Updates at 1:30 pm on 20-11-2019: The “brainless Hebat One” has been true to form. On 11-11-2019 he chaired the JK Pemandu to discuss the MOE’s damning chief accountant report, which had stated that the PADU’s account was grosslyoverstated by more than RM62 million, and decided that JK Siasatan MOE to investigate on the PADU’s creative accounting. The “brainless Hebat One” being brainless chose to avoid taking positive actions to protect the interest of the rakyat by lodging report with the police, MACC and/or Ketua Audit Negara. He is just playing for time in the hope that all the wrong doings in PADU will be swept under the carpet later. With so many adverse findings on PADU’s accounts, the brainless is playing dumb by calling for meetings after meetings and investigations after investigations. It would appear that the brainless was on a covering up spree. The brainless must take responsibility for this scandalous RM340 million failed tablet project as it is under the control of JK Pemandu of which he is the Chairman.
Rumour was flying around in the Ministry of Education (MOE) that PADU Corporation (PADU) is a colossal can of worms. It has now transpired that the Chief Accountant of MOE’s Account Department has recently informed Encik Mohammad Azhan Bin Md Amir a.k.a.the “brainless Hebat One”, the Timbalan Ketua Setiausaha (Pengurusan) of MOE that the Account Department of MOE has been instructed to provide a report on 16 September 2019, it was unable to do so because insufficient supporting documents and information from PADU.
PADU’s Accounts Overstated By More Than RM62 million!
Tuan Hj Nasran Bin Omar C.A. (M), the Chief Accountant of MOE, had discovered that the PADU’s account was OVERSTATED (“TERLEBIH NYATA”) by RM62,386,834.77!. What a fantastic creative accounting in PADU. It must be due to the genius in PADU at work that out of nowhere PADU has a balance of more than RM62 million on paper. Rumour has it that on or about 18 October 2019 the said Chief Accountant of MOE has given his recommendation that a detail forensic audit of PADU should be done by MOE’s Account Department or Jabatan Audit Negara in order to get to the bottom of the serious discrepancies.
Yours truly suggests that the authority or Jabatan Ketua Audit Negara should also do a full forensic audit on PADU’s 2016 – 2018 Audited Accounts because there were too many creative accountings performed during the height of the scandalous tablet project worth RM340 millions of Rakyat money.
Only in PADU and/or MOE that its account has an overstated balance of more than RM62 million, due to the special talent of PADU’s Chief Financial Officer, En Ahmad Izzat Bin Ahmad Zaki and his deputy.
Now that “the brainless Hebat One” had been formally informed about the creative accountings of PADU and the financial scandal in PADU/MOE on the failed tablet project worth RM340 million, he is duty bound to lodge a formal report with the police, MACC and the Ketua Audit Negara. Being brainless the Hebat One, it will not put pass him that he will chair more meetings with no solution to the creative accounting in PADU in order to hide his incompetence.
JK Pemandu Of MOE To Meet Again On 11 November 2019 – For Fun?
Let’s see after the scheduled JK Pemandu meeting on 11 November 2019, whether the “brainless Hebat One” will think like a responsible civil servant and opt to do the right thing for a change by lodging a report with the police and/or MACC and/or Ketua Audit Negara pertaining to all the wrong doings including the creative accountings in PADU/MOE or conduct business as usual or to lodge another report concerning the leakage on “the now established fact” ( Part 1, Part 2, Part 3, Part 4, Part 5, Part 6,Part 7, Part 8 and Part 9) of the findings of the said Chief Accountant of MOE about the OVERSTATED (“TERLEBIH NYATA”) of more than RM62 million in PADU’s accounts. Most probably the “brainless Hebat One” will fix many more JK Pemandu/”Shiok Sendiri” meetings with no solution.
Knowing the mentality of the “brainless Hebat One” he will do thoughtless things like lodging another report on the leakage of the rumour about the PADU’s account being overstated by more than RM62 million in his miserable attempt to cover up all the financial scandals involving the failed tablet project worth RM340 million.
In Malaysia BARU the mantra of the civil servants should be to help the new administration to use the American metaphor to drain-the-swamp and create an eco-system unfriendly to corruption, abuse of power, mismanagement and rent seeking. Business cannot be as usual, whistle blowing and a free press and all it encompasses should be protected even celebrated not criminalised to hide wrong doings and snafus in the advancement of the truth and the common good.
Now We Need A Civil Service Act
The Ketua Setiausaha Negara (KSN) should take note in the appointments of KSUs and TKSUs and make sure that the Ketua Pengarah Perkhidmatan Awam (KPPA) and the new Pengarah INTAN (Institut Tadbiran Awam Negara) gets the message and in turn creates a better training process for senior civil servants lest they turn out like the “brainless Hebat One” who deserved to be immediately pooled. It is time for Parliament to enact the Civil Service Act to ensure accountability and transparency in how the civil service works. There is the Education Act 1996, Police Act 1967, Armed Forces Act 1972 but no Civil Service Act. Unbridled power will only lead the spiral back of the bad old days.
Here’s a case of a public servant so insulated by power and privilege in high office that he ridiculously delves into a state of stupidity.
