Minister in the Prime Minister's Department (Federal Territories) Dr Zaliha Mustafa has denied claims that the publishing arm of Yayasan Wilayah Persekutuan (YWP) was shut down due to Kuala Lumpur City Hall’s (DBKL) alleged failure to fulfil payments.

She said it is “unfair” to point the finger solely at DBKL as the sole reason behind the closure of YWP Media Sdn Bhd, stressing that the decision involved various internal aspects of the foundation overseeing the welfare of entities under it.

The minister also clarified that all payments by DBKL were made according to work progress, in line with agreements signed between relevant parties. 

“Of course, DBKL will pay according to the work carried out. In my view, if the work isn’t completed, then it is DBKL’s responsibility not to make payment until the stipulated work is done,” Harian Metro quoted her as saying today.

She added that YWP Media had been facing various issues, including financial troubles.

“Just yesterday, we announced and appointed a new chief executive officer, and accountability will be carried out to the best extent possible,” Zaliha said.

Dire straits

Yesterday, Malaysiakini reported that at least 15 editorial staff have been affected by the cessation of YWP Media’s operations, with a journalist claiming that the company in charge of publishing the weekly Wilayahku e-paper, as well as its online portal, had delayed salary payments.

According to an internal memo dated July 4, the company’s management announced that the decision to cease operations due to “critical financial condition” was reached during an emergency board meeting convened on June 30.

The decision was later approved by Zaliha, in her capacity as the foundation’s board of trustees chairperson.

YWP Media chairperson Afdlin Shauki, who is also Setiawangsa PKR chief, confirmed the shutdown and attributed the company’s “critical financial condition” to, among others, alleged outstanding payments by DBKL.

Afdlin Shauki

The director-turned-politician also claimed DBKL’s decision to freeze the payment was due to past “slander” that he, as a member of DBKL’s advisory board, had purportedly secured multi-million ringgit contracts without following due process.

Previously, the now-banned Edisi Siasat Telegram account had accused Afdlin of illicitly obtaining DBKL contracts, which then triggered a probe against him.

On Feb 17, MalaysiaNow quoted MACC chief commissioner Azam Baki as saying that no element of corruption was found based on documents submitted by DBKL regarding an RM4 million contract to run an internal radio station.