I was not sacked as board member, says FGV CEO

FGV Holdings president and CEO Zakaria Arshad says it was difficult for other board members to make decisions when he was on the board as he was the chief executive. (Bernama pic)

PORT KLANG: FGV Holdings president and CEO Zakaria Arshad today refuted claims that he was sacked as a member of the board of directors of the agro-based company.

Zakaria said he had relinquished his position on the board to preserve the integrity and transparency of the company, a decision which was agreed upon by the other directors.

“We (the board members) had discussed separating the power of the board of directors and the management as we did not want to have a conflict of interest.

“This is because when I was the CEO, it was difficult for the other members of the board of directors to make any decisions concerning the company because I, as CEO, was on the board,” he said after attending the launch of the “FGV-MPOB (Malaysian Palm Oil Board) Initiative in Spearheading Usage of B10” here.

Zakaria said at the company’s annual general meeting held in June this year, he announced his decision to relinquish his position as a member of the board of directors.

“The speculation that I was fired is not true. The decision to relinquish and end my services as a member of the board of directors was made so that the company can be more open and if there are sensitive issues, the board members can discuss it more freely,” he said.

Yesterday, FGV said that Zakaria’s services as a member of the company’s board of directors had been terminated, effective immediately.

The decision was made after FGV received a letter from its special shareholder, the Minister of Finance (Incorporated), to withdraw Zakaria’s appointment as a board member in implementing the new FGV constitution.

The company also announced this evening that Zakaria has been suspended and four directors, including chairman Wira Azhar Abdul Hamid, would “take over the responsibilities to perform the functions” of the chief executive.