The following is Public Performance Malaysia Sdn Bhd’s and Public Performance Malaysia Berhad’s statement which is now published to set out their side of the story of the matters discussed in the three articles.
“We, Public Performance Malaysia Sdn Bhd and Public Performance Malaysia (PPM) Berhad (collectively known as ‘PPM’):
1. Make reference to the following articles:
a) “Tussle over RM30 million unpaid royalties for recording artistes” (hereafter known as “Article 1”) published on Free Malaysia Today on 3/10/2020;
b) “Artistes seek MACC probe of ‘hidden hands’ in royalties fiasco” by Frankie D’Cruz (the 4th Defendant) published on Free Malaysia Today on 6/10/2020; and
c) “Probe MyIPO for giving PPM right to distribute artistes’ royalties, Karyawan tells MACC” by Freddie Fernandez (the 1st Defendant) published on Free Malaysia Today on 24/10/2020.
Since its incorporation on 3/9/1988, PPM operates as a licensing body within the meaning of the copyright laws of Malaysia, and was authorised and/or mandated by its locally incorporated recording company members to do among other things: negotiate and issue licences and collect licence fees and/or royalties in respect of the public and commercial use in Malaysia of sound recordings, music videos, karaoke and related copyrighted works belonging to our members.
PPM was declared as a licensing body by the Intellectual Property Corporation of Malaysia (MylP0) and operates as a Collective Management Organisation (previously known as Licensing Body) within the meaning of the copyright laws of Malaysia.
At all material times, PPM is not responsible for distributing the outstanding unpaid royalties to members of RPM and PRISM Bhd.
PPM is also not responsible to distribute royalties to artistes. PPM does not have control and power over the performer licensing bodies and has never abused such power. PPM does not have control over and does not interfere with the distribution of artistes’ royalties.
From 2004 to 2011, PPM was appointed by PRISM Sdn Bhd (hereinafter and more commonly referred to as “PRISM”), a licensing body established to collectively manage the rights of the recording artistes as an agent to issue licences and collect royalties on behalf of PRISM’s members.
Thereafter, from 2012 to 2016, PPM was appointed by Recording Performers Malaysia Bhd (hereinafter and more commonly referred to as “RPM”), a licensing body established to collectively manage the rights of the recording artistes who have withdrawn their PRISM membership or not joined PRISM as a member as an agent to issue licenses and collect royalties on behalf of RPM’s members.
PPM was and is not at anytime whatsoever responsible, authorised, mandated, and/or had control over the administration and distribution of royalties for the recording performers or artistes.
During the duration of the agency agreement with PRISM and RPM respectively, PPM was only authorised to issue licences and collect royalties for public performance for recording performers in respect of the commercial and public performance of music recordings.
The entirety of the licence fees collected by PPM was transferred to the relevant performer licensing bodies, less agreed administrative charges.
The Malaysian Department of Insolvency acts as a liquidator to distribute the outstanding unpaid royalties to members of PRISM from the collections made by the prior operating joint Licensing Body, Music Rights Malaysia Berhad (MRM) which is currently in liquidation.
The Malaysian Department of Insolvency sought PPM’s assistance to provide the relevant usage reports that could be used to ensure a fair and equitable distribution of royalties due to the recording performers.
Further, the Malaysian Anti-Corruption Commission (MACC) returned to PPM all the relevant files taken in their previous investigation with no further action required on PPM’s part.”