[UPDATED] HR minister orders HRD Corp to retract letter of demand sent to The Edge

Steven Sim criticises corporation's move, citing media freedom to report factual information as stated in recent Public Accounts Committee report

Human Resources Minister Steven Sim's remarks come after HRD Corp issued a letter of demand to The Edge, accusing the news site of recklessly publishing two articles claiming to have tarnished the reputations of its officials and staff. – Muharram Kasim/Scoop pic, July 17, 2024

KUALA LUMPUR – Human Resources Minister Steven Sim has instructed the Human Resource Development Corporation (HRD Corp) to retract its letter of demand sent to The Edge Communications Sdn Bhd.

He told a press conference in Parliament today that HRD Corp should not have issued the letter in the first place, as the media is only reporting the facts as outlined in the recent Public Accounts Committee’s (PAC) report.

“I do not agree with this action of suing the media because I do believe in media freedom in this country. It has always been my principle even before I became part of the government.

“So, when I received information (about the letter of demand), I instructed HRD Corp to retract it and I would like to say that it had been retracted yesterday, prior to PAC’s press conference.”

Sim, on July 10, told Dewan Rakyat that the ministry will not protect those found to be complicit in irregularities in HRD Corp

Earlier, PAC chairperson Datuk Mas Ermieyati Samsudin condemned HRD Corp’s actions against The Edge and demanded a retraction from HRD Corp. 

Along with Mas Ermieyati was Bangi MP Syahredzan Johan, who said he was disappointed with HRD Corp and hoped that such matters would not recur. 

“PAC is surprised by HRD Corp’s letter of demand to the media, and we view this as the corporation attempts to pressure the media to not report on our findings.

“We view this as HRD Corp’s attempts to prevent The Edge from carrying out its duty and an attempt to ‘weaken’ our credibility.

“This is the first time that such a thing happened. PAC previously reported on bigger issues, such as the 1Malaysia Development Bhd (1MDB) (financial scandal) owned by the Minister of Finance (Incorporated) in 2016..

“HRD Corp’s management must be reminded that PAC has been established since 1959 and all our reports and findings based on witness statements given during our proceedings. PAC is a parliamentary select committee that holds the most power compared to other committees.”

She also said HRD Corp is a company limited by guarantee and subject to the Company Act 2016, and Pembangunan Sumber Manusia Bhd Act 2001.

Yesterday, HRD Corp served a letter of demand to The Edge, accusing the news site of “unfairly, deliberately, maliciously and recklessly” publishing two articles titled “PAC flags dubious property deals by HRD Corp” and “Frankly Speaking: Total breach of governance at HRD Corp”.

Although the findings by PAC and the auditor-general (A-G) were reported by other media organisations, HRD Corp, in its letter of demand, claimed that The Edge tarnished the reputation of its appointed officials and staff in its articles. 

The A-G’s report on HRD Corp recommended that the HR Ministry take appropriate action against the corporation’s management by referring them to enforcement agencies.

The audit report highlighted several concerns, including how the corporation had amended its key performance indicator goals for 2020-2023 without the approval of its board of directors.

The actions and decisions by HRD Corp’s management, the audit report said, did not comply with procedures and failed to protect the interests necessary to achieve the corporation’s objectives.

Similarly, PAC’s three-volume report on the corporation found, among others, that HRD Corp’s management practised poor governance while undertaking suspicious procurement methods for real estate, potentially causing the corporation to suffer losses.

Yesterday, PAC also said they gave HRD Corp three months to present follow-up actions taken against the recommendations presented in their report. – July 17, 2024