MECD Implements Measures To Help KPF Resolve Members' Share Redemption Issue
KUALA LUMPUR, Oct 12 (Bernama) -- The Ministry of Entrepreneur and Cooperatives Development (MECD) is implementing three strategic measures under the recovery plan for Koperasi Permodalan FELDA Malaysia Bhd (KPF) to improve the cooperative’s liquidity and resolve outstanding payments for members’ share redemptions.
Deputy Minister Datuk Mohamad Alamin said the measures were being implemented through a Task Force Committee (JTF), comprising representatives from the Federal Land Development Authority (FELDA), the Malaysia Co-operative Societies Commission (SKM) and KPF, to coordinate KPF’s way forward and recovery.
He said the initiative encompasses the disposal of stakes in eight FGV Holdings Bhd group companies valued at RM229.8 million, the disposal of half or all of Ladang Samarahan, and the phased disposal of part of property assets.
“In this regard, the MECD, through the SKM, is paying close attention to KPF’s financial position, governance and operational capabilities to ensure that the cooperative remains financially sound, viable and able to fulfil its obligations to members.
“Several monitoring and intervention measures have been implemented, including through the JTF,” he said during the question-and-answer session in the Dewan Rakyat today.
He was responding to a question from Kamal Ashaari (PN-Kuala Krau), who asked about the ministry’s monitoring and intervention measures to ensure that KPF settled outstanding payments for members’ share redemptions, as well as whether a clear payment timeline had been established.
Mohamad said the recovery efforts are aligned with FGV Palm Industries’s new business model, which shifts from the tolling method to a commercial model which is projected to generate an additional RM42 million in revenue for the cooperative.
On outstanding member share-redemption claims, he said the MECD, through SKM, closely monitored KPF’s cash flow and prioritised payments for critical and urgent cases, including those involving healthcare, education, religious affairs and court proceedings.
In response to a supplementary question from Kamal on the actual number of members seeking share redemptions, Mohamad said KPF had received share-redemption claims from 42,314 members, amounting to RM984.87 million between 2021 and Aug 31, 2026.
Of this amount, RM429.67 million remained unpaid.
-- BERNAMA