Proton's former chief executive officer Tengku Mahaleel Tengku Ariff is surprised as to how an audit report of the national car manufacturer by Pricewaterhouse Cooper had leaked to the media.

"The report is confidential...how was it exposed to the public. How did it get to the media?" he asked when contacted today.

In view of this, Tengku Mahaleel said the Proton management must investigate how the report had leaked. "They must find out who leaked it and why," he added.

He also asked why the report only covered decisions made in the company for a decade. "Why only up to 1996, why not 1995?"

The former Proton CEO was responding to a report in the business weekly, The Edge which published the comprehensive Pricewaterhouse Coopers findings.

No consultation

The report found that Proton's corporate governance was poor . Among others, it claimed that some projects were implemented without proper consultation resulting in billions being spent without in-depth discussions.

It also stated that approval from the board of directors was only sought after decisions had been made or agreements signed by the management.

Following this, Proton said it was looking into the matter.

Its managing director Syed Zainal Abidin Syed Mohamed Tahir said the company did not rule out the possibility of legal action against the previous management.

He also said that it is natural for the new management to find any weaknesses if it wants to improve the company.

Tengku Mahaleel was Proton's CEO from 1997 until he was ousted in July last year.

He oversaw the purchase of debt-ridden motorcycle maker Agusta for 70 million euro (now US$89.6 million) in 2004. After his departure, Proton sold Agusta to Italy's Gevi SPA for a token sum of one euro.

Mahaleel and Proton advisor and former prime minister Dr Mahathir Mohamad have strongly criticised the Agusta sale, demanding information on why it went ahead and saying their credibility is at stake over the deal.