“Every ringgit deposited with Tabung Haji represented the hard-earned savings of ordinary Malaysians striving to fulfil the fifth pillar of Islam by performing the haj.”
– Muhammad Kamil Abdul Munim, PM’s Political Secretary
THERE are scandals that anger us. There are scandals that embarrass us. And then there are scandals that make us ashamed.
The Tabung Haji fiasco belongs firmly in the third category. And I sincerely empathise with my many Malay and Muslim friends who must feel deeply betrayed by those of their own community whom they trusted with their hard-earned savings.
For generations of Malaysian Muslims, Lembaga Tabung Haji has never been merely another financial institution. It was created to help Muslims save, little by little, for one of the most important journeys of their lives – the pilgrimage to Mecca.
Their savings were entrusted to an institution founded on a simple but profound principle – trust. That is precisely why the revelations contained in the Royal Commission of Inquiry (RCI) report are so disturbing.
The most painful aspect for many Malays is that those entrusted with safeguarding the savings of their fellow Muslims were themselves Malays and Muslims.
The shame is not because wrongdoing has a race or religion. It is because an institution created specifically to serve the Muslim community was allegedly subjected to practices that betrayed the very people it was supposed to protect.
How could anyone entrusted with such a sacred responsibility sleep comfortably knowing that ordinary Muslims were placing their hard-earned savings into Tabung Haji, believing that their money was being responsibly managed?
The RCI findings are damning. The inquiry revealed serious financial weaknesses, including concealed deficits, questionable financial reporting, and the payment of hibah despite the institution’s precarious financial position.
One of the most startling revelations concerns 2017, when Tabung Haji reportedly declared a RM3.4-billion profit when its actual financial position reflected a net loss of about RM1.4 billion.
If these findings are ultimately substantiated through investigations and due process, this was not simply a case of bad investment decisions. It was a profound failure of governance and accountability. More troubling was the apparent willingness to maintain the appearance of financial health while the underlying problems grew.
Depositors were entitled to the truth. They were entitled to know the actual financial condition of the institution to which they had entrusted their savings.
Instead, according to the findings, the reality was very different. By the end of 2017, Tabung Haji reportedly had assets of RM70.3 billion against liabilities of RM74.4 billion. The deficit subsequently widened, with the asset-liability gap reaching RM10.9 billion in 2018.
These are not small accounting discrepancies. These are billions of ringgit belonging, directly or indirectly, to ordinary people. And when confidence finally collapsed, about RM6 billion was withdrawn by depositors within a short period.
Imagine the anxiety of those depositors. For many, these were not wealthy investors with diversified portfolios. These were ordinary Malaysians who had saved patiently for years, sometimes decades, to fulfil a religious obligation.
Their trust was the real asset of Tabung Haji. And that trust was placed at risk. This is also why the intervention of Yang di-Pertuan Agong Sultan Ibrahim should not be taken lightly.
After being briefed by Prime Minister Datuk Seri Anwar Ibrahim on the RCI findings, the King made his position abundantly clear – the authorities must leave no stone unturned and those responsible must be held accountable.
Most importantly, His Majesty said: “No one must escape action if they are truly guilty.”
That is exactly what Malaysians want to hear. Not selective justice. Not political protection. Not convenient amnesia.
The Malaysian Anti-Corruption Commission has already established a special task force to review the RCI report, while police have opened investigation papers into alleged commercial offences. The Inland Revenue Board is also investigating individuals and entities identified in the report.
Good. Let the investigations proceed professionally, independently and without fear or favour. But accountability must go beyond punishing individuals.
We must ask how the system allowed this to happen in the first place. Where were the regulators? Where were the internal controls? Where was the oversight? And, perhaps most importantly, where was the moral responsibility?
Indeed, the MADANI government’s decision to make the RCI report public deserves recognition. Kudos to the government for finally allowing Malaysians to know what happened.
There was understandable concern that publication of the report might undermine confidence in Tabung Haji while it was still recovering. But transparency is itself an important component of restoring confidence.
The public cannot be expected to trust institutions when unpleasant truths are hidden from them.
The lesson from Tabung Haji must therefore be brutally simple: Never again.
Never again should political considerations override financial prudence. Never again should depositors’ money be placed at risk to create an illusion of success.
Never again should dividends or hibah be used to disguise financial weakness. Never again should appointments be made without regard to competence, integrity and professional qualifications.
For Malays, especially, this episode should be a moment of deep reflection.
There is nothing wrong with being proud that Tabung Haji is a Malaysian Muslim institution. But that pride comes with an even greater responsibility. Those entrusted to manage it must understand that they are custodians of people’s dreams, savings and faith in the system.
Tabung Haji can and must emerge stronger from this episode. But that will happen only if we learn the lessons, prosecute wrongdoing where wrongdoing is established, strengthen governance, and ensure that no one in authority at Tabung Haji is allowed to place personal or political interests above the interests of depositors.
And the message to whoever takes charge of Tabung Haji in the future must be unmistakable. These are not your people’s savings to play with. These are the people’s savings. Treat them with the respect, honesty and integrity they deserve.
Never again to another Tabung Haji fiasco, please!
DISCLAIMER: The views expressed here are those of the columnist and do not necessarily represent the views of Sarawak Tribune. He can be reached at sirsiah@gmail.com.