The Deputy Secretary General (Administration) of the Ministry of Education (MOE), EnMohamad Azhan bin Md Amir a.k.a ‘Brainless Hebat One’, has chosen to lodge a police report against yours truly instead of tracking the perpetrators involved in the failed RM340 million computer tablet project for teachers nationwide.
He saw it fit to make the police report against yours truly on 26 September 2019 for disclosing information/minutes of JK Pemandu of an MOE meeting on 18 July 2019.
PADU, a company incorporated by guarantee under the purview of MOE, was tasked with managing the supply of 430,000 computer tablets with pre-installed Tutor Guru app and Utusan Malaysia e-paper to teachers by June 2018. It is a case of “Harapkan pagar, pagar makan padi!”.
The funds were granted by the Malaysian Communications and Multimedia Commission (MCMC) to PADU during the Najib’s Administration.
On 10 October 2019, Inspector Hasbullah of Putrajaya police recorded a statement from yours truly over the posting of my 10th article, HERE. The minutes of meeting in question was in this article.
Yours truly was informed the matter is being investigated because of the so-called confidential information and documents in connection with the scandalous RM340 million tablet project were posted in this blog.
It appears the police are more interested in wanting to know who supplied yours truly the minutes of the meeting and other information about the wrong doings in PADU/MOE and not the wrong doings itself.
Yours truly spent one hour to give a statement and told the Inspector that certain documents including the JK Pemandu minutes were sent to my law office by an unknown person several months ago.
Yours truly told the officer that I decided to publish the 10 articles pertaining the scandal after weeks of document verification.
Was the ‘Brainless Hebat One’ in a state of “kera kena sambal belacan” that forced him to scare yours truly with police action?
Only the brainless would think of such a stupid tactic of lodging a police report to cover up the appalling wrong doings with regards to the RM340 million failed tablet project in PADU and MOE.
In the minutes in question, the ‘Brainless Hebat One’ had openly proclaimed that “urus setia mendapati setiap laporan tersebut yang dikemukakan sama ada tidak konsisten, mempunyai ralat dan perincian item yang tidak dapat ditentukan punca kuasanya.” Why up to this date there is no report lodged by MOE to the police and MACC?
During the JK Pemandu meeting of 18-9-2019, the ‘Brainless Hebat One’ knew very well that PADU is full of financial scandal and a national wastage, but that more importantly a big can of worms had to be opened to save public funds.
The ‘Brainless Hebat One’ chaired several JK Pemandu meetings, expressing reservations after reservations about the wrong doings in PADU.
Instead of taking positive action like lodging reports over the misdeeds with police, Malaysian Anti-Corruption Commission (MACC) and other authorities, the ‘Brainless Hebat One’ had the audacity to lodge a police report against yours truly for exposing the scandal.
Before the ‘Brainless Hebat One’ lodged the said police report, yours truly thought that the failed tablet scandal was confined to the little napoleons in PADU only. Now it seems that several high-ranking officers in MOE were also involved. It was all about the relationship of “Abang – Adik”.
Still, after a series of 10 articles in yours truly’s blog, which was read by top officers in MOE and PADU, not a single officer in PADU or MOE has came out to refute any of the 10 articles. They could only played dumb or brainless. The high ranking officers in MOE / PADU had done nothing positive to protect public interest and funds from MCMC. The only positive thing that this brainless “Hebat One” has done was to lodge a police report against yours truly for exposing the RM340 million worth of tablet scandal.
Is the ‘Brainless Hebat One’ trying to cover up the dishonesty in PADU and MOE by lodging the police report against yours truly with the predominant aim to save the culprits? I believe so. Did the brainless “Hebat One” get the approval from the Minister to lodge the said police report?
Bring it on, ‘Brainless Hebat One’. Yours truly is waiting for you to lodge more reports.
Updates on 26-9-2019 @ 8:30 pm:A little bird in MOE has informed yours truly that today the Tuan Mohamad Azhan bin Amir a.k.a.“Hebat One”, the TKSU of MOE, has been called by the police for his statement to be recorded. Lets hope that the police report by the “Hebat One” was not an act of covering up the RM340 million tablet scandal involving the little napoleons in PADU/MOE. The ‘Hebat One” should take note that a police report can be a double edge sword. Lets also hope that the police will now open up the big can of worms in PADU and MOE.
Updates on 25-9-2019 @ 5:30 pm:
A little bird in Ministry of Education (MOE) has informed yours truly that TKSU of MOE who is also the chairman of JK Pemandu, En Mohamad Azhan Bin Md Amir, has lodged a police report this afternoon. After having published ten parts on the tablet scandal worth RM340 million in PADU/MOE, the said TKSU was awoken from his slumber with the realisation on the seriousness of the scandal where public fund (MCMC Fund) of about RM270 million had been put to waste.
It is most unprecedented that En Mohamad Azhan Bin Md Amir, who is of TKSU standard, saw it fit to personally lodge a police report that was shrouded in secrecy. Hebat la TKSU ni! Normally the TKSU will instruct an officer of the ministry to lodge a police report on a wrong doing. May be he is a hands on high ranking officer and he would like to do it himself. Then he should not be shy to call a press conference to inform Malaysians that he has lodged a police report about the scandalous tablet project or others. Nevertheless, he should be congratulated for a job well done for lodging the police report for whatever objectives.
