The decision by the present board of directors of Port Klang Authority not to sue the previous directors and to recover losses incurred as a result of the PKFZ financial scandal is a breach of their fiduciary duties owed to PKA and the Malaysian government.

By not proceeding to sue within the limitation period, the previous directors who were involved in the financial scandal has now been released.  The present directors made the decision despite advice from two legal firms that PKA ought to commence the legal proceedings.  

This decision amounts to those presently in charge of PKA burying the financial scandal and allowing the perpetrators to keep the fruits of their unlawful acts. As a consequence of the present board’s decision, PKA and ultimately the people of Malaysia will have to bear the burden of the losses which may amount to RM12 billion.

The present board of directors owes a fiduciary duty to act honestly, diligently and in the best interest of the company.  The decision not to sue is a gross violation of this duty.

I call upon the government to commence action against the present board and to claim the losses from each and every one of them.

William leong Jee Keen is Selayang Member of Parliament.