INDUSTRIAL COURT SARAWAK
MOHD PAUZIE ABDULLAH @ PAUL CHUA – Appellant
Versus
TAN CHONG EKSPRES AUTO SERVIS SDN BHD – Respondent
This case discusses conflict of interest primarily in the context of an employee, who holds a senior position within a company, accepting gifts or monetary rewards from contractors or related parties. The court emphasizes that such acts can compromise the employee's fidelity and good faith towards the employer, especially when the employee's influence or authority could be used to benefit personal interests at the expense of the company's best interests (!) (!) (!) .
It highlights that employees in positions of influence are expected to act with integrity and avoid situations where their personal interests conflict with their professional duties. Accepting gifts or rewards from contractors, especially when the employee has the authority to influence contractual decisions or payments, is viewed as a breach of this obligation and constitutes misconduct. The court also notes that the company's policies and policies communicated through handbooks or memos clearly prohibit such conflicts, and employees are expected to be aware of these policies (!) (!) (!) .
Furthermore, the case underscores that ignorance of conflict of interest policies is not a valid defense, given the employee's seniority and the company's efforts to inform staff through memos and briefings over the years. The court considers the acceptance of gifts or rewards, such as Angpao or monetary transfers, as placing oneself in a conflict of interest position, especially when the employee's influence over contractual or financial decisions could be affected (!) (!) (!) .
In summary, the case discusses conflict of interest as a breach of fiduciary duty, involving acts that could influence or appear to influence the employee's decision-making, thereby compromising the integrity of the employment relationship and the employer’s interests.
AWARD
[1] This is a Ministerial reference to the Industrial Court under s 20(3) of the Industrial Relations Act 1967 ( IRA ) made on 23 January 2019 for an award in respect of the dismissal of Mohd Pauzie Abdullah @ Paul Chua (claimant) by Tan Chong Ekspres Auto Servis Sdn Bhd (company) on 31 July 2018.
Background Facts
[2] The claimant joined the company on 1 November 2005 as a Service Officer.
[3] On 1 January 2008, the claimant was promoted as the Assistant Manager, Service and on 1 January 2014, the claimant was promoted to Manager Service.
[4] On 1 April 2014, the claimant was appointed as the Acting Regional Operations Manager for both Bintulu and Sibu branches with retrospective effect from 1 January 2014 to 30 June 2014.
[5] Vide a letter dated 18 August 2014, the claimant was confirmed as the Regional Operation Manager for both the company's Bintulu and Sibu Branch with retrospective effect from 1 July 2014.
[6] On 17 April 2018 the claimant received a letter of Suspension From Work Due to Wrongful Act of Misconduct involving conflict of interest.
[7] On 4 June 2018 the claimant was issued with a Show Cause Letter. In the Show Cause Letter the
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