Latest news with #ShahrilShamsuddin
Free Malaysia Today
3 days ago
- Business
- Free Malaysia Today
I was silent at Sapura board meetings, Shahriman tells court
Shahriman Shamsuddin (left) is petitioning to wind-up Sapura Holdings Sdn Bhd, the parent of the Sapura group valued at RM832 million, on account of an alleged breakdown of mutual trust and confidence with elder brother Shahril. KUALA LUMPUR : Sapura Holdings Sdn Bhd director Shahriman Shamsuddin told the High Court here that he did not oppose proposals made by elder brother Shahril to the Sapura Resources Bhd (SRB) board, citing a 'conflict' on account of them being siblings. In cross-examination, lawyer S Rabindra, representing Shahril, questioned Shahriman about complaints contained in his petition to wind-up Sapura Holdings due to an alleged breakdown of mutual trust between the brothers. In the petition, Shahriman had claimed that Shahril was 'effectively cornering' SRB into accepting either a RM100 million loan offered in September 2022, which involved a rights issue, or a RM40 million bridging loan offered by the Sapura group, failing which the company stood to lose its collateralised properties. 'The petitioner (Shahriman) was not consulted on this matter at Sapura Holdings level,' the document said further. Rabindra: Your point here is that Shahril is saying to SRB: 'You have to pay back the RM40 million that was previously advanced (by the Sapura group) unless you agree to carry out a rights issue based on the September 2022 terms and conditions.' Is that a fair summary of what you're saying? Shahriman: Pay immediately or do the rights issue. Another of Shahriman's complaints was that Shahril had written on behalf of Sapura Holdings to SRB, undertaking to provide financial assistance of up to RM152 million without consulting him. He also claimed Shahril had offered to personally underwrite any rights issue by SRB that was not taken up, to a value of RM113 million. Shahriman said this would dilute his position in both SHSB and SRB and break the 'equal joint holdings spirit' laid down by their parents. Rabindra: You mentioned earlier the distinction between Shahril's personal position and that of the company. As a director of Sapura Resources, during the time when letters were being exchanged, did you ever raise the question: 'Was this a private initiative (by Shahril), or an SRB initiative?' Shahriman: I did not raise it because I would have been conflicted. I am his brother and also a shareholder of the holdings. So I had to keep quiet. Rabindra: You sat on the Sapura Resources board with your brother, correct? Shahriman: Yes. Rabindra: You've disagreed with your brother during board meetings before, haven't you? Shahriman: Sometimes, yes, about this matter, too. Rabindra: So, in your capacity as a director of Sapura Resources, you could have raised the question: 'Why are we entertaining a personal proposal by Shahril?' Shahriman: Shahril is my brother. I'm not allowed to say anything at the board (meeting). Rabindra: I put it to you that that is far from the truth. You could have spoken up, you simply chose not to. Do you agree or disagree? Shahriman, however, chose not to respond. Sapura Holdings is the parent entity of over 40 subsidiaries valued at RM832 million, including the publicly-listed SRB. Both Shahril and Shahriman hold a 48% stake each in Sapura Holdings, with the remaining 4% owned by Rameli Musa. In the petition filed last September, Shahriman claims that an irreparable breakdown of mutual trust and confidence between him and Shahril necessitated the dissolution of Sapura Holdings. However, Sapura Holdings, Shahril and Rameli, all named as respondents, oppose the petition, contending that the company was never intended to be a family business and that dissolution would be neither just nor equitable. The hearing before Justice Leong Wai Hong will continue on June 13.
