‘I didn’t retire, I resigned,’ says former LTAT chairman

‘I didn’t retire, I resigned,’ says former LTAT chairman

KUALA LUMPUR: Tan Sri Raja Mohamed Affandi Raja Mohamed Noor has clarified that he resigned as chairman of the Armed Forces Fund Board (LTAT).

The Former Defence Forces and Army chief general said this in response to a statement by LTAT claiming that he had retired.

“I didn’t retire,I resigned. Being fired, retiring and resigning are different. So when we resign, there’s definitely a distinction,” he was quoted as saying to Berita Harian in a letter to Defence secretary-general Datuk Seri Isham Ishak.

He however declined to comment whether the restructuring and group governance of Boustead Holdings Bhd’s was the reason behind his resignation.

In the letter, he also said his term as LTAT chairman would only end in August this year.

Raja Mohamed Affandi was appointed as LTAT’s chairman on Aug 3, 2021, succeeding Tan Sri Mohd Zahidi Zainuddin who completed his service across three years from August 2018 ending in 2021.

It is learned that his resignation could also be due to another reason.

An insider told the New Straits Times (NST) that Raja Mohamed Affandi felt that the LTAT board was not given due regard to the decision process in the Boustead restructuring plan.

His departure came just a week after chief executive officer Datuk Ahmad Nazim Abdul Rahman tendered his resignation.

Ahmad Nazim had said the minister had put LTAT’s Strategic Plan for 2023-2025 on hold via a letter dated Dec 15 last year.

He said delaying any decision on restructuring LTAT’s flagship company Boustead Holdings Bhd beyond January “would shorten the runway for the execution, and present a significant risk to the balance sheet of LTAT and impact our ability to meet the minimum dividend target for this year”.

The two departures came a month after it was reported that LTAT’s planned restructuring had been put on hold.

This was after a change of the head of the Defence Ministry, which oversaw the fund.

According to NST, Nusantara Academy for Strategic Research senior fellow Dr Azmi Hassan described the resignation as very concerning especially with the board’s RM7mil debt.

“With both resignations, LTAT seems to have no plans yet.

“The only silver lining is the hope for positive outcomes, especially for the shareholders, who are veterans,” he said.

He also said LTAT should come out with a statement to inform their new plan or strategy.

He also hoped that a new chief executive officer and chairman will help set a fresh direction for LTAT.

On Thursday (Feb 8), LTAT had announced the supposed retirement of Raja Mohamed Affandi with immediate effect.

The board commended the former defence forces chief for his role in bolstering the statutory body’s corporate governance since his appointment in 2021.

LTAT also praised Raja Mohamed Affandi for his role in implementing an Organisational Anti-Corruption Plan, which underscored the body’s dedication to ethical practices and transparency.

He was also lauded for guiding the successful completion of LTAT’s Transformation Plan 2019-2023, which positioned the organisation on a robust trajectory for future growth and sustainability.

“The board, management and staff of LTAT convey their deepest gratitude to Raja Mohamed Affandi for his invaluable leadership and contributions during his tenure and wish him the very best in his future endeavours,” it said.