KUALA LUMPUR, August 9 - Prime Minister Datuk Seri Anwar Ibrahim informed that federal statutory bodies need to make a paradigm shift by re-examining the structure and goals of their respective establishments to avoid committing acts that violate good governance.

He said, there is room that can be improved by the agency involved to ensure that the establishment remains with the original goal, despite the proud performance.

He explained that there were reports about an agency that was supposed to help the poor, but instead established 79 subsidiaries that had nothing to do with the original purpose of its establishment.

"That's why if we say a paradigm shift, I ask my friends, board leaders and statutory bodies to see that almost all of them should make a shift... go back to the main management, look again at what the focus is, why this body was established and how much expenses for management and impact on the people," he said.

Meanwhile, he also informed that the Malaysian Anti-Corruption Commission (MACC) and the Auditor General need to act more strictly against all agencies and ministries and statutory bodies to detect any form of governance violations.

He said the issue of governance violations still occurs at all levels, not only management involving political appointments, but also at the level of professional groups and civil servants.

"I am grateful to my fellow ministers for agreeing to make several radical changes in governance management so that direct negotiations are no longer allowed except for security-related issues.

"The same principle is applied at all levels of statutory bodies. There is a tendency for companies, whether federal and state, companies or subsidiaries, where many violations occur, that's why we recently amended the rules that allow the Auditor General to come in and do audits not only in the holding company, the parent body and subordinate companies," he said.

He said this at the Launching Ceremony of Guidelines on the Management and Governance of Federal Statutory Bodies in Kuala Lumpur.