzun asked why the number of WorldWide directors had been reduced from six to two.

“In the 2010 Auditor-General’s report, the Mentri Besar was told to increase the number of directors for greater accountability and transparency. The Auditor-General also proposed the activation of the WorldWide audit and inspection committee,” he said.

Selangor state executive councillor Dr Xavier Jayakumar confirmed that a new company was set up to consolidate all the properties under PKNS.

“But this new company is wholly-owned by PKNS. Therefore, the issue of the shares being sold to a private company or outsiders should not arise,” he said, adding that it was part of a restructuring exercise to add value and show healthy returns.

Asked if it involved a RM2 company, he said he was not privy to that information.