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Graft probe at Felda Global

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KUALA LUMPUR: A management crisis at Malaysia's Felda Global Ventures Holdings (FGV) deepened yesterday with the national anti-graft agency saying it will soon investigate several company officials for alleged corruption and abuse of power.

The board of FGV, the world's third-largest oil palm plantation operator, suspended its chief executive and chief financial officer on Tuesday as it investigates transactions at a subsidiary.

CEO Zakaria Arshad has denied wrongdoing and refused to step down as instructed by chairman Mohd Isa Abdul Samad, according to a letter seen by Reuters.

Mr Zakaria had called on the Malaysian Anti-Corruption Commission (MACC) to conduct its own investigation.

The anti-corruption agency is looking into FGV following Tuesday's developments and an investigation will be opened as soon as possible, MACC deputy chief commissioner Azam Baki said yesterday.

"We are looking into claims of graft and possible abuse of power involving several officials," he said, declining to name the officials or give details.

Shares of FGV fell about 1 per cent initially yesterday before rebounding to be up 2.5 per cent. - REUTERS