KUALA LUMPUR (July 17): The Edge Media Group has expressed its appreciation to Human Resources Minister Steven Sim and the Public Accounts Committee (PAC) for intervening to stop Human Resources Development Corp (HRD Corp) from suing the media company over its reports on the lapses in governance at the agency that manages billions of ringgit in money collected from employers.

The Edge's publisher and chief executive officer Datuk Ho Kay Tat said there was no malice in their reporting on HRD Corp following the recent release of both the PAC and auditor general's reports on the agency, and that The Edge was prepared to defend any suit HRD Corp had threatened to file against it.

Nonetheless, The Edge was happy that HRD Corp had since dropped the matter after being directed to do so by Sim, he said, noting that HRD Corp had retracted the letter of demand it issued to the media company, according to a notice sent by the law firm acting on its behalf, Amrit & Company, on Wednesday.

In the now-retracted letter of demand, HRD Corp had threatened legal action against The Edge and one of its journalists for alleged defamation related to its reporting on the PAC and auditor general's findings concerning the agency. It had accused the media company of unfairly, deliberately, and maliciously misquoting, sensationalising, and misinterpreting findings by the National Audit Department in two articles: PAC flags dubious property deals by HRD Corp and Frankly Speaking: Total breach of governance at HRD Corp.

HRD Corp claimed the articles were intended to defame the agency and its officials, exposing them to public scorn and damaging their professional reputations. The demand letter insisted on the removal of the articles, a formal written apology published in two English dailies and The Edge's website within 48 hours, and sought damages for alleged harm suffered.

In a press conference earlier on Wednesday, Sim said he had instructed the agency to retract the letter of demand to the company which publishes The Edge Malaysia weekly and theedgemalaysia.com upon learning of the matter, saying he disagreed with HRD Corp's action.

"I completely disagree with the decision to pursue legal action against the media, as I firmly uphold the freedom of the press. This has been my principle even before we came into government," Sim said.

Public Accounts Committee (PAC) chairwoman Datuk Mas Ermieyati Samsudin said the committee viewed HRD Corp's actions as an effort to obstruct The Edge's role as media practitioners and potentially undermine the PAC's credibility.

PAC chairwoman Datuk Mas Ermieyati Samsudin, who expressed shock over HRD Corp's actions, had also told HRD Corp to retract its letter.

She said the committee viewed HRD Corp's actions as an effort to obstruct The Edge's role as media practitioners and potentially undermine the PAC's credibility. She had also called on the board of directors of HRD Corp to be held accountable for having threatened to sue The Edge over its reporting on the committee's findings and those of the auditor general's.

"We demand explanations from the Human Resources Ministry and HRD Corp's board of directors regarding these actions. The board must be held accountable for these actions," she told a separate press conference on Wednesday.

She also stressed that HRD Corp is a company limited by guarantee and subject to the Companies Act 2016, as well as the Human Resources Development Act 2001. "The levy collected by HRD Corp is taxpayers' money, and it is the duty of the PAC to ensure that it is managed in accordance with the law," she was reported as saying.

"HRD Corp is not a private company funded by private money. It is funded by taxpayers and collects billions in levy from employers meant for workers' training. Its operations must therefore be subject to scrutiny, including by the media," said Ho.

"We thank YB Sim and the PAC for their support and appreciation of the role played by the media in highlighting issues of public interest," he added.