It is still unknown what was his police report all about. One thing for sure is that the said TKSU was jumping like a “kera kena sambal belacan“! Wonder why? His police report was a bit late but it is better late than never. We can only hope that the police will investigate into this scandalous project that cost the rakyat a whopping RM270 million!
Please stay tuned for Part 11.
The high-ranking officers in PADU Corporation (PADU) are mere “financial illiterates”, HERE, perhaps by design for them to do what they had been doing and still trying to do now. To put it mildly they are a bunch of spin doctors in the top management of PADU and they are still treating PADU as their cash cow.
It was transpired that during the meeting of Jawatankuasa Pemandu (JK Pemandu) of MOE that PADU had tabled numerous versions of its Financial Reports for year ending 31 December 2018. JK Pemandu also stated in its minutes of meeting that in every of PADU’s Financial Reports submitted to JK Pemandu were inconsistent containing items spent without authority or ‘punca kuasa’. (“urus setia mendapati setiap laporan tersebut yang dikemukakan sama ada tidak konsisten, mempunyai ralat dan perincian item yang tidak dapat ditentukan punca kuasanya.”)
JK Pemandu of MOE Meeting on 18 July 2019
JK Pemandu had decided that PADU to table the full details of its Financial Report as required by ‘Jawatankuasa Teknikal Program ICT Sekolah KPM’ (JK Teknikal) to its secretariat by 22 July 2019 for discussion in its next meeting.
On 18 July 2019, TKSU of MOE, En Mohamad Azhan Bin Md Amir, chaired the JK Pemandu meeting, En Ahmad Izzat bin Ahmad Zaki, the ‘Creative’ Financial Officer of PADU was also present. During the said meeting TKSU recorded that said JK Teknikal had not received any feedbacks on those issues in connection with acquisition and financial report that were tabled on 5 July 2019 have not been approved. TK SU also brought up the issues below for discussion:
“JK Siasatan Tadbir, Urus, Perolehan & Kewangan Kerajaan” (JK Siasatan) still investigating the RM340 million tablet project. JK Siasatan had discovered matters where terms of contract were not followed like payments made by PADU based on Statutory Declaration from Utusan.
On 5 July 2019 JK Teknikal had decided that its secretariat to record down all procedures used by PADU not in accordance with the terms of contract for the attention and actions by JK Pemandu as advised by the legal advisor of KPM.
PADU to cooperate with BSTP to produce a report supported by documentary cooperate evidence. The said report to be tabled in the next JK Pemandu meeting. Yours truly has been told that no such report had been tabled in the following JK Pemandu meeting.
This blog was also discussed during the said meeting and opinions were sought.
The ‘Creative’ Financial Officer of PADU, En Ahmad Izzat Ahmad Zaki, asked for the view of JK Pemandu pertaining to the ‘Surat Setuju Terima’ (SST), which had been signed by PADU on 26 April 2018 and paid a total sum of RM18,402,690.25, HERE.
JK Pemandu put on record that it had decided on 17 April 2018 Phase 6 to be postponed until and after 14th GE and yet PADU proceeded to sign the SST without the knowledge of JK Pemandu. Therefore, PADU had been asked to resolve the said SST and payment of RM18,402,690.25 on the condition that there will be no loss to the Government. It must be noted that out of the RM18,402,690.25, RM10,402,690.25 was paid to Dato’ Siew Ka Wei’s outfit, Redberry Sdn Bhd, HERE. Redberry Sdn Bhd was never a party to the agreement between PADU and Utusan or Utusan and Epiweb Sdn Bhd for the scandalous RM340 million tablet project.
With regards to what had been disclosed by this blog on issues and matters carried by PADU not in accordance with the procedures cannot be discussed as advised by MOE legal advisor because the said matters have been scheduled for discussion at the coming Public Account Committee (PAC) in Parliament.
Up to this date, the Financial Report 2018 of PADU has not been approved by JK Teknikal and/or JK Pemandu. The minutes looks so serious but no drastic action. It is business as usual in PADU!
Dato’ Siew Ka Wei’s Outfits Received RM70.6 Million From Special Purpose Vehicle Bank Account
PADU had been making payment to a special purpose vehicle bank account known as “Utusan-Epiweb Collection Account”. There was no basis for PADU to pay through this special purpose bank account for the failed RM340 million tablet project. PADU had paid a total of RM267,738,536.92 from fund received from MCMC into the said special purpose bank account. A total sum of RM70.6 million was paid out from this special purpose bank account to Redberry Sdn Bhd, which is wholly owned by Ancom Bhd, and Nylex Bhd, a subsidiary of Ancom Bhd, HERE.
At the material time, there was no public announcement in Bursa KL by Ancom Bhd and Nylex Bhd on the purpose of the receipt of RM70.6 million. Surely this must be of serious concerns for Securities Commission (SC) and Bursa KL. Reports have been lodged with SC and Bursa KL for failing to announce about the “transactions” involving RM70.6 million.
Redberry Sdn Bhd, Ancom Bhd and Nylex Bhd are NOT parties to the agreements between PADU and Utusan or Utusan and Epiweb Sdn Bhd. Until today PADU and/or MOE are still playing dumb about this payment.
