Tabung Haji implements recovery measures following RCI report

The Royal Commission of Inquiry (RCI) regarding the management and operations of Lembaga Tabung Haji (TH) from 2014 to 2020 has been tabled in the Dewan Rakyat. The report reveals significant governance failures, including a 2017 net loss of RM1.4 billion that was reportedly recorded as a RM3.4 billion profit in financial statements. To prevent insolvency, the government provided a financial injection of approximately RM10 billion in 2018.

In response to these findings, TH Group Managing Director Mustakim Mohamad stated that the institution is focusing on financial recovery and more prudent management. Key strategies include preventing active politicians from joining the Board to ensure professional governance, strengthening risk management through internal audits and Shariah oversight, and shifting investment focus toward medium and low-risk instruments like sukuk and fixed income.

Religious Affairs Minister Dr. Zulkifli Hasan, who presented the report, highlighted his extensive background in Islamic finance to address the complexities of the findings. Meanwhile, political leaders and legal experts have noted that while the RCI provides critical recommendations, further investigations by enforcement agencies may be required to gather evidence suitable for criminal or civil court proceedings.