Zakaria was issued the order today by the company’s board of directors, telling him to give up both his positions amid investigations into the issue of a delayed payment by an Afghan company to an FGV subsidiary.
Earlier, he told New Straits Times (NST) that he was ready to accept the request.
“I have no problems if this is part of the process. It is fair.
“I did not expect things to turn out this way as it was not a huge matter but I fully accept it,” he said.
A member of FGV’s board of directors had delivered and read the contents of the letter to him during a 20-minute meeting this morning.
In his letter to the company, Zakaria defended himself against accusations of wrongdoing related to payments involving an Afghan company, Safitex.
“The payment process… was approved and implemented by the previous chief executive… I am not guilty of those accusations and will not resign as instructed,” Reuters quoted parts of the letter dated June 5.
But Zakaria had told NST that he was not considering any legal action yet, adding: “I will have to defend myself.”
On Sunday, FGV chairman Isa Abdul Samad said it was too early to decide on Zakaria’s status as FGV president and CEO.
Isa was speculated to have sought FGV board members’ support to remove Zakaria during their meeting last week.