Free Malaysia Today
4 days ago
- Business
- Free Malaysia Today
Shahriman denies ‘blowing hot and cold' over collateral for Sapura tower
Shahriman Shamsuddin wants the High Court to wind up Sapura Holdings Sdn Bhd citing a breakdown of mutual trust with elder brother Shahril. KUALA LUMPUR : Sapura Holdings Sdn Bhd director Shahriman Shamsuddin today insisted he was not inconsistent as regards using the group's Sapura@Mines property as collateral to fund its business ventures. Testifying in his petition to wind up Sapura Holdings on grounds of a breakdown of mutual trust with elder brother Shahril, Shahriman said he had objected to using the property as collateral for the development of the group's flagship office tower. In his petition, Shahriman had claimed that his 'strained relationship' with Shahril had been 'exacerbated' by the differing opinions they voiced over Project Apex at a special board meeting of Sapura Resources Bhd (SRB) on Jan 31, 2023. Project Apex was the codename given by SRB for its joint venture with KLCC Holdings Sdn Bhd to develop Permata Sapura, a 52-storey office building in the KL city centre. Lawyer S Rabindra, representing Shahril, then referred Shahriman to the minutes of that meeting. Rabindra: At various board meetings and in relation to loan proposals that we've already gone through, you voiced strong concerns and protested the use of Sapura@Mines as collateral for Sapura Holdings' financial assistance, particularly for Permata. Correct? Shahriman: Yes, for Permata. Rabindra: Yet, at the board meeting on Jan 31, 2023, you were comfortable with Sapura Resources using Sapura@Mines as collateral for new projects. Is that correct? Shahriman: For other projects that were going to yield (returns). Rabindra: So there was a risk, according to you, that using Sapura@Mines as collateral for Permata could lead to a loss of the property, but here, you were quite happy to suggest using the same property for new ventures, despite the same risk. Correct? Shahriman: Not correct. Rabindra: But it is the same risk. There is still the possibility of losing the property. Shahriman: We know the negative risk of Permata. But there were other projects that we could have gone into. Rabindra: I suggest to you that you were blowing hot and cold with respect to the use of the Sapura@Mines property as collateral. Shahriman: I disagree. Shahriman also agreed that, in essence, he had wanted SRB to exit Project Apex, while Shahril wanted to remain in it. Rabindra: I'm suggesting to you that this was a difference of opinion between two directors of a public-listed company about what they see as being in the best interest of the company. Do you agree? Shahriman: Agree. That was a difference of opinion. Rabindra: And this was openly discussed at the Jan 31 board meeting. Correct? Shahriman: Yes. Rabindra: So it essentially came down to a commercial disagreement between two directors on a matter of business judgement based on what is best for SRB? Shahriman: On a matter of business judgement, a difference of opinion, yes. Sapura Holdings is the parent entity of over 40 subsidiaries valued at RM832 million, including the publicly-listed SRB. Both Shahril and Shahriman hold a 48% stake each in Sapura Holdings, with the remaining 4% owned by Rameli Musa. In the petition filed last September, Shahriman claims that an irreparable breakdown of mutual trust and confidence between him and Shahril necessitated the dissolution of Sapura Holdings. However, Sapura Holdings, Shahril and Rameli, all named as respondents, oppose the petition, contending that the company was never intended to be a family business and that dissolution would be neither just nor equitable. The hearing before Justice Leong Wai Hong continues.
Free Malaysia Today
5 days ago
- Business
- Free Malaysia Today
Shahriman's objections delayed Sapura honouring cash call, trial hears
Shahriman Shamsuddin wants the High Court to wind up Sapura Holdings Sdn Bhd, the parent entity of over 40 subsidiaries valued at RM832 million. KUALA LUMPUR : Sapura Holdings Sdn Bhd director Shahriman Shamsuddin was told in court today that his objections resulted in a 16-month delay in Sapura Resources Bhd (SRB) meeting a RM40 million cash call for the development of an office tower. During cross-examination, lawyer S Rabindra, representing elder brother Shahril Shamsuddin, pointed out to Shahriman that Sapura Holdings, SRB's parent company, had made an offer of financial assistance on May 4, 2021. He said the delay stemmed from Shahriman's objection to a proposal by Sapura Holdings that SRB's Sapura@Mines property be used as collateral for the financial assistance. Shahriman agreed that several documents annexed to his petition reflected his concerns over SRB allowing the property to be used as security. The property was eventually offered as collateral, along with two other land parcels in Jalan Tandang and Jalan 219 in Petaling Jaya. In a letter dated Feb 28, 2023, Shahril informed SRB's board of directors that the RM40 million disbursement had been made, with the three parcels of land used as collateral. Shahriman confirmed the letter and its contents in court. However, he refused to acknowledge that Shahril had used his best efforts to find a middle ground to avoid the consequences of a default. He also agreed the financial assistance ensured SRB avoided defaulting on the RM40 million payment to Impian Bebas Sdn Bhd. Impian Bebas is a joint venture between SRB and KLCC Holdings Sdn Bhd to develop Permata Sapura, a 52-storey tower in the KL city centre and flagship building of Sapura Holdings. Rabindra: With financial assistance on offer since May 2021, the payment was only made at the very last moment — on Sept 30, 2022. Do you agree? Shahriman: I don't recall the exact date. Rabindra: Do you agree that the payment avoided the default notice and its negative consequences? Shahriman: It would have been negative if KLCC Holdings had taken action. Shahriman is seeking to wind up Sapura Holdings, the parent entity of over 40 subsidiaries valued at RM832 million, including the publicly listed SRB. Both Shahril and Shahriman hold a 48% stake each in Sapura Holdings, with the remaining 4% owned by Rameli Musa, who is also named as a respondent. In the petition filed last September, Shahriman claims that an irreparable breakdown of mutual trust and confidence between him and Shahril necessitated the dissolution of Sapura Holdings. However, Sapura Holdings, Shahril and Rameli are opposing the petition, contending that the company was never intended to be a family business and that dissolution would be neither just nor equitable. The hearing continues before Justice Leong Wai Hong.
