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03 June 2010

Over RM500,000 in bonuses paid to KSSB staff

Kumpulan Semesta Sdn Bhd (KSSB) chairman Datuk Abdul Shukor Nagor revealed today that more than half a million ringgit in bonuses were paid to company staff after just ten months of operation.

The chairman of the state-owned sand-mining company revealed this at the Selangor Select Committee on Competency, Accountability and Transparency (Selcat) public hearing investigating graft allegations involving KSSB senior officials.

“The total bonus to KSSB staff for end June 2009 was RM503,613.59 and end December 2008 was RM137,500,” said Shukor during his testimony.

Shukor added that he had received a total of RM48,000 in bonuses for the period September 2008 till June 2009, while executive director Mohamed Ramli Abd Majed had received RM82,000.

Speaker Teng Chang Khim said that a total of 45 employees including senior officials had received bonuses.

The bonuses received by eight senior officials, including Shukor and Ramli, were equivalent to four months’ pay while 22 employees received only 1.5 months bonus, added Teng.

“If it (sand mining) is difficult, the bigger bonuses should be given to lower staff,” said Teng.

Shukor had cited the difficulty and danger of the sand-mining business in justifying the handout of large bonuses at the hearing yesterday.

“All I can say is the people at the top also work very hard,” answered Shukor.

The KSSB chairman also said that his company dids not have the right to issue licences to sand-mining contractors who plan to mine on private land, calling KSSB a “processing centre only”.

Teng pointed out that his statement contradicted Selangor executive councillor Yaakop Sapari, who had claimed yesterday that KSSB had the power to approve or deny permits to contractors mining on private land.

However, Shukor maintained his stand saying, “We do not have the power to approve.”

The Selcat chairman continued his cross-examination, saying that although there were 31 applications for sand-mining on private land, only nine applications reached the Land and Mining Office (PTG).

PTG had claimed that they had no knowledge about applications which were rejected by KSSB, added Teng.

However, the second witness, Ramli, said that PTG officials were present when applications were made through KSSB.

“So do they have full knowledge of all applications?” asked Teng.

“Yes,” answered Ramli.

The KSSB executive director revealed that there were 46 illegal sand mines in 23 locations throughout Selangor that were estimated to produce 3.6 million metric tonnes of sand, compared to KSSB’s sale of 1.7 million metric tonnes last year.

“We have informed PTG... and made 40 police reports,” said Ramli. “As far as I know, (there are) no prosecutions yet.”

Shukor claimed that KSSB did not monopolise the sand-mining market despite the fact that the company is Selangor’s sole subsidiary.

“Our 2009 market share was only 17 per cent. The bigger (share) is by unlicensed miners,” he said.

Seven people were charged early this year for graft related to illegal sand-mining in the state, including a police inspector and civil servants.

Ramli also denied negotiating prices or creating additional terms and conditions for contractors after awarding them tenders, countering allegations of such misdeeds raised by Kapar MP S. Manikavasagam previously.

“Once we award tenders, we do not negotiate prices,” said Ramli. “Conditions are as per conditions in the tender.”

Ramli revealed that KSSB’s royalties to the state government in 2009 amounted to RM5.7 million out of total sales amounting RM31 million.

This was a far cry from the state government’s forecast for the company to generate RM150 million annually.

KSSB’s board of directors comprises chairman Abdul Shukor Nagor, director Datuk Mohd Arif Abd Rahman, director Wong Su Kok, director Mohd Khairuddin Othman and executive director Ramli Abd Majed.

Selcat’s public hearing session today ended with testimonies by Ramli and Shukor.

Manikavasagam who had first highlighted this case was not called today and is expected to be called at the inquiry’s final session tomorrow.


Waa...I want to join Semesta too...and be one of its directors.

Done so little but still enjoy so much perks and bonuses. Where to find such a work place?

Selangor PR government must check Semesta outside-in, inside-out to get to the bottom of things. PR supporters expect CAT to be exercised all the time, else PR may be seen as spouting bunkum.

PR must buck up before it is too late to convince its supporters and voters, not only in Selangor but also nationwide.

If PR is really the antithesis of BN-UMNO, then it must set a high benchmark for all its workers and staff so that only the qualified and deserving are taken into its fold.

Please return 99% bonuses to Selangor government, there are still a lot of poor people in the kampong, estate or helping those City poors making a living ... no company in the world had given bonuses in less than a year operation amounted to half a million.... not even Bank Negara who printed the money !

Sand , tin ores, gold ...etc natural resources belongs to the state / country, so all gains shall get back to the people in the state / country, just like petroleum $ .

This bunch of clown claimed that their job is tough and dangerous. Are then our job easy and relax? Why don't they go to jail and join their comrade where security and 3 meals is provided.
Their excuses is a cover up of corruption again. Pakatan better wake up. Already more than 2 years in office and you are no better that BM. We will show you the exist when next GE comes.

Selangor state government must take immediate steps to kick out the directors and top management of KSSB. Its joke for him to say they have worked very hard. They have not even achieve a single accomplishment, the issues in the previous government just got worse with this bunch with the plunge in sand mining revenues, illegal sandmining etc. All they are good at is pointing fingers at other people for things that have gone wrong How can they justify the bonuses for the screwup job they have done.

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