œ
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Agreeing to
Disagree
by Tim Leonard
List of failed ventures
newsdesk@thesundaily.com
ETALING JAYA: Pempena Sdn
P
Bhd, the controversy-stricken
subsidiary of Tourism Malaysia,
has filed nine reports with the
Malaysian Anti-Corruption Commis-
sion on irregularities in investments
and ventures that it had undertaken
with various companies.
Similar reports were also filed
with the Police Commercial Crimes
Division, and in some cases with the
Companies Commission of Malaysia.
All investigations by the police and
MACC are ongoing.
AFPPIX
Member of Audit Bureau of Circulations (Malaysia)
30 SEN for delivery to your doorstep
TELLING IT AS IT IS
pg17
» Tee Keat wields the axe pg2
AUDITOR-GENERAL ZOOMS IN ON PEMPENA’S BUSINESS DEALS
This was revealed in the Auditor- Limited-Awana Beijing, Malaysian
General’s 2008 Report released on Restaurant Hyderabad Limited-
Monday, which carried responses Awana Hyderabad, Awana Dubai,
from Pempena to audit findings on D’Malaysia Restaurant (Australia)
irregularities that had been uncov- Pty Limited, Sri Kebaya Restaurant
ered. The MACC and police reports (M) Sdn Bhd in Doha, Qatar and
were lodged last year and this year. Airnett Catering Services Sdn Bhd.
The questionable ventures were The audit findings were:
those which Pempena carried out » SVSB, which lost RM1.04 million
with Sky Vans Sdn Bhd (SVSB), Dala- in the financial year ending Dec 31,
masa Sdn Bhd, Malaysian Restaurant 2007, now operates a fleet of 10 vans,
Limited London-Awana Chelsea, instead of the proposed 20. Pempena
Malaysian Restaurant Beijing is making efforts to recover its RM1.8
True blue ... Apart from the traditional red
and white, there are now blue roses, thanks to genetic
engineering. The unique blooms are the result of 13 years
of research by an Australian company and Japanese
beverage giant Suntory. The pigment was cloned from
the petunia and inserted into an Old Garden Cardinal de
Richelieu rose, according to wikipedia. Suntory is offering
the blue roses for sale from next month.
2009 AWARDS
Award winning newspaper
for excellence in
investigative reporting
No. 4869 PP 2644/12/2009 (023092)
Wednesday
October 21, 2009
www.sun2surf.com
» The weirdest goals ever scored pg29
million upfront payment made
to SVSB, which it admits will be
difficult because the payment was
made without an agreement.
» Pempena’s investment in Dala-
masa to run Pempena Executive Taxi
Service Sdn Bhd (PETS) has caused
it to lose RM13.36 million. On top of
that, Kah Bintang Sdn Bhd is claim-
ing RM17.84 million from Pempena.
Pempena terminated its taxi
management contract with Dala-
masa on Nov 26, last year. Dalamasa,
which was seeking RM1.5 million
in compensation from PETS for
liabilities and loss of income, has
since returned six Mercedes Benz to
PETS but reported one missing.
» Pempena did not carry out in-
dependent audit assessment before
investing in Malaysian Restaurant
Limited London-Awana Chelsea,
a restaurant promoting Malaysian
cuisine in Britain. It has not received
any returns on its RM3.73 million
invested in the restaurant venture.
» On the Malaysian Restaurant Bei-
jing Limited-Awana Beijing deal, the
share registration of the restaurant
under the entity of Little Penang Bei-
jing Limited was not done rightfully.
No agreement was signed between
Pempena and Low Chin Meng to
protect Pempena’s interest in the
2008 AUDITOR-GENERAL’S REPORT
» Two full tanks of petrol a minute apart
» Selangor must gazette raw water sources
» Guan Eng invites A-G to visit Penang
Sports
venture. Low is an entrepreneur-
cum-restaurateur who joined Tour-
ism Malaysia to promote Malaysian
cuisine abroad via the swanky
Awana Chelsea Restaurant as well
as others in India and China.
» On the Malaysian Restaurant
Hyderabad Limited-Awana Hydera-
bad deal, the 45% shareholding value
in Little Penang Hyderabad Limited
valued at RM1.6 million was not
fairly priced.
» On Awana Dubai, the A-G said
Pempena should have claimed back
the RM888,000 advance fee from LCL
Interiors, as the sum given by Low to
Awana Beijing and Hyderabad did
not get Pempena board approval and
could not be verified.
» Pempena’s investment in
D’Malaysia Restaurant in Australia
was done without due diligence. It
did not sign any agreement with the
company before giving an advance
of RM52,525. The restaurant is loss-
making.
» On the Sri Kebaya Restaurant
venture in Doha, Pempena has yet
to recollect its advance payment
of RM570,271 from proprietor
Sunyta Ali and the restaurant has lost
RM316,785 in the first seven months
of operation.
» On Airnett Catering Services Sdn
Bhd, checks showed that a RM500,000
advance did not comply with the
Companies Act. The payment was
made without board approval.
» On Pages 6&7