Several Kuala Lumpur MPs today called for the dissolution of the Federal Territories Foundation (YWP), following a report by the Parliamentary Public Accounts Committee (PAC) yesterday regarding land transactions belonging to the Kuala Lumpur City Hall (DBKL).

Yesterday, a report from PAC concluded that the management of YWP is vulnerable to conflicts of interest as the Minister of Federal Territories and the Mayor of Kuala Lumpur hold positions as Chairman and Member of the Board of Trustees in YWP, which has land purchase dealings with DBKL.

Member of Parliament for Kepong, Lim Lip Eng had stated in the PAC report that the government could not audit YWP business accounts even though the foundation was registered under the Companies Act.

What is the role of YWP? There are the three main roles. One, to rent or sell large billboard spaces by the side of the road. Second, selling government land without a tender process and finally, selling or renting parking spaces.

“These are all government property assets, why is a registered company allowed to manage it?”  he asked in a press conference at the Parliament building today.

Member of Parliament for Cheras, Tan Kok Wai; Member of Parliament for Segambut, Hannah Yeoh and Member of Parliament for Bukit Bintant, Fong Kui Lun were also present at the conference.

The PAC statement also implied that the methods of settling the 97 land sale transactions belonging to DBKL which has been sold since 2011 is not in accordance to standard operating procedures (SOP).

The chairman of the PAC Wong Kah Woh stated that the process was too loose, prone to abuse of power and did not protect the interests of DBKL and the people of Kuala Lumpur.

Lip Eng further advised that if the government wants to do charity work through YWP, he thinks it can be implemented by the Ministry of Women, Family and Community Development (KPWKM) or the Ministry of Federal Territories. DBKL can also create a special department to manage community welfare.

“It is not logical for a Federal Territory Foundation to sell land, sell big roadside advertisements and sell parking rent to the public,” he said.

Meanwhile, Hannah Yeoh reminded the press that existing structures such as the National Welfare Foundation under the supervision of KPWKM also do charity in Kuala Lumpur.

“I do not think it is appropriate for YWP to use a charitable foundation to make transactions that have a ‘commercial nature’,” she said.