Securities Commission: Putrajaya to determine whether RCI’s oversight recommendations for Tabung Haji will be adopted

George Town, August 19 — Federal authorities will determine if the Securities Commission Malaysia (SC) should oversee the fund management and investments of Lembaga Tabung Haji (TH), Datuk Mohammad Faiz Azmi, chairman of SC, announced today. The proposal is among recommendations from the Royal Commission of Inquiry (RCI) and is currently under review by a task force comprising Bank Negara Malaysia (BNM) and TH.

Faiz Azmi emphasized that the final decision lies with the government, stating, "We only follow instructions." The task force is currently deliberating on the RCI's proposals to ascertain which could be enacted. "If the government deems it suitable, we will implement it," he stated. Currently, the task force is engaging with BNM and TH to discuss the RCI's recommendations, with the plan to implement whatever the government determines to be appropriate.

Earlier, Zulkifli Hassan, Minister in the Prime Minister’s Department for Religious Affairs, revealed that the SC was proposed as the regulator for TH's fund management and investment activities as part of efforts to enhance the institution's oversight framework. Faiz Azmi noted that such oversight was warranted given the magnitude of TH's investments.

"TH is an agency with very significant investments, so it should indeed be regulated," he remarked. With regard to syariah compliance, Faiz Azmi disclosed that the RCI had also suggested establishing a dedicated syariah committee for TH, akin to committees set up by Islamic banks. He deemed this recommendation as a prudent one, expressing hope that TH would establish the committee to ensure depositors' investments are genuinely syariah-compliant.