00:00Through the proceedings, HRDPSC found that the amount of levy received by HRDCOP has increased significantly,
00:14i.e. RM2.134 billion in 2023 compared to RM475 million in 2020.
00:24This significant increase is due to the expansion of the PSMB Act 2001 on 1 March 2021,
00:33in which the receipt of levy has been obligated to all sectors of the industry.
00:38Through the proceedings, HRDPSC found that the amount of levy not used by employers in two years will be categorized as unutilized levy.
00:50This tempo is seen to be too short in which it cannot fully support small and medium-sized enterprises to use the training funds.
00:59It should be noted that HRDPSC is not an investment institution.
01:04However, the PSMB found that HRDPSC has invested in various investment activities by using levy funds such as put and call options.
01:15This investment is highly risky and can expose HRDPSC to high risk of losses.
01:22In addition, the PSMB also found that there are weaknesses in managing HRDPSC,
01:28such as poor management and management procedures,
01:31suspicious acquisition and acquisition of real estate, or resulting in losses to HRDPSC.
01:39As a result of the proceedings, the PSMB has made 15 summaries.
01:44I estimate that the 15 summaries are the most numerous so far.
01:47The significance of this report is that it investigates the use of employee funds,
01:57which were collected by HRDPSC,
02:00and the use of the funds amounting to more than $2 billion in 2023.
02:07This is very significant because the amount will increase every year.
02:12And we want to make sure that this disbursement fund is for employees to conduct training.
02:23This is the purpose of HRDPSC's disbursement.
02:26It does not deviate from the original purpose of training.
02:30And the money or the levy should be used for training, not as an unutilized fund.
02:41So we have an issue with the definition of an unutilized fund used by HRDPSC.
02:48So that this fund is used for training, not for investment.
02:53The way they disburse the money to become an unutilized fund,
02:58needs to be changed by HRDPSC.
03:03It is important to re-study so that HRDPSC's body is formed into a legal body.
03:13Like EPF, Prakiso, so that the monitoring will be closer, better, and more transparent.
03:25So after this, in three months, we will sit down again to proceed with the procedure.
03:36So we want to know what actions have been taken by KSUMA, MOF, or any parties involved
03:44that we have mentioned in our show to take action.
03:48On 3rd October last year, PASI decided to investigate HRDPSC.
03:55And we were not informed that the State Audit Office was also conducting an audit.
04:02So today, fortunately, two reports were published on the same day.
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