TH remains under the Prime Minister’s Department

Tabung Haji was merely placed under the supervision of Bank Negara Malaysia, says the Prime Minister’s Office.

PETALING JAYA: The Prime Minister’s Office (PMO) today clarified that Lembaga Tabung Haji (TH) would remain under the purview of the Prime Minister’s Department, following rumours the pilgrims’ fund would be placed under the finance ministry.

In a statement, the PMO said the fund was merely placed under the supervision of the central bank.

It said this is because Bank Negara Malaysia regulates all banks and financial institutions nationwide, including Islamic financial institutions.

“TH will remain under the purview of the Prime Minister’s Department and this will not change despite the introduction of the special purpose vehicle (SPV) as agreed by the cabinet,” it said, referring to the finance ministry’s takeover of TH’s underperforming assets.

In December, it was reported that the finance ministry took up RM19.9 billion of TH’s underperforming assets comprising equities and properties.

TH group managing director Zukri Samat said the assets would be transferred to the SPV in an exercise aimed at rehabilitating the pilgrimage fund’s underperforming assets and to normalise its financial position.

The PMO said speculation that TH would be transferred to the finance ministry was false and baseless.