KINIBIZ Syed Mokhtar Albukhary’s rise in corporate Malaysia has been a spectacular one considering his humble beginnings at Kampung Hutan Keriang in Alor Setar, Kedah, Malaysia’s northern most state. How he made it to such great riches is actually an interesting tale.

“His is a story of hard work and dedication … there were no sweet-heart deals for him (Syed Mokhtar),” an aide had once said. Most however, would differ from this view, suggesting Syed Mokhtar has been a beneficiary instead based on his close ties to the government and its leaders.

The transport business as a start   

His first business was in transportation, where he started Syarikat Kenderaan Sentosa (SKS) in 1972 transporting rice. (Sentosa was the name of the hotel he stayed in when in Kuala Lumpur, he said in his autobiography released last year).

Not bad for a 21 year old.

The reason for him seeking to transport rice was because he had some knowledge of rice and padi, having worked at his grandfather’s padi plantations growing up.

A few years later in 1975, he applied for a rice-trading licence from Lembaga Padi dan Beras Negara, and got it issued to his company Shah Enterprises Sdn Bhd. A year later in 1976, he injected his lorries as consideration for a 42% stake in Bukhary Sdn Bhd, which became a known rice trading outfit.

Till today Syed Mokhtar has a penchant for injecting assets into companies for shares, which has resulted in many terming him an asset trader.

As a rice trader, Syed Mokhtar made inroads into many government bodies such as Mara or Majlis Amanah Rakyat, and Sergam Bhd among others.

Sergam’s managing director from 1974 to 1977 was one Muhyiddin Yassin now deputy prime minister, who is still a good friend of Syed Mokhtar’s till today. The two first met in 1976.

Other people of influence he encountered and became close to included rice trader Syed Razak Syed Zain, who went on to become the menteri besar of Kedah from 1999 to 2005 and Shahidan Kassim, who was a civil servant but went on to become the menteri besar of Perlis from 1995 to 2008 and is now a minister in the Prime Minister’s Department.

He got a break when he secured a contract to supply 120,000 pairs of safety boots for army personnel, based on which he started what is now Amtek Holdings. Another contract for 330,000 army uniforms from the government, led to his setting up Oriental Garments.

By 30, Syed Mokhtar was a millionaire.

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