Dato’ Siew Ka Wei is the executive chairman of public listed company Ancom Bhd and Group MD of Nylex Bhd. Amcom Bhd is the owner of Redberry Media Group (Redberry. ) Redberry is the owner of Malay Mail. Datuk Wong Sai Wan is the editor in chief of Malay Mail and director of several of Dato’ Siew Ka Wei’s outfits, one of which is Titanium Compass Sdn Bhd (Titanium Compass). Prior to GE 14th, Titanium Compass had been awarded with 10 year exclusive advertising space contract in MRT station.
On 9 January 2019 Dato’ Siew Ka Wei and his media specialist of Redberry Media Group, Ms Elizabeth Ken were arrested and detained by MACC for four days in connection with the ‘Speedy Gonzales’ RM99.7 milliondeal between Geeko Tech Sdn Bhd with Tourism Malaysia (TM) in 2018 (prior to GE14) when Dato Siew Ka Wei was the chairman ion TM. Ms Elizabeth Ken is the media specialist of Redberry Media Group and CEO fo Geeko Tech Sdn Bhd, HERE.
Datuk Musa Yusuf, the shameless DG of Tourism Malaysia
Datuk Musa Yusuf, the newly appointed DG of TM, was also in indirectly involved in the said RM99.7 million deal, which was evaluated, negotiated and sealed within one day. He was the president of KOPEMA and KOPEMA is a shareholder of Geeko Tech. On 19 January 2018 when Datuk Musa was the TM director for Promotion of Asia and Africa he devised a scheme to appoint Geeko Tech to do a so-called “kajian” that finally appointed Geeko Tech for the RM99.7 million deal, HERE.
The “Tidak Apa” JK Pemandu of MOE
What is strange is: JK Pemandu of MOE will just meet and made their critical comments with no further action whatsoever. One would have thought that a high powered committee of MOE would have lodged a report with the police or MACC. It chose to remain in the state of inertia! It was due to this innate “Tidak Apa” behavior from top to bottom in the MOE that have encouraged those spin doctors and manipulators to thrive in PADU. These spin doctors have now transformed into financial ‘monsters” with immunity!
It would appear that the financial ‘monsters’ in PADU must have got something on their bosses in PADU and MOE, hence the defiance and immunity.
Ministry of Education and Ministry of Communications & Multimedia Are Playing Dumb
The Minister of Education and his KSU are still playing dumb like dead wood over the scandalous RM340 million tablet project.
Despite all the promises that report will be lodged with MACC over the abuse of MCMC Funds in 16 July 2019, HERE, it is also mind boggling why the Ministry of Communications and Multimedia is still dragging its feet in reporting the matter to MACC. It is very strange isn’t it?
Are the two Ministers YB Dr Maszlee Malik and YB Gobind Singh Deo trying to protect the financial ‘monsters’ in PADU and little napoleons in MCMC?
SC and Bursa KL
So far there is no news of the development of the reports lodged with SC and Bursa KL on the failure to make public announcements by Ancom Bhd and Nylex Bhd about the “transactions” involving RM70.6 million of public fund.
Updates on 21-8-2019 @ 3:30 pm:SHOCKER! It’s now confirmed! Ancom Bhd, being the sole shareholder of Redberry Sdn Bhd, and Nylex Bhd did not make any announcement to Bursa Saham Kuala Lumpur (BSKL) of their involvement in the PADU/MOE’s RM340 million tablet project and/or the purpose for the receipt of about RM50 million by Ancom Bhd through Redberry Sdn Bhd and RM20.6 million by Nylex Bhd from the special purpose vehicle bank account, Utusan-Epiweb Collection Account.
BSKL is duty bound to investigate into this serious matter in order to protect the interests of the investing public and to ensure an orderly capital market in Malaysia.
Perhaps our Securities Commission should also be looking into this serious matter.
The imminent closure of Utusan Malaysia and Kosmo newspapers by Utusan Melayu (M) Berhad further complicates the systemic manoeuvring in the shady mega computer tablet project for teachers nationwide.
The situation currently is as follows:
Utusan Melayu (M) Berhad is broke and cannot continue with the project that includes pre-installed Utusan e-paper.
PADU Corporation, a company set up by the Ministry of Education (MOE) to manage the RM340 million project to supply free 430,000 tablets to digitalise teaching in schools, is in a big fix.
The ONLY winners in the rip-off failed tablet deal are companies which are not parties to the agreements between PADU – Utusan or Utusan – Epiweb for the failed project.
It would appear from the above mapping table of outflow of funds that Redberry Sdn Bhd (Redberry) and public-listed chemical company Nylex Berhad (Nylex) were paid a whopping RM70.6 millionfrom the very special purpose vehicle bank account, “Utusan-Epiweb Collection Account”. It was set up to receive and disburse payments from PADU for the failed tablet project. The said payment of RM70.6 million represents 26.34%of the total payment of about RM268 million of MCMC Funds that PADU had paid into the said very special purpose vehicle bank account.
RM20.6 million was paid from the said special purpose vehicle account to Nylex Bhd, a company dealing with chemical products. What was this payment all about?
Any Annoucement Made To Bursa Saham Kuala Lumpur?
Since Nylex Bhd is a public listed company, did it inform or make any announcement in Bursa Saham Kuala Lumpur (BSKL) about this significant transaction. The investing public should be kept informed of these significant transactions.
