Highlights

MACC Clean Up Corporate Rats

Author: MaccClean   |   Latest post: Fri, 18 Jan 2019, 10:29 AM

 

Protasco Bhd Chong Ket Pen salary jump from FY12 RM600k to FY16 RM4.2mil, up 800%. The JKR contractor public fund looted a form of self-gratification?

Author: MaccClean   |  Publish date: Fri, 18 Jan 2019, 10:29 AM


17 January 2019, Kajang, Selangor, Malaysia - The Malaysia largest road maintenance contract raider, Protasco Bhd (Bursa 5070) had recently being implicated in SPRM (MACC) anti-corruption raid, involving the company Menuju Asas Sdn Bhd and the company director Mohammad Redzuan Mohanan Abdullah, where during the same period fo alleged graft and money laundery by SPRM, Menuju Asas Sdn Bhd was having business with HCM Engineering Sdn Bhd, and entered into lawsuits on business disputes, followed by settlement. (Source: http://disclosure.bursamalaysia.com/FileAccess/viewHtml?e=297084). HCM Engineering Sdn Bhd is the subsidiary of Protasco Bhd, and Chong Ket Pen was the 13.3% shareholder and Executive Director of Protasco Bhd during material time.

Menuju Asas Sdn Bhd and the company director Mohammad Redzuan Mohanan Abdullah, was implicated in the SPRM (MACC) probe in September 2018 and Azeez, a former Tabung Haji chairman, was slapped with three charges of receiving bribes worth RM5.2 million and nine charges of money laundering amounting to RM139.3 million, including Menuju Asas Sdn Bhd.

 
According to New Straits Times 16 Jan 2019 report, Baling member of parliament Datuk Seri Abdul Azeez Abdul Rahim and his brother Datuk Abdul Latif were charged at the Sessions Court here today with graft and money laundering amounting to RM144.5 million, since Dec 2010. He was accused of receiving the kickbacks from Menuju Asas Sdn Bhd director Mohammad Redzuan Mohanan Abdullah, between December 2010 and April last year, as an inducement for the company to obtain RM197.8 million worth of road projects in Kedah and Perak from the government through direct negotiation and selective tender. (source: https://www.nst.com.my/news/crime-courts/2019/01/451150/updated-baling-mp-azeez-claims-trial-graft-money-laundering-charges )
 
For the second and third charge, he was accused of receiving RM4 million in two transactions from the same person as a reward for him assisting the company to obtain road projects worth RM842.2 million through limited tender from the Works Ministry.
 

Market speculate when would Protasco Bhd and the executive director Chong Ket Pen which deals with road project contracts with Menuju Asas Sdn Bhd would expose the money trail and private dealings among the dodgy companies during the period.

Chong Ket Pen suspected dodgy deals could be reflected on his selfish and reckless character as exposed by Protasco Bhd financial reports. Chong Ket Pen was drawing approximately RM50,000 a month salary as a director as recorded in the year 2012 annual report.

Chong later lost his executive power and board control during June 2012 - October 2012 when Ibrahim Noor took over majority shares of Protasco Bhd to 27.11% and appointed himself and 2 other Executive Director into Protasco board, together with few more independent directors.

Upon entry of new controlling shareholder in 26 November 2012, Ibrahim Noor and all the newly appointed directors resigned, leaving Chong Ket Pen as the only executive director of Protasco. Chong Ket Pen further appointed new independent directors and regained his board control during November 2012 - January 2013. November 2012 onward, Chong Ket Pen held Protasco chairman Hadenan Abdul Jalil as the king pin to control majority of Protasco board.

On September 2014, Chong Ket Pen through Protasco manufactured a blame on a failed oil asset acquisition on Protasco controlling shareholders, and took full board control of Protasco board on November 2014 onwards.

Chong Ket Pen has since use his full control of Protasco board, self-increased his salary and fees to RM4.2 million on year 2016, or 800% above his normal salary before we gained full control of Protasco. Protasco however, saw the business turn negative, with lower profit margin suspected transfer pricing, and alarming debt exceed RM600 million, according to Protasco Q3 2018 financial report. More alarming is the sudden increase of Hire Purchase over year 2014-2018, suspected over RM6 million was spent on car purchases, which is a form of self-gratification especially looking at Protasco poor financial performance. The unrealistic salary, dividend and suspected transfer pricing took place inside Protasco saw Chong Ket Pen and sons recycled the money to purchase more Protasco shares.

(source: Year 2012 Chong Ket Pen salary remained the same estimated RM50,000 per month, with the remaining pay went to 3 newly appointed executive directors after the emerge of Ibrahim as controlling shareholder. In Year 2011, Chong Ket Pen and the former joint-co-founder, Hasnur, were taking same salary around RM50,000 per month. http://disclosure.bursamalaysia.com/FileAccess/apbursaweb/download/?name=EA_DS_ATTACHMENTS&id=161504

Year 2014-2018, Chong Ket Pen increased his personal pay by RM1mil a year, until the peak of RM4.2mil in year 2016. The overall Protasco Senior Management and Director fees also ballooned from RM2.5mil to RM10mil per year, right after Chong Ket Pen took control of Protasco in the said period. According to Bursa Malaysia public announcement).

