FAM – THE RM40 MILLION STORY

On everyone’s lips today is talk about the RM40 million and FAM.
It was largely reported, in most but not all print media, that FAM is in the RED to the tune of RM40 million.

Most of the media quoted newly installed President HRH Tuanku Ismail as saying that FAM required RM40 million.

Read carefully – TMJ did not say that there are debts amounting to RM40 million, nor did he say that RM40 million was misappropriated.

What TMJ was saying was that FAM needed RM40 million to carry out its competitions, preparation of teams, participation, and administrative Budget, the key word being here ” Budget”

The fact that FAM has always been run on a deficit Budget for a ver long time is evident and all those who know it can testify to that fact.

After the days of the tobacco money, FAM had TM as the title sponsor for the M-League.

The annual sponsorship in 2005-2007 was around RM12 million, with states receiving RM250,000 as a grant from FAM in the Super League with RM125,000 fir the Premier League.

It was only from 2007 onwards that FAM managed to secure RM23 million annually thanks to the efforts of the current Sports Minister Khairy Jamaluddin who was then FAM Deputy President.

On top of that the National Sports Council had a MOU with FAM to adopt the Harimau Muda team coached by Dato K. Rajagobal which eventually went in to win the 2009 SEA Games Gold medal.

A total of RM3.25 million per year was allocated to this team which delivered the goods, playing some 64 matches a year to gain exposure with even training stints at Carrington, the training ground of Manchester United, Slovakia, Australia and even Brazil.

Back to the issue of being in the RED.

FAM needs something in the range of RM60 to RM70 million if it wants to provide an increased subsidy of RM2-3 million for Super League teams.

Agreeable that the operation cost of 40 per cent of the Budget being used for administrative cost is relatively high and rightfully TMJ had to reduced the number of staff at Wisma FAM.

However with the absence of a proper audit and study, the abrupt sacking is questionable and fans are even celebrating that those corrupt have been removed.

But there is not even an iota of evidence that any were involved in any corrupt practices, and FAM ought to clear the air in this.

If cutting down staff is one way to cut operating expenditure, then FAM should also explain why it is in the process of hiring some staff, in particular some who were with FAM but left for supposedly greener pastures.

FAM needs its private entity FMLLP to do more in terms of securing sponsorship as currently it is the shortfall of RN40 million that is the issue, no that it’s in the RED, well not yet anyway.

On another issue, the statement made by the potential national coach Gomez should be viewed seriously by FAM as he has questioned what TMJ revealed to the media.

Do we need such a coach? That is for FAM to answer.

Hopefully TMJ will also see the potential vested interests individuals clamouring for his attention within the national body.

These are far more dangerous then any honest and constructive criticism levelled at the national body.