Both companies (Redberry & Nylex Bhd), controlled by the disgraced ex-Tourism chairman, Dato Siew Ka Wei were non-existent in the contracts between PADU-Utusan and between Utusan and the supply, delivery and maintenance agent, Epiweb Sdn Bhd.
The Corporate Genius, Dato’ Siew Ka Wei
On 9 January 2019, Dato’ Siew Ka Wei and his media specialist Ms Elizabeth Ken of Redberry Media Group were arrested and detained by MACC for four days, HERE, in connection with the Speedy Gonzales Geeko RM99.693 million with Tourism Malaysia,HERE.
Seven months have elapsed and there are no charges preferred by MACC. Why?
The Redberry Sdn Bhd
Dato’ Siew Ka Wei is the director and manager of Redberry Sdn Bhd. Ancom Bhd is the sole shareholder of 4 million shares. Similarly, did Ancom Bhd inform or make an announcement in Bursa Saham Kuala Lumpur (BSKL) about this material transaction where Redberry, a subsidiary of Ancom Bhd, had received RM50 million from the said special purpose vehicle bank account.
Dato’ Siew Ka Wei is the executive chairman of the public listed company Ancom Bhd and group MD of another public listed company Nylex Bhd, which had also received RM20.6 million from the same account.
Coincidentally, it was under Siew Ka Wei’s control that Malay Mail, then oldest newspaper in the country, was shut down 31 November 2018 even though at that material time Redberry and Nylex were getting a total of RM70.6 million from the said special purpose vehicle bank account. Until this day, many of the Malay Mail’s ex employees are still without a job.
Datuk Wong Sai Wan, The Best Editor In Asia!!
The famous Datuk Wong Sai Wan, editor in chief of Malay Mail, in his tweet was trying to exhibit his “COMPASSION” for the Utusan staff. Why the same compassion not shown to the Malay Mail staff when Malay Mail was shut down in 2018? Why was a small fraction of the RM50 million received from the said special purpose vehicle bank account not used to alleviate the hardship of the Malay Mail staff, who have slogged so hard for Malay Mail/Dato’ Siew Ka Wei? As a reminder to Datuk Wong, charity begins at home!
Datuk Wong is the BESTeditor in Asia, he is also a good businessman and director of Dato’ Siew Ka Wei’s outfit, Titanium Compass Sdn Bhd, which became part of the settlement agreement between Utusan and Redberry. Isn’t it strange?
The Ramifications Of Shutting Down Utusan
This latest development involving Utusan will have severe ramifications for PADU over the RM309,879,325.00 it received from the Malaysian Communications and Multimedia Commission (MCMC) for the scheme.
PADU had imposed about RM50 million in penalties against Utusan for breach of contracts that included non-delivery of tablets, late delivery and off specifications. Despite the breach of contract by Utusan in Phase 1 and 2, PADU under the leadership of Puan Khadijah Abdullah (former CEO of PADU & now with Bank Negara) and En Ahmad Izzat (CFO), Puan Khadijah carried on to sign contract after contract to facilitate payments to the so-called “vendors”.
Sources in MOE said that PADU/MOE has yet to enforce the penalties imposed. They are just playing “masak-masak” like kids!
Khadijah’s “Financial Literacy”
Now that Utusan is closing shop, it is almost impossible for PADU to recover the RM50 million unless Utusan has enough assets to cover it. PADU has to recover another RM18,402,690.25 which PADU paid out under Phase 6 against the decision of JK Pemandu on 17 April 2018, HERE. That was the “FINANCIAL LITERACY”/ZERO GOVERNANCE of Puan Khadijah Abdullah, the former CEO of PADU. She has been head hunted by Bank Negara to head a department that deal with “Financial Literacy”. May God bless Bank Negara!
For this payment under Phase 6, Redberry was paid RM10,402,690.25 from the special purpose vehicle bank account. God knows for what purpose??
Puan Khadijah Abdullah and EnAhmad Izzat Ahmad Zaki, CFO of PADU, should be held personally liable by surcharging them under the General Order for paying out the RM18,402,690.50 in total defiance of the JK Pemandu said decision.
The Suit Between Redberry & Utusan
Redberry Sdn Bhd, meanwhile, is on a roll. It obtained summary judgment of RM8.5 million against Utusan on 11 February 2019, claiming failure to refund the amount for “advertising, branding and communication exercise”, HERE.
The “Settlement Agreement” Between Utusan & Redberry
Strangely on 8 April 2019, Utusan and Redberry entered into a “Settlement Agreement”.
The tablets purchased by PADU and the off specifications of the said tablets were issues recited in the said “settlement agreement”.
Ironically, while the suit was about refund of “advertising, branding and communication exercise”, the said tablets and the off specifications became issues in the ”settlement agreement”!
Utusan is to settle the judgment sum of RM8.5 million under the following conditions:
A full and final settlement of the amount owed to Redberry by Utusan for computer tablets purchased by Redberry for a sum of RM482,194.44 shall be set off against the Judgment sum.
