Human Resource Development Corporation (HRD Corp) has suspended three additional members of its management team as part of efforts to enhance governance and restore industry confidence.
Two weeks ago, the agency announced the suspension of three top management officials pending an internal investigation. The latest move comes shortly after Datuk Mohamed Shamir Abdul Aziz was appointed chief executive officer on Jan 23.
The identities of the suspended officials have not been disclosed.
In a statement on Saturday, Shamir said the suspensions reflect HRD Corp’s commitment to improving governance standards and ensuring that national workforce development funds are managed with transparency, efficiency and accountability.
“Strong governance is essential to maintaining business confidence. Employers expect clarity, predictability and responsible stewardship. We are strengthening our systems to consistently meet those expectations,” he said.
HRD Corp, an agency under the Ministry of Human Resources, collects levies from employers to finance training and development programmes for the Malaysian workforce.
Shamir stressed that the suspensions are procedural steps to safeguard the integrity of an ongoing internal review and do not imply any finding of wrongdoing.
He said the review identified areas needing stronger internal controls, clearer reporting lines and improved compliance oversight. Measures are now being introduced to modernise governance frameworks, reinforce accountability and streamline administrative processes to better serve employers and training providers.
“This reset is about ensuring our systems function effectively and responsibly,” he added.
Earlier suspensions this month followed findings and recommendations from the Public Accounts Committee, the Auditor General and the Malaysian Anti-Corruption Commission. The reports touched on issues such as unutilised levy funds, the acquisition of Menara Ikhlas, equity investment management and matters related to the New Core System (NCS).
The NCS project involved a RM14 million procurement and experienced delays of more than four years after three failed user acceptance tests.
Shamir took over as CEO less than six months after former banker Syed Alwi Mohamed Sultan was appointed to the role in July 2025. HRD Corp did not issue an official statement on whether Syed Alwi resigned or was removed. Before him, Datuk Shahul Hameed Dawood led the agency until stepping down in April 2025 after five years in the position.
Shamir previously served as managing director of Amanah Ikhtiar Malaysia, a national microfinance institution.
Within his first week in office, HRD Corp secured settlements amounting to about 18% of its outstanding structured investment portfolio, recovering RM151.8 million. The agency said this reflects accelerated recovery efforts as it shifts towards a more capital-protective investment strategy.