Would SPRM (MACC) take action soonest before the looting spree consumed Protasco? Perhaps the probe came sooner than the market anticipated, through the expose of Menuju Asas Sdn Bhd dealings with HCM-Protasco.

 

MACC WATCH

 

Note:

Protasco 2016 annual report Chong Ket Pen salary record: RM4.2 million

http://disclosure.bursamalaysia.com/FileAccess/apbursaweb/download?id=180087&name=EA_DS_ATTACHMENTS

 

 

 

Protasco 2012 annual report Chong Ket Pen salary record: estimated RM600,000

http://www.bursamalaysia.com/market/listed-companies/company-announcements/4371061

Labels: PRTASCO
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Hot today! After MACC probe on Azeez's RM842m road contract, is Protasco Bhd Chong’s RM4.2 billion contract next in line? Who is Menuju Asas?

Author: MaccClean   |  Publish date: Wed, 16 Jan 2019, 08:54 PM


 

16 January 2019, KUALA LUMPUR: Former Tabung Haji (TH) chairman Azeez Abdul Rahim claimed trial at the Sessions Court here today to 12 charges of corruption and money laundering in government projects.

 

Datuk Seri Abdul Azeez Abdul Rahim and the contractor named in the MACC probe are involved in the illegal obtained of road projects, which gave another road project raider Protasco Bhd (bursa 5070) a headwind of what is coming to one of the largest public money laundry shops. The long-anticipated probe into Protasco Bhd, which is suspected involved in corruption and ill-gotten government contracts especially before the last General Election, might just be around the corner.

 

Azeez was slapped with three charges of accepting bribes worth RM5.2 million under Section 16 of the Malaysian Anti-Corruption Commission (MACC) Act, and nine for money laundering amounting to RM139.34 million under Section 4 (1) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act.

 

He was accused of receiving RM5.2 million from Mohammad Redzuan Mohanan Abdullah, the director of Syarikat Menuju Asas Sdn Bhd, in the Klang Valley between December 2010 and April last year.

 

The money allegedly paid to Azeez was said to be an inducement to allow Menuju Asas to obtain RM842.3 million worth of road upgrade projects in Kedah and Perak through direct negotiations.

 

On the other hand, Protasco Bhd was awarded an RM4.2 billion road maintenance contract on April 2018, a month before May 2018 General Election. Dato Seri Chong Ket Pen is the Executive Director cum major shareholder of Protasco Bhd which regained his full power and board control in November 2014 after he gained half control of the company on November 2012, which is 4 months after he lost both his power and board control between June 2012 - October 2012, according to Bursa Malaysia public announcement.

 

Was there any business or co-relationship between Menuju Asas Sdn Bhd, Mohammad Redzuan Mohanan Abdullah, Protasco Bhd, and of cause Chong Ket Pen in these dodgy dealings? Perhaps MACC could provide the answer very soon.

 

MACC Watch

 

Is Protasco Bhd's Chong Ket Pen involved in HCM-Menuju Asa Sdn Bhd dealings?

 

 

source: 

 

Ex-Tabung Haji chief claims trial to corruption, money laundering

https://www.freemalaysiatoday.com/category/nation/2019/01/16/ex-tabung-haji-chief-claims-trial-to-corruption-money-laundering/

 

 

Umno’s Abdul Azeez claims trial to graft charges

https://www.tnp.sg/news/world/umnos-abdul-azeez-claims-trial-graft-charges

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After Ancom Bhd’s Siew, Protasco Bhd Chong's RM4.2 billion JKR contract awarded pre-election MACC next probe? Insider Watch.

Author: MaccClean   |  Publish date: Thu, 10 Jan 2019, 05:57 PM


 

10 January 2019, Kajang, Selangor, Malaysia - Protasco Bhd saw the SUKE contract terminated and the market is expecting more revision in the government contract manipulators given by the former government.

The MACC probe into high profile contract awards, especially those compromised and dubiously awarded pre-Malaysia General Election, are under review and awaits action from relevant authorities.

According to The Edge newspaper, Ancom Bhd executive chairman and former Tourism Malaysia chairman Datuk Dr. Siew Ka Wei was remanded for four days over an RM100 million tourism contract awarded before Malaysia's 14th general election. The Edge quoted that The Malaysian Insight reported today.

Market perceive this pre-election probe is just a small starter plate compared to Protasco Bhd’s RM4.2 billion JKR contract awarded to Dato Seri Chong Ket Pen’s high profile pre-election political campaign in May 2018 after it got awarded such contract in April 2018. Market consensus is anticipating when is the high profile public service contract be probed. Protasco Bhd quarterly cash flow saw RM66 million shortfalls right before the said contract was awarded.

MACC Watch

 

reference:

http://www.theedgemarkets.com/article/ancom-chairman-siew-ka-wei-remanded-over-rm100m-tourism-contract

Labels: ANCOM, PRTASCO
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