Utusan shall procure Utusan Airtime Sdn Bhd(UASB), a wholly owned subsidiary of Utusan, to transfer its 20% shares in Titanium Compass Sdn Bhd(Titanium) valued at RM6 million to set off against the judgment sum. Pending the approval of the relevant authorities for transfer, Utusan shall procure UASB to hold in trust for Redberry. (Note: Titanium was awarded with 10 years exclusive advertising space contract in MRT Stations, HERE)
As full and final settlement of any claim that Utusan may have against Epiweb Sdn Bhd (Epiweb) arising out of or in connection with the Supply, Delivery and Maintenance Agreement pertaining the computer tablets between Epiweb and Utusan, dated 3 December 2015, Redberry has agreed as follows:
To bear the agreed portion of the loss suffered by Utusan arising from short payment by PADU of RM2,017,805.56 by setting off that amount against the judgement sum.
Utusan and Redberry agree that for any potential claim or legal action that PADU may take against Utusan in connection with the tablets supplied by Lenovo Technology Sdn Bhd which the processor speed of such tablet is below the specifications required by PADU and for which Lenovo is aware of PADU’s specifications:
Redberry shall procure Epiweb to cooperate and assist Utusan in their discussion and negotiation with PADU.
Redberry, Epiweb and Utusan shall jointly pursue against Lenovo an order to make Lenovo liable for any damages PADU may claim against Utusan.
All agreed legal costs incurred in defending the claim by PADU and the claim against Lenovo shall be shared jointly between Redberry and Utusan.
In the event that the court decides that Lenovo is not liable for any damages arising from PADU’s claim against Utusan, Redberry shall procure Epiweb to assist Utusan to source competitively priced tablets for the remaining gadgets under the Supply Agreement.
Redberry shall receive from Ancom Bhd a letter of confirmation addressed to Utusan that there is no outstanding amount owing between Utusan and Ancom Bhd.
On 9 April 2019 it was also reported that Nylex had entered into an agreement with Utusan Melayu Bhd to settle their legal dispute over refund of “deposit” totalling RM10 million where Utusan had agreed to transfer a property worth RM6.7 million to Redberry, HERE. It is unknown whether this was part of the settlement between Utusan and Redberry.
Dato’ Siew Ka Wei signed the said settlement agreement on behalf of Redberry.
Many questions arose from the above “Settlement Agreement”? The obvious questions are:
Why did the tablet’s off specifications involving PADU and its supplier Utusan become part of the settlement?
Whywas Redberry was so concerned about the potential suit from PADU against Utusan when it was not a party to it?
On 13 June 2016 Siew also represented Utusan in the “Pre Price Negotiation” for the tablets with PADU, HERE.
One would have thought that Dato’ Siew Ka Wei and Utusan were very friendly parties. From the said lawsuit and the said settlement agreement it would now appear that there was a “SPECIAL” relationship between Dato’ Siew Ka Wei/Redberry and Utusan.
It was also strange that all payments from PADU were paid into the special purpose vehicle account known as “Utusan-Epiweb Collection Account” when PADU only entered into agreements with Utusan.
Why Was RM70.6 mil Paid To Redberry and Nylex Bhd?
On 30 April 2018 RM10,402,690.25was paid out from the special purpose vehicle bank account under Phase 6 to Redberry. but there were several other payments to Redberry and Nylex Bhd totalling RM70 mil.
It must be noted that both Redberry and Nylex Bhd were not parties to the agreements between PADU – Utusan and Utusan – Epiweb.
PADU/MOE STOP PLAYING DUMB ON ABUSE OF PUBLIC FUNDS
When the news of the MCMC Funds had been abused broke out, on 16 July 2019YB Gobind Singh, the Minister of Communication and Multimedia, had assured the public that a report will be lodged with SPRM/MACC with regards to the abused of MCMC Funds, HERE. More than a month has elapsed and no such report was made by his ministry. Why? Is the Ministry trying to cover up for MCMC officers, who have disbursed the MCMC Funds to PADU wantonly with no control?
A culture of impunity has long reigned in this scandalous episode and PADU and MOE must come clean to clarify the RM70.6 mil paid out from the said special purpose vehicle bank account, “Utusan-Epiweb Collection Account” to Redberry and Nylex Bhd. The deafening silence is no longer an option for the Minister of Education, YB Datuk Dr Mazlee Malik!
Updates on 9-8-2019 @ 3:00 pm: At last PADU saw it fit just to upload its Annual Report 2018, which was marked “Coming Soon” in PADU’s website. Nothing was written about the. scandalous tablet project in the said report. PADU couldn’t talk about it in its said report because PADU knew from day one that it was just a very questionable project!
Updates on 7-8-2019 @ 10:45 am:It was reported in Sabahkini today that the KSU of MOTAC, which is one of the most scandal ridden ministries, Datuk Isham Ishak, was detained by MACC for the investigation into the original “Speedy Gonzales” Geeko deal of RM99.693 million with Tourism Malaysia (TM).
On 9 -1-2019 Dato’ Dr Siew Ka Wei, the former chairman of TM and executive chairman of public listed Ancom Bhd and MD of the defunct Malay Mail, and his Redberry media specialist Ms Elizabeth Ken, who is also the shareholder and CEO of Geeko Tech, were detained by MACC for this scandal, HERE &HERE. Reliable sources in MOTAC has confirmed that Datuk Isham Ishak was not detained by MACC as reported by Sabahkini. Datuk Isham Ishak has been known to control the finances in MOTAC very tightly resulting in a few little napoleons in MOTAC and TM are not happy with him.
