The Selangor Chinese Assembly has called on MCA to "explain clearly" the development and the accounts of the Chang Min Thien Education Fund to ensure public confidence in future fund-raising efforts by Chinese organisations.

"(MCA) cannot continue to cover up the issue," the organisation said in a statement today, adding that this was to avoid jeopardising "the integrity of fund-raising efforts by MCA and the Chinese community".

It also proposed that an established audit firm be engaged to give a full report on the fund which recently hogged the Chinese media headlines after a long hiatus since 1991 when the donor's family initiated court action to recover the fund which had been dormant for a decade ([#1]MCA treasurer reportedly keen to resign party post[/#], Oct 2).

Querying why MCA was so slow in "activating" the RM10 million fund set up in 1980, the Selangor Chinese Assembly in a statement to malaysiakini said that unless MCA acts swiftly and discloses the truth, Chinese organisations will face difficulty in any fund-raising activities in future.

The Chinese media continued to highlight the "scandal" despite MCA president Dr Ling Liong Sik's assurance on Monday that a three-member committee headed by MCA treasurer William Chek has been set up and will submit a full report on the matter.

Following a Kuala Lumpur High Court decision on Sept 30 ordering the RM10 million to be returned to a company run by the Chang family, several quarters, including DAP and even the MCA youth itself, have called for full accountability of the fund ([#2]MCA Youth chief wants explanation for 'unused' RM10mil fund[/#], Oct 6).

A party member estimated that the interest alone would have accrued to at least RM20 million to date, and if properly managed, the fund would have benefitted hundreds of financially needy students.

Only RM4.4 million

Today, Sin Chew Jit Poh reported that only RM4,375,000 was deposited into the Chang Min Thien Foundation bank account, and not RM10 million by Multi-Purpose Holdings Bhd (MPHB).

In 1980, philanthropist-businessman Chang Min Thien signed an agreement with MPHB, entrusting the company to manage the fund under a Board of Trustees which currently comprises MCA president Ling, secretary-general Dr Ting Chew Peh, deputy president Lim Ah Lek and former deputy president Lee Kim Sai.

The Sin Chew report quoted from a reliable source that in September 1990, the Board of Trustees had suggested to MPHB to deposit the RM10 million and the accumulated interest amounting to RM7.6 million into the account of the Chang Min Thien Foundation, but MPHB only banked in RM4,375,000.

The news report also stated that in 1991, MCA had allocated RM170,000 from the foundation's fund to three Chinese schools, comprising two independent high schools and one primary school.

The Selangor Chinese Assembly queried why MCA was slow in activating the education fund, acting after some 10 years since it was donated by the late Chang.

"Where is the money now and how are the accounts? Are there any documents to prove (the status) of the accounts?

Referring to the Sin Chew report, the association called on MCA to explain why only about RM4 million interest out of the RM7 million interest accumulated was deposited into the account of the Chang Min Thien Foundation.

"Has this action denied the wishes of the late donor?" the Selangor Chinese Assembly asked.

Pig Farmers Fund

Besides the current "scandal", the association raised the issue of the Pig Farmers Fund (Nipah fund), saying MCA's method of operating the funds is "suspicious and not transparent".

"The Pig Farmers Fund was said to amount to more than RM10 million. However, there is no public donation list and no report has been disclosed on the beneficiaries and the amount collected," the association said, adding that the Chinese community has long queried about the fund and asked for clarification.

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