I am responding to an article in The Malaysian Reserve (TMR), regarding the uncertainty of Felda’s turnaround plans after half a year.

I praise the government for allocating RM6.23 billion in the hopes of reviving the failing plantation agency, and its decision to supplement that with RM810 million in the 2020 Budget is welcomed.

Unfortunately, six months after the announcement of the White Paper, it remains to be seen whether that bailout will be the solution for Felda’s woes.

And with the appointment of Tan Sri Mohd Bakke Salleh as its chairman since July, that uncertainty grows even larger.

I am disagreeing with a statement in the TMR article that reads, “The appointment of Tan Sri Mohd Bakke Salleh as Felda chairman bodes well for the government body as he brings a wealth of experience.”

While he had held a position within the agency previously from 2005 to 2009, his first tenure in Felda as Group’s Managing Director (GMD) and later as Felda Global Ventures’ (FGV) CEO in 2009 is rumoured with controversies that led to the listing of FGV in 2012.

By now, all Malaysians know what happened to FGV after its listing and how it affected Felda.

Both entities continue to record worsening financial performances year after year, resulting in peak losses of RM4.9 billion for Felda in 2017 and RM1.08 billion for FGV in 2018.

When he was appointed CEO of FGV back in 2009, he must have played an instrumental role in charting the blueprint for the initial public offering of FGV three years later.

The declining performance of FGV after its listing is a testament to the failure of Bakke’s planning for FGV.

The listing of FGV in 2012 changed Felda’s tried-and-true business model that has brought numerous profits to the plantation body since its inception, into a failed model that has thrown Felda and FGV into a deep loss.

It is questionable how Bakke could have been appointed into Felda in the first place.

The plantation body was doing fine back in 2005, so when he came in, he was just appointed as a ‘caretaker’ GMD – likely with some political influence attributing this appointment.

Financial performance of Bakke’s other portfolio was not exactly good, either. Before joining Felda in 2005, he was the CEO of Lembaga Tabung Haji for four years, and no notable achievements were made by him there.

After Felda, he went on to work as President and Group Chief Executive for Sime Darby Berhad (SDB). Throughout his time there, the financial performance of the plantation arm of SDB remained stagnant year after year, even after its separation in 2017.

And now, we want him to helm Felda again amidst his tattered experienced in the corporate world?

He has already been appointed since July and Malaysians have not heard much from him, regarding his duties as a Felda chairman.

Perhaps the government should relook into the appointment of Bakke and look at other possibilities to revive Felda, such as a public-private partnership.

• Sherman SS is an Economics & Finance Consultant currently based in Singapore