Business

Controversial FGV chief quits, gets new post

Palm oil producer Felda Global Ventures (FGV) said yesterday that its chairman Mohd Isa Samad had resigned, amid talk of corruption and corporate governance violations.

The government, which has the biggest stake in FGV, said Mr Isa will be acting chairman of the Land Transport Public Commission (Spad), which regulates taxis, public buses and trains.

The resignation,two weeks after Mr Isa's dispute with the firm's management blew open, came after the government promised to resolve the matter quickly. FGV board member Sulaiman Mahbob is now acting chairman.

Prime Minister Najib Razak said: "Isa voluntarily agreed to relinquish his position... In appreciation of Isa's role, I agreed to appoint him the acting Spad chairman."

FGV, which listed in 2012, had since seen its shares decline 60 per cent while core losses last year was RM157 million (S$50.8 million).

Opposition lawmaker Liew Chin Tong said Mr Isa "made a mess" and should not be "rewarded with an important position in Spad which could further erode public confidence in the government". - THE STRAITS TIMES