KUALA LUMPUR, July 2 — The decision to reject three resolutions pertaining to payment of fees and benefits to directors of FGV Holdings Bhd (FGV) was made following the company’s poor performance having incurred RM1.08 billion in losses last year, said Deputy Minister of Economic Affairs Dr Mohd Radzi Md Jidin.
He said the Felda Board of Directors reviewed the resolutions and agreed to reject all resolutions involving payment of fees and benefits to the FGV board members.
“The Board of Directors was also of the view that its chairman’s fees and benefits were among the highest compared to other plantation listed companies.
“Moving forward Felda and FGV will continue to hold discussions and have engagement sessions to resolve the matter soon. The government is confident that the problem will be resolved amicably to the satisfaction of both parties,” he said during oral question-and-answer session at the Dewan Negara today.
He said this in response to a question from Senator Datuk Hanafi Mamat who wanted to know why the proposal on payments to the company’s board members were shot down.
On June 25, the major shareholders of FGV — the Federal Land Development Authority (Felda); Koperasi Permodalan Felda Malaysia Bhd (KPF) and the Armed Forces Fund Board (LTAT) rejected three resolutions pertaining to fee payment of its board members at the group’s annual general meeting (AGM).
Felda owns about 33.7 per cent in FGV, followed by KPF with 5 per cent and LTAT 1.25 per cent.
The resolutions were to approve the payment of directors’ fees for the financial year ended December 31, 2018, the payment of a portion of directors’ fees payable from June 26, 2019 until the next annual general meeting (AGM), and the payment of benefits payable form June 26, 2019 until the AGM. — Bernama
