KUALA KANGSAR: Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi said he will take proactive steps to address the problems experienced by Felcra Berhad and its subsidiaries due to the entity's high debt burden.

Ahmad Zahid, who is also the Rural and Regional Development Minister, said a committee had been formed to study the recommendations of the Public Accounts Committee (PAC) to resolve the issue.

"I would like to thank the Auditor-General and PAC for highlighting this issue, and as the minister in charge, I must resolve this problem and find a way to address the irregularities,” he told the media at the opening of the Kuala Kangsar Umno Division representative meeting, at Dewan Jubli Perak, on Monday (July 8).

Ahmad Zahid said he has researched and discussed the issue with the chief executive officer and subsidiaries under Felcra to resolve the debt problems.

The discussions included finding any agency or company interested in buying a commercial development project in Jalan Semarak, Kuala Lumpur.

"The building has not been sold, but as the minister currently responsible for rectifying the accounts and investments in Felcra, I have identified at least three agencies or companies which have the potential to purchase the completed building.

"The construction cost of the building is quite high, and we aim to sell it based on demand and market price so that the proceeds can repay Felcra's debts to the government,” he said.

On June 26, the PAC made five recommendations to the government regarding monitoring the high debt incurred by Felcra Berhad and its subsidiaries.

The PAC recommended that the Rural and Regional Development Ministry and Felcra exercise greater responsibility and strictly regulate their subsidiaries to generate profits and achieve their establishment goals.

Ahmad Zahid said the views and recommendations of PAC relate to the issues highlighted in the Auditor-General's Report (, which was tabled in Parliament on July 4.

He added that these recommendations will be debated in Parliament on Tuesday (July 9). – Bernama

https://www.thestar.com.my/news/nation/2024/07/08/ahmad-zahid-committed-to-addressing-felcra-debts-studying-pac039s-recommendations