By co-incidence Dato’ Dr Siew Ka Wei, the corporate genius, and/or one of his outfits, Redberry Sdn Bhd, also surfaced in the tablet scandal involving PADU, HERE &HERE.
Updates on 3-8-2019 @ 11:45: Yours truly has just added the Jawatankuasa Pemandu of MOE‘s minutes of meeting (Siri Khas – 3/2018) dated 5 March 2018. The all powerful former CEO of PADU, Puan Khadijah Abdullah, was present in the said meeting, and knew that the tablets in Phase 4 were off specs. It was a fundamental breach of contract but Khadijah chose to make payments, after payments. No wonder she was hand picked to be part of Bank Negara MalaysiaI! What a joke! Please read on to know her ZERO governance as CEO of PADU.
The corrosive effect of the bombed RM360 million project to provide free 430,000 computer tablets to teachers nationwide is degrading sound governance in the public sector.
The funds came from MCMC, which is under purview of the Ministry of Communications and Multimedia. YB Gobind Singh Deo, the Minister has reported to have said that the two funds (MCMC Fund and USP Fund) will be independently audited, HERE. When the news of the abuse of MCMC Fund broke out, on 16 July 2019 YB Gobind had announced that his ministry will lodge a report with MACC, HERE. It is unclear whether the ministry had lodged a report with MACC.
PADU Corporation is a company incorporated by guarantee under the Ministry of Education (MOE). It continues to act with impunity, fuelling secrecy around its deal with project contractor, Utusan Melayu (Malaysia) Berhad (Utusan).
PADU’s clandestine financial manoeuvring has also seen millions of ringgit uncontrollably going into the coffers of the main contractor, Utusan, supplier of the gadgets, Epiweb SdnBhd and a totally uninvolved company, media group Redberry Sdn Bhd (Redberry), in the agreements between PADU – Utusan and Utusan – Epiweb Sdn Bhd. .
Desperate to cover up questionable acts, PADU failed to mention the mega tablet project in its 2016, 2017 and the latest 2018 Annual Reports.
That’s a major mistake that reeks of scandal and abuse of taxpayers’ money.
Why there Was Total Silence Of The RM360 million Tablet Project in The PADU’s Annual Reports?
By not including in the PADU’s Annual Reports for 2016, 2017 and2018(2018 Annual Report was launched last week but in its website it is shown “Coming Soon”) the tablet project that was meant to digitalise education in public schools, it is crystal clear that the Padu topLESS management is very embarrassed over the dubious dealings. What are they trying to hide? Or they knew that this tablet project was just a shady deal from day one! We can only guess from the conduct of the little napoleons in this dubious transaction.
Obviously PADU was trying to keep the project a secret and perhaps thought no one would dig into the glaring irregularities.
This blog has in recent weeks published exhaustive reports into the whole affair, along with supporting documentary proof of how the project was grossly mismanaged in broad daylight by the little napoleons, Part 2, Part 3, Part 4, Part 5and Part 6.
All Payments Made by Padu Into Special Purpose Vehicle Account – Why The Eagerness To Pay?
Troubling questions abound and one that is weighted around the neck is: Why was PADU was so eager to make payment to the special vehicle account “Utusan-Epiweb Collection Account”?
It is also baffling that Redberry, which was never a party to the contracts benefited greatly from the project, unless of course, the company through its supremo Dato Dr Siew Ka Wei, who is also a corporate wizard, had been pulling the strings from the very start.
On 13 June 2016 Dato Dr Siew Ka Wei attended the Pre-Price Negotiation of the Tablet Project meeting as an Utusan’s representative when he was not an employee of Utusan, HERE.
We know that in Phase 6 despite the Jawatankuasa Pemandu of MOE Reports of 5 and 8 March 2018 and the Jawatankuasa Pemandu’s decision not to proceed with the phase, PADU chose to ignore both and paid out RM18,402,690.25 without delivery of one single unit of tablet to the teachers up to now, HERE.
Why RM10,402,690.25 Was Paid Out from the Special Purpose Vehicle Account To Redberry?
We also know that upon receipt of the RM18,402.690.25 for Phase 6, RM8 million was paid to Utusan and RM10,402,690.25 to Redberry, which was not a party to contract between Padu – Utusan or Utusan – Epiweb Sdn Bhd.
Who is Dato Dr Siew Ka Wei?
Dato’ Dr Siew Ka Wei (Siew) was the former chairman of Tourism Malaysia, who was arrested on 9 January 2019 snd detained for four days by MACC pertaining to the “Speedy Gonzales” Geeko Tech RM99.693 million deal with Tourism Malaysia.Ms Elizabeth Ken was also arrested and detained together with him. Ms Elizabeth Ken is the shareholder and CEO of Geeko Tech Sdn Bhd.
Siew is the executive chairman of the public listed Ancom Bhd, group MD of public listed Nylex Bhd and MD of Redberry Media Group, which owned the defunct Malay Mail and Malay Mail online. Ms Elizabeth Ken is the media specialist of Redberry Media Group. The famous Datuk Wong Sai Wan is the editor in chief of Malay Mail and a directors of several of Siew’s outfits. – one of which is Titanium Compass Sdn Bhd that was awarded with exclusive advertising in the MRT stations in one of the routes, HERE.
Siew and his business partner Tan Sri Al Amin were extremely powerful under BN until the 14th GE.
