The Selangor state government has written a letter to the Insolvency Department to inquire on the status of RM9.9 million belonging to the now-defunct Balkis.

The state government, in a letter dated April 6, wanted to know if the department was holding the money as claimed by a witness at the Special Select Committee on Competence, Accountability and Transparency (Selcat) inquiry last week.

Balkis, or in full the Wives of Selangor State Assemblymen and MPs' Charity and Welfare Organisation, is under Selcat investigations over the source and legitimacy of its income which it had received from state-owned and private companies.

khir toyo zaharah kechik selangor former mb 171208 It was led by Zaharah Kechik, wife of former Selangor menteri besar Dr Mohd Khir Toyo, until the organisation was disbanded on the day Pakatan Rakyat took over the state in March 2008.

The new government then discovered that the state funds had been abused in funding Balkis' events and programmes. The Selcat inquiry was then set up to look further in the matter.

The inquiry heard last week from the state registrar of societies officer Tairah Yusof that the Balqis money was with the Insolvency Department.

"If that is true, the Selangor government wishes to take control of the funds for further action," said Menteri Besar Abdul Khalid Ibrahim's political secretary Nik Nazmi Nik Ahmad in a statement today.

He stressed that the state government had a huge responsibility over the funds as part of the money came from contributions from state agencies.

"Also, in accordance to the legal advice given to the state government, the winding up of Balkis (by its previous administrators) was wrong in law," he added.

Khir's comments

He hoped the Insolvency Department would act professionally in handling this request from the state government.

Mohd Khir and his wife both refused to attend the Selcat inquiry as witnesses. The inquiry ended last week.

However responding in his blog, Mohd Khir had said it was not appropriate for Selcat to "push" statements into the mouth of witnesses just to confuse the public.

khalid ibrahim on klang bas terminal 090109 04 Mohd Khir claimed that Selcat's action was to legalise present MB Khalid's (alleged) wrongdoing of using Selangor funds for his own political interests.

"Will Selcat also have a session to discuss Khalid's cow and Lexus issue. What about allegations on Ronnie Liu being involved in preventing the police and Subang Jaya Municipal Council from closing a vice den.

"I am sure Selangor Speaker Teng Chang Kim is brave to have such special session. However, would he gain permission from the other Pakatan leaders? Do not try and find fault with others when the problem in front of you remains hidden," he said.