KUALA LUMPUR: The Malaysian Islamic Economic Development Foundation (Yapeim) today admitted that its former directors had been negligent and had mismanaged the foundation for the past several years.
Its chairman, Mohd Daud Bakar, said they discovered irregularities after PricewaterhouseCoopers (PwC) audited the Islamic charity government agency and after they began monitoring the management from November 2018.
“We identified various cases of possible negligence and mismanagement by the management over the past few years,” he told reporters here today.
His comments come days after a news report alleged that some RM1 million in Yapeim funds had been used in 2017 to pay the legal fees of a lawyer, who also happened to be an aide to former prime minister Najib Razak.
Najib, however, denied this allegation.
This is not the first time that Yapeim has been plagued by allegations of mismanagement.
In 2015, National Oversight and Whistleblowers (NOW), an anti-graft body linked to PKR, claimed that Yapeim paid RM290,000 to hold two marriage courses in France in 2014 and 2015.
It also claimed that Jamil Khir Baharom, the former minister in charge of Islamic affairs, and his entourage spent over RM400,000 of Yapeim funds, meant for orphans, on a trip to the US where they went on a shopping spree and played golf.
Jamil and Yapeim denied the allegations.
Daud, who was appointed in November last year, said Yapeim was worried over the recent findings.