Foreign Worker Quota: Former Minister Faces Bribery Charges
Former Minister of Human Resources M. Saravanan pleaded not guilty to charges of receiving bribes linked to the approval of foreign worker quotas.
- Former Human Resources Minister Datuk Seri M. Saravanan faces three charges of allegedly receiving RM1.097 million in bribes.
- The charges relate to approving a quota of 1,000 foreign workers for TYKB Engineering Sdn Bhd in 2022.
- Saravanan pleaded not guilty and denies wrongdoing, with the case set for mention on 29 September.
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Former Human Resources Minister Datuk Seri M. Saravanan has been charged with allegedly receiving RM1.097 million in bribes linked to the approval of foreign-worker quotas.
The 58-year-old MIC deputy president and Tapah MP claimed trial to all three charges at the Kuala Lumpur Sessions Court on Friday (28 August), as reported by Free Malaysia Today.
But what exactly is he accused of doing, and what does a “foreign-worker quota” actually mean?
Here’s a simple breakdown.
What Saravanan is accused of
According to the charges, Saravanan allegedly received money in 2022 as an inducement or reward for approving an application for 1,000 foreign-worker quotas for TYKB Engineering Sdn Bhd.
The alleged payments were made in three separate transactions:
- RM150,000 allegedly received on 16 June, 2022
- RM350,000 allegedly received on 7 July, 2022
- RM597,000 allegedly received on 7 July, 2022
The prosecution alleges the money came from Vectica Resources Sdn Bhd director Tan Teck Lim through an intermediary, Syed Amirul Syed Ahmad.
The third payment allegedly involved a cheque which was deposited into an account belonging to Big Seven Ventures Sdn Bhd.
These are allegations made by the prosecution, and Saravanan has pleaded not guilty.
What exactly is a foreign-worker quota?
In simple terms, a foreign-worker quota is permission from the government for an employer to hire a certain number of foreign workers.
For example, imagine a construction company needs more workers because it has several new projects.
The company cannot simply bring in hundreds of workers from overseas on its own.
It has to go through the government’s approval process and obtain permission to hire a certain number of foreign workers through a Foreign Worker Centralised Management System.
That approved number is essentially its quota.
So, in the case involving Saravanan, the alleged arrangement concerned approval for 1,000 foreign workers.
Why would a company want 1,000 workers?
Industries such as construction, manufacturing, plantations and services have traditionally relied on foreign workers to fill jobs.
For an employer, getting approval for 1,000 workers can therefore be significant because it allows the company to recruit a much larger workforce from overseas.
This is why the alleged bribery case is centred on the approval of the quota.
The prosecution’s case is essentially that money was allegedly paid to influence that approval.
Did Saravanan personally approve the workers?
This is one of the issues that will be important as the case goes to trial.
Saravanan has previously denied wrongdoing and said he did not have the authority or involvement in approving foreign-worker recruitment in the manner alleged.
He has maintained that he will defend himself in court.
In other words, Saravanan’s position is that the allegations do not accurately describe his role in the foreign-worker approval process.
The court will ultimately have to hear the evidence from both sides before deciding whether the charges are proven.
What has Saravanan been charged under?
The three charges were brought under Section 16(a)(B) of the Malaysian Anti-Corruption Commission Act 2009.
If convicted, the offence carries a maximum prison sentence of 20 years, as well as a fine of at least five times the amount or value of the bribe, or RM10,000, whichever is higher.
However, it is important to stress that Saravanan has not been convicted.
He has pleaded not guilty and will have the opportunity to defend himself during the court proceedings.
The court granted Saravanan RM450,000 bail.
He was also ordered to report to the nearest Malaysian Anti-Corruption Commission (MACC) office once every three months and not to contact the witnesses involved in the case, either directly or indirectly.
The case has been fixed for mention on 29 September.
Why is this case significant?
Saravanan is not a newcomer to Malaysian politics.
He served as Human Resources Minister from 2020 to 2022 and is currently the MIC deputy president and Tapah MP.
The case also puts the spotlight on Malaysia’s complicated foreign-worker recruitment system, an area that has long been important to businesses that depend on migrant labour.
For ordinary Malaysians, however, the case can essentially be understood in one sentence:
Saravanan is accused of receiving RM1.097 million in payments in exchange for helping secure approval for 1,000 foreign workers.
He denies the allegations and has pleaded not guilty.
Now, the prosecution will have to prove its case in court.
And until the court reaches a verdict, the allegations remain allegations — not a finding of guilt.
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