Initially defending Azam's shares, Kula later passes buck to chief secretary

PARLIAMENT | When questioned about MACC chief commissioner Azam Baki's links to shares worth RM800,000, Deputy Minister in the Prime Minister’s Department (Law and Institutional Reform) M Kulasegaran initially defended the former, only to backpedal later.

It began when the deputy minister was questioned by MPs regarding Bloomberg’s exposé on Azam, where Kulasegaran (above) said there were no regulations barring a civil servant from holding shares at that threshold.

Kulasegaran even claimed that Azam had informed the government about his shares beforehand when questioned by MPs during the winding up of the debate on the motion of thanks for the royal address in Parliament.

However, the DAP leader backtracked after realising the existence of a government circular issued in 2024 on the matter.

“The allegations stated in Bloomberg are merely their (Bloomberg’s) view… I have read it, that is why the MACC chief commissioner issued a statement - he did not deny it, he simply informed.

“On an investment limit for civil servants, there is no such limit…if you can show that there is such a law.

“There is no concrete circular (regarding) a requirement limiting government officers from investing (buying shares),” he said.

Kulasegaran said this in response to an interjection by Hassan Abdul Karim (Harapan-Pasir Gudang).

“It was reported in the media that the value of the shares is estimated at nearly RM800,000. This amount exceeds the permitted limit of RM100,000 for civil servants.

“Can the minister bring this to the cabinet to relieve (Azam)… if (MPs for) Pagoh and Bera can be investigated by MACC, it is time, if he is professional, to allow an investigation,” Hassan said.

For the record, the 2024 Public Officers’ Conduct and Disciplinary Management Circular, available on the Public Service Department’s website, clearly states that civil servants are not allowed to purchase shares exceeding five percent of paid-up capital or RM100,000 at current value.

‘Chief secretary can act’

At the end of the Dewan Rakyat session, Kulasegaran corrected his earlier statement regarding the share purchase limit for civil servants.

“I was just given a further briefing and was informed that the 2024 Public Officers’ Conduct and Disciplinary Management Circular applies in this matter.

“A written explanation may be sought by the chief secretary to the government if the shares exceed the limit. This is my response to the honourable members for Pasir Gudang and Bukit Gelugor,” Kulasegaran said, adding that the exposé should be examined in greater depth.

“But this is up to the chief secretary as to whether to grant approval and so on,” Kulasegaran added.

Over 17m in shares

Earlier today, Bloomberg reported that Azam allegedly holds 17.7 million shares (1.7 percent) in Velocity Capital Partner Berhad, a financial services firm.

Malaysiakini confirmed the report through records from the Companies Commission of Malaysia (CCM).

The shares were valued at nearly RM800,000 at the opening of trading today, far exceeding the RM100,000 limit imposed on civil servants for share purchases in a single company.

However, Azam explained that his shareholding in the financial services firm had been carried out transparently and in accordance with regulations.

Azam told the New Straits Times that he had nothing to hide regarding the RM800,000 worth of shares, adding that the transaction had been properly declared.

“I made a declaration on this matter, including my source of income, through the Human Resource Management Information System (HRMIS) to the Public Service Department.

“Everything is transparent,” he added.

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