What's going on at CMI Malaysia?

Dubious financial accounting risks damaging the reputation of CMI UK

CMI Malaysia Management & Leadership Sdn Bhd business office according to SSM records. Is this just a virtual office, where the decisions are being made in London?

The 2024 Chartered Management Institute (CMI) annual report 2024 indicates that CMI is embroiled in a major financial and governance crisis in its Malaysian activities. The irregularities in the 2024 UK annual report and other public domain information are summarized below;

Huge financial losses

According to its latest audited Annual Report CMI as a UK charity has lost £1.2 million [RM6 million] through its Malaysian commercial enterprises most of which has been written off as unrecoverable bad debt under the stewardship of Lucy Greggains, CMI Chief Financial Officer and approved by Ann Francke the Chief Executive Officer of CMI as well as the Chair of the Board of Trustees Fiona Dawson and her predecessor Lord Mark Price. These issues were examined last week;

More losses at risk

CMI claim they will lose £1.5 million [RM9 million] more in Higher Education Partner withdrawals and have said that some of their 21 university HE Partners have already suspended their contracts. These HE Partnerships are managed by Zain Munir, Head of International at CMI reporting directly to Ann Francke the Chief Executive Officer of CMI, UK.

Ann Francke the Chief Executive Officer of CMI, UK

Tax avoidance

Since 2019 the UK Charity has been bailing out its Malaysian commercial enterprises through unrecoverable loans turned to bad debt on which no tax has been paid. Again this was managed and approved by Lucy Greggains, CMI Chief Financial Officer and Ann Francke the Chief Executive Officer of CMI, UK and signed off in the audited accounts by the Chair of the Board of Trustees Fiona Dawson and her predecessor Lord Mark Price.

Lucy Greggains, CMI Chief Financial Officer. Director of CMI Management & Leadership Sdn Bhd. with lots of questions to answer.

Changing accounts

For the first time in 2024 the CMI changed the presentation of its accounts after revelations of emerging problems in Malaysia, to present the bail-out loans as fee income for services. By overcharging these fees the Malaysia enterprise posted a small profit and a small tax payment but no tax has been paid on bail-out money paid since 2019. These changes are all under the stewardship of Lucy Greggains, Ann Francke, Fiona Dawson and Mark Price.

Embroiled in the Courts

CMI as a UK charity with a Royal Charter is now embroiled in multiple legal actions in Malaysia involving the UK Charity, its Malaysian commercial shell company, Ann Francke, Chief Executive Officer, Elaine McClean, CMI Institute Secretary, Zain Munir, Head of International, CMI and Lucy Greggains, Chief Financial Officer and Chief Operations Officer.

Regulatory investigations

In April 2024 CMI were called for a regulatory investigation by the Malaysian Higher Education Ministry for allegedly selling unaccredited certificates and is currently under investigation by the Malaysian authorities for posting unlawful social media content. In addition there are multiple active investigations by UK and Malaysian authorities following complaints of mismanagement.

Scandal-hit Chair of the CMI Malaysia Regional Board

At the same time in July 2024, Mohamed Mustafa Ishak became the Chair of the CMI Malaysia Regional Board. Mustafa was involved as the Deputy Chairman of the National Professors Council (NPC) which was highlighted by the Auditor General for misappropriation of public funds. The NPC President was charged with seven counts of misuse of public funds and following an investigation the Public Accounts Committee (PAC) has identified mismanagement and advised the government to review whether it should continue.

Mohamed Mustafa Ishak became the Chair of the CMI Malaysia Regional Board explain what’s going on financially inside CMI Malaysia?

CMI Malaysia Regional Board implicated

Former Chair of the CMI Malaysia Regional Board, Taranjeet Singh, also faces legal action and has since has since stepped down from the Board. The vacancy was filled by Wong Chun Wai media personality and Chairman of the National News Agency (BERNAMA).

Former Chair of the CMI Malaysia Regional Board Taranjeet Singh. Its understood he is facing legal action concerning activities of CMI Malaysia.

Embarrassing the UK High Commissioner

In July 2024 in an apparent attempt to rebuild its reputation CMI appointed the UK High Commissioner to Malaysia, Ailsa Terry, as their Malaysia Patron apparently without informing her of ongoing legal cases and investigation of the allegations of “selling certificates” which were highlighted by local media on the announcement of her appointment. The High Commissioner has been recalled to the UK and replaced.

Was Ailsa Terry informed of the CMI situation in Malaysia before she became patron?

Senior UK Civil Servant “stepped down”

Again in July 2024 a member of the CMI Board of Trustees in the UK, Gareth Rhys-Williams “stepped down” as the UK Government Chief Commercial Officer at the Cabinet Office shortly after allegations that CMI was selling unaccredited certificates in Malaysia emerged in April 2024.

UK Board of Trustees implicated

A member of the UK Board of Trustees, Bob Cryan who is Vice Chancellor of the University of Huddersfield has been closely involved the CMI’s Malaysian activities and has visited the country on multiple crisis management trips at CMI expense. Meanwhile during these trips abroad his own university was implementing redundancy of 200 staff members and cutting multiple courses under his management.

What was Bob Cryan doing for CMI in Malaysia?

Its time CMI made a public statement.

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