Ms Elizabeth Ken signed as a witness in the agreement between Utusan – Epiweb Sdn Bhd for the supply and maintenance of the said tablets, HERE.
Why was Redberry paid RM10,402,690.25 in Phase 6?
Was Redberry paid under Phase 5?
How much in total was Redberry paid from Phase 1 to 6?
Were PADU and MOE aware that Redberry was getting paid?
JK Pemandu of MOE Already Found Out in Phase 4 the Tablets Were Not In Accordance With Specs! – Khadijah Abdullah, the former CEO of PADU, knew about it!
On 5 March 2018Jawatankuasa Pemandu of MOE met and decided as stated in the minutes below:
Puan Khadijah Abdullah, the all powerful former CEO of PADU, was a member of JK Pemandu of MOE. According to the above minutes of meeting of JK Pemandu of 5 March 2018, Khadijah had full knowledge that the tablets supplied by Utusan under Phase 4 wereNOT in accordance with the specs in the agreement. She was also part of the decision to examine those tablets that have not been delivered under Phase 5 and if those tablets found to be off specs, the supplies are NOT to be proceeded with.
As you read on you will no doubt see that Khadijah had no respect for rules and procedures / GOOD GOVERNANCE. Khadijah chose to DEFY the above decisions of JK Pemandu of 5 March 2018 and MOE IT Department’s finding of 8 March 2018 (random check on the 20 tablets to be off specs).
On 8 March 2018 Random Check By IT Department of MOE On 20 Tablets in Phase 5 Not In Accordance To Specs
Try figure these out:
On 5 March 2018 Jawatankuasa Pemandu MOE had already discovered in Phase 4 that the tablets were not in accordance with the specs and had decided to examine the tablets under Phase 5 before distribution. If those tablets found not to be in accordance with specs as per contract then the said tablets can not be distributed. At the material time, Khadijah Abdullah was a member of Jawatankuasa Pemandu and had full knowledge of the tablets were off specs.
On 8 March 2018, Ministry of education (MOE) did a random check of 20 units of the tablets at Utusan’s warehouse and found that all the 20Lenovo tablets were not in accordance with the specifications in the contract.
Despite Lenovo Tablets Not In Accordance With Specs – PADU Paid Out RM9,016,947.50
Despite this damning reports of 5 March 2018 and 8 March 2018, on 21 March 2018 PADU under the leadership of Khadijah Abdullah ignored the Jawatankuasa Pemandu’s said two reports and paid out RM9,016,947.50!
The MOE must come clean to explain why it allowed PADU to ignore or defy its two unfavourable reports of 5 and 8 March 2018.
MACC should also investigate why MOE allowed PADU to defy all rules and procedures in order to make payment.
The One Sided Payment Schedule for Phase 5
Let’s look at Phase 5. The schedule of payment was extremely favourable to the vendor, Utusan or … .
Upon signing of “Surat Setuju Terima” (SST) by PADU and acceptance by Utusan, Padu paid the first 35% of the contract price (RM19,125,424.50 for Phase 5) – the first payment.
The 2nd payment of 25% was paid upon both parties signing all the documentation and presenting to PADU within 3 weeks – RM13,661,017.50.
The 3rd payment of 15% was paid upon PADU being in receipt of Bill of Lading – RM8,196,610.50.
In another words prior to delivery of a single unit of tablet to the teachers and without checking the specs, PADU paid out 80% of contract price – RM40,983,052.50! What a fantastic deal for the vendor, Utusan or … , of the tablets.
The 4th payment of 15% (RM9,016,947.50) under Phase 5 was paid upon confirmation that tablets were delivered to the warehouse of Utusan and delivery order issued by Utusan.
The 5th payment is the 5% retention sum held by PADU. In Phase 1 and 2 of this scandalous project PADU paid the 5% to Utusan based on the Utusan’s statutory declaration as proof of delivery, HERE.
In Phase 1, upon signing of SST and acceptance of it, PADU paid Utusan 95% of the contract price and remaining 5% retention sum was also paid out based on Utusan’s statutory declaration as proof of delivery!
From the above payment schedule, you don’t really need any capital do business with PADU. Padu is just vendor friendly by funding it upfront.
Khadijah Abdullah Has Been Appointed As An Officer In Bank Negara Malaysia???
Here’s another thunderbolt: Yours truly has been informed that the then all-powerful “Hebat” CEO of PADU, Puan Khadijah Abdullah, is now been appointed as an officer in Bank Negara Malaysia or its related agency. How’s that for her zero governance in PADU and trust?
Besides what have been stated about the zero governance under her leadership in PADU, it was Khadijah who dared to exceed her authority upon the issuance of “Surat Setuju Terima” (SST) amounting to a whopping RM51,911,866.50 for Phase 5. This was not the only Phase that exceeded the RM50 million mark.
It is standard practice in PADU that SST above RM50 million be approved by the Board of Trustees of PADU.
So, can you blame the rakyat if they want to know the role of Khadijah, who does not care about proper governance and/or the law, in Bank Negara.
The deafening silence of PADU and/or MOE in the tablet scandal is most shocking. Is MOE trying to help PADU cover up this scandal?
PADU is a national wastage. It should be shut down forthwith to save taxpayers’ money.