Rakyat Post
09-05-2025
- Business
- Rakyat Post
The Golden Handshakes: Inside Malaysia's Elite GLC/GLIC Paychecks – Why Every Malaysian Should Care
Subscribe to our FREE When Maybank's CEO earns RM12 million and CIMB's chief takes home RM8.86 million in cash in 2023, it's not just corporate news – it's your money at work, or perhaps not working hard enough for you. Here's why these numbers matter to every Malaysian: Government-Linked Companies (GLCs) and Government-Linked Investment Companies (GLICs) control approximately Your Employee Provident Fund (KWSP) savings, Kumpulan Wang Persaraan (Diperbadankan) (KWAP) pension funds, and even your Amanah Saham Bumiputera (ASB) investments are deeply tied to these companies' performance. When you check your annual EPF statement or ASB dividends, you are looking at returns partly determined by how well these highly-paid executives perform. The Price of Leadership: Malaysia's Top Exec Pay A closer look at GLC executive compensation (2023-2024): Healthcare & Investment State-Linked Corporations Executive Directors: RM5.34 million Key Management: RM38.74 million Total: RM45.71 million Infrastructure & Telecommunications Non-Executive Chairman: RM30,000 monthly Directors: RM20,000 monthly Additional committee fees: RM2,500-RM9,000 monthly Energy Sector These aren't just big numbers – they represent decisions affecting everyday services, from banking fees to electricity bills. Consider this: when you pay your monthly TNB bill or bank charges, a portion of your payment contributes to these compensation packages. The justification? These executives manage assets worth billions of ringgit and make decisions affecting millions of Malaysians. But the question remains: do these salaries translate to better services and returns for ordinary citizens? Jangan letak diri kita sebagai golongan pekerja. Letak di dalam position CEO. Korang nak ke jadi CEO GLC/GLIC kalau gaji private jauh lebih tinggi? Kerja CEO bukan nya senang. Kena fikir 5 tahun ke depan (at least) untuk memastikan syarikat mampu menjana pendapatan. Silap hari… — Ikhwan Hafiz (@IkhwanPK2022) The Ripple Effect: How GLC Pay Shapes Malaysia's Wage Gap The impact extends beyond individual companies. In 2022, it was reported that GLCs employ Their wages, benefits, and career advancement policies set benchmarks across industries. When GLC chiefs earn hundreds of times more than their average employees, it raises questions about wage inequality and corporate governance. For taxpayers, there's another layer of concern. Many GLCs began as government departments, built with public funds. While they're now corporatised, the government (through various agencies) remains a major shareholder. When Pay Defies Performance: Malaysian GLCs Under Scrutiny This means their performance – and their executives' pay – should face public scrutiny. Even more troubling are cases that challenge basic business logic. In 2018, when Sapura Energy incurred a net loss of RM2.5 billion, the CEO, Tan Sri Shahril Shamsuddin, received a In a more recent example, there has been meeting only 42% of its key performance indicators (KPIs). Kita harus mengambil serius cadangan yang diberi oleh Public Account Committee. PSM menyokong penuh gaji siling untuk CEO GLC dan badan berkanun! Video penuh 👇🏾 — Gandipan, Parti Sosialis 🔻 (@iamgandipan) When Profits Rise But Service Falls The compensation debate extends beyond mere numbers – it's fundamentally about accountability. While banks' record profits delight shareholders, consumers bear the burden through These executive packages raise more profound questions about Malaysia's economic trajectory. Despite significant financial losses, some CEOs, such as the one from Sapura Energy, reportedly earn extraordinarily high salaries, up to RM200,000 per day. Though GLCs need to attract top talent, their compensation packages – from executive suites to entry-level positions – might stifle innovation and competition. Private sector SME companies, The attraction isn't just the higher salaries, but also the comprehensive benefits packages, including job security, pension schemes, and medical coverage that most SMES struggle to provide. The Road to Reform: Malaysia's Corporate Wage Evolution In a landmark shift toward addressing wage inequalities, Malaysia stands at a crucial juncture in its corporate reform journey. The stark reality of compensation disparities has become increasingly apparent, with the Recognizing these challenges, the government has launched the The policy mandates a minimum wage of RM3,100, initially targeting the five major GLICs – KWSP, Permodalan Nasional Berhad (PNB), Khazanah, Lembaga Tabung Angkatan Tentera (LTAT), and Tabung Haji. PNB has committed to implementing this policy across its subsidiaries, including major corporations like Maybank, Chemical Company of Malaysia Berhad (CCM) Meanwhile, Prime Minister Datuk Seri Anwar Ibrahim's announcement of comprehensive audits for nearly 2,000 GLCs marks a significant step toward greater corporate accountability. Though these audits may not immediately address the wage gap, they represent an important first step toward greater transparency and accountability in Malaysia's corporate landscape. Share your thoughts with us via TRP's . Get more stories like this to your inbox by signing up for our newsletter.
