KOTA KINABALU: Chief Minister Datuk Seri Hajiji Haji Noor announced a revamp
of the Corporate Policy and Governance Monitoring Committee (Jawatankuasa
Pengawasan Polisi dan Tadbir Urus) to strengthen and enhance the supervision
and corporate governance of all State Statutory Bodies (BBNs) and Government
Linked Companies (GLCs).
The policy enhancement includes enforcement against non-compliance of
Government Circulars.
Hajiji, who is also State Finance Minister, said the Committee which is under the
Finance Ministry’s purview will oversee, among others, all aspects of corporate
governance against any possible abuse and mismanagement including any unwarranted approval of new positions or unjustified creation of subsidiaryc companiesin the BBNs and GLCs, in addition to the monitoring and sanctioning of the salaries and allowances of key management personnel in all BBNs andG GLCs
Hajiji said the Committee will monitor all state BBNs and GLCs for prudent financial
management particularly in the use of public sector resources, adding that he
wants all appointed heads to do their jobs with integrity and competent compliance
of the laws and governance.
The Chief Minister said the Committee will scrutinize all proposals to the BBNs &
GLCs for approval in order to strengthen corporate governance, operational
efficiency, sustainable financial performance and the board of directors’
capabilities of these bodies.
“The State Government wishes to set a high standard of transparency and
accountability in the management and business operations of all BBNs and GLCs in Sabah and I see this initiative as imperative,” he said.
“We want to ensure long term financial stability; commercial viability for return on
investment; and best corporate practices,” he said.
“This is to remind the state
statutory bodies and GLCs that they are duty-bound to create and produce
shareholder/stakeholder value as part of their business plans and corporate
responsibilities, moving forward.”
Hajiji said these are among necessary measures to streamline and prioritise efforts and initiatives to achieve the government’s development agenda. It is imperative that BBNs and GLCs continue to remain commercially competitive amidst crises including economic impacts caused by challenges such as the ongoing and prolonged Covid-19 pandemic, he reiterated.-pr/BNN
