TH, Felda issues will dent Umno’s credibility but impact will vary, analyst says

Recent revelations concerning the Tabung Haji and Felda controversies have dampened the credibility of Umno, though the impact varies among different age groups according to an analyst. Ilham Centre CEO Hisommudin Bakar stated that individuals over 40 are more likely to grasp the implications of these issues, as they are familiar with the history of these controversies.

These matters may not significantly sway the political views of the younger generation, who lack direct experience with these events. However, if the controversies are adequately explained and their relevance to the future is highlighted to the youth, it could potentially affect their opinions.

The royal commission of inquiry (RCI) report, revealed in July, exposed a range of inefficiencies within Tabung Haji, including excessive hibah commitments, questionable accounting practices, weak oversight, ambitious investment strategies and rising subsidy obligations, which strained its financial position from 2014 to 2020. Similarly, Felda and its subsidiaries are currently under investigation for alleged irregularities, abuse of power, and corruption.

Hisommudin stressed that rather than blindly supporting old guard members, the party should utilize these new inquiries to demand answers regarding the current status of Felda and Tabung Haji. He urged inquiries into whether governance reforms have been implemented, if their financial situation has improved, and if the interests of settlers and depositors have been adequately protected.

Student leader Fazreen Fauzi expressed that youth concerns lie not with the party implicated but with the actions taken against those responsible. He noted that these controversies are more resonant with youths who have personal connections to Felda or Tabung Haji. A lack of punitive measures could cultivate cynicism among the youth towards the government.

Notably, the timing of these revelations might be advantageous for Umno, as the party enjoys better relations with PAS and is set to convene its general assembly. Despite the scrutiny, Awang Azman Awang Pawi suggested that youths might perceive these cases as politically motivated to pressure Umno and rally support for Malay-Muslim political unity, rather than a genuine call for accountability.