Attorney-General Tan Sri Mohamed Apandi Ali's appointment as member of Lembaga Tabung Haji's board of directors is the prerogative of the minister in charge of the organisation, said TH director Datuk Seri Abdul Azeez Abdul Rahim.

He said the appointment on Jan 15 was made as there was a vacancy to the position.

He added that there was nothing unusual with Mohamed Apandi's appointment as a previous AG was also appointed to the position.

"We had a vacancy and the appointment was made by the minister, not me as I do not have the prerogative or rights to do so as a chairman," he said after announcing Tabung Haji's dividend of 5 per cent.

"They needed a law practitioner since the AG was appointed in EPF and Bakun project. So we sent a letter to the AG's office and they asked if there is salary to the position. We told them no, and so they named the AG as the candidate," he explained.

He said coincidentally Mohamed Apandi is also a board member of Federal Territory Islamic Council.

"Moreover, he is not paid any salary, so what is the issue here?," he asked.

"If we have the AG as a board member, we don't have to pay him anything since he can offer us free legal advice," he added.