This is really a tale of two side. One on side, there’s the Star version of the issue, and on the other side the Malaysiakini version.
Let’s look at them both. The Star first.:
1. The report says that 3-member panel has been formed to investigate “alleged misappropriation” in the award of contracts by MIC’s education arm, the Maju Institute for Education Development (MIED) concerning the party’s Asian Institute of Medicine, Science and Technology (AIMST).
2. MIED board of directors appointed former MIC treasurer-general Tan Sri K.S. Nijhar to head the panel with MIC deputy president Datuk G. Palanivel and party disciplinary committee chairman Tan Sri G. Vadiveloo as members. It seems that Samy Vellu had instructed during the meeting for the panel to be formed.
3. Samy Vellu was concerned as three contracts seemed to be have been given out at inflated values. The sources said the panel would also investigate two contracts given to companies linked to a senior MIC leader.
4. Nijhar said:
“I am just looking through all the documents and have not gone into the details of the contracts.
“The panel will meet once I have sorted out the documents. The panel is not out to get anyone in particular, but to ensure everything is in order,” he said.
It was learnt that the panel had obtained all files on the alleged misappropriation from the MIED office.
5. The report then mentioned Tan Sri Mahalingam’s name (he was the MIC treasurer until replaced recently by SK Devamany) – “Mahalingam, when contacted, said there was nothing to hide and he would answer queries from the panel”. So, is Mahalingam the “senior MIC leader”? Your guess is as good as mine.
Let’s shift to Malaysiakini’s report:
1.MIC has been rocked by a scandal involving its education arm, Maju Institute for Education Development (MIED), over alleged irregularities in the awarding of contracts for maintenance of the party-run AIMST University. [OK, similar with Star report]
2. Sources said the trouble started when MIED was instructed to revoke two contracts given out based on an ‘open tender’ system. Instead, its managers were told to reassign these to persons close to MIC president S Samy Vellu. [Big difference here. Samy’s name is implicated]
3. The two contracts were respectively for grass-cutting services and to operate a canteen at the university. Sources said the sum quoted by the new parties – one of whom is based in Ipoh – was considerably higher than that in the bids already accepted.
4. The contracts were among five awarded by MIED for various services last year. [we get the figure of 5 contracts. The Star reported 3+2, so is it the same contracts?]
5. Heads are expected to roll – in fact, the summary dismissal of party treasurer M Mahalingam two weeks ago is said to be one outcome, although Samy Vellu had attributed it to “routine change”. On Dec 23, Mahalingam also had to relinquish his post as chairperson of MIED Capital Sdn Bhd, the company that runs the AIMST University located in Semeling, Kedah. [I bet this was not publicized anywhere. So, Malaysiakii links Mahalingam in this case]
6. Insiders said the situation over the contracts has pitted Mahalingam and MIED chief operating officer P Chitthirakala Vasu against Samy Vellu. It is learnt that both were unhappy with the manner in which they were forced to re-issue the contracts, and had repeatedly raised the matter with Samy Vellu. [Unlike the Star’s version, this paragraph indicates that its not Mahalingam who is the alleged “senior leader” in the Star, but its Samy himself!]
7. Chitthirakala is said to be under pressure to submit her resignation as well, but has refused to do so. She has told close friends that she will fight Samy Vellu “until the truth is known”. [she has now gone “on leave” and the Deputy CEO has taken over the running of MIED. I have a copy of her coffee table book on Samy Vellu]
8. “This is an explosive matter. The president is worried that this matter will be used against him in the party polls later this year and has decided to act against the duo,” said a source.
9. Sources said Samy Vellu has questioned the huge debt amassed in running the university, and that he has blamed the MIED top management for this.
10. Samy Vellu has since set up a three-member panel to investigate the alleged irregularities in awarding three of the five contracts, which he claimed had been given out at an inflated value. Details of the three contracts are not known. Set up following a meeting of the MIED board of directors last Friday, the panel is headed by former party treasurer KS Nijhar (right). The other two members are deputy president G Palanivel and party disciplinary committee chairperson G Vadiveloo. All three of them are considered to be Samy Vellu’s loyalists. Athough Nijhar and Palanivel had a fallout with Samy Vellu recently, insiders said that they are back in his good books.[similar with the Star report]
11. The panel is also expected to look into why the cost of constructing the university had increased.[extra duty of the panel]
12. The sources also said that Mahalingam, who had attended the meeting, had asked the panel to investigate the two contracts given to companies linked to Samy Vellu. [the Star did not mention that Mahalingam was at the meeting]
13. It seems Mahalingam has said –
“He has said that he has nothing to hide and that he had only followed the president’s instructions,” said an aide.“Mahalingam has also urged Samy Vellu to hand over the matter to the newly-established Malaysian Anti-Corruption Commission, but the president wants the matter to be probed internally.”
14. Sources, however, see the sole purpose of the panel was the removal of Chitthirakala – “The panel is in place so that Samy Vellu is not implicated in the (alleged) financial irregularities of MIED. It is not just a witch hunt against the top people in MIED, but also to clear Samy Vellu of wrongdoing,” said a source.
So, reading both reports gives us more information to digest. What we can agree is that there’s a 3-member panel who will investigate 3 (or 5) contracts. 3 contracts alleged to be given out at inflated values, and the other two instructed to be given to companies linked to senior MIC leader (Samy Vellu ?) . The target of the panel is to investigate who’s fault it is. For me, if anyone can instruct MIED to do this and that, the investigation becomes easier. We are looking at the top people in MIED, MIED Capital, and MIC. 3 companies, 3 names.