Serious irregularities found in three audits by AG Report 2025
Governance weaknesses were identified in FELCRA Berhad's oil palm plantation leases, UKM's tender processes, and the army's armoured vehicle contracts.
Auditor-General Datuk Seri Wan Suraya Wan Mohd Radzi highlighted flaws in FELCRA's procurement of four oil palm plantations worth RM241.76 million from 2022 to 2024.
She also flagged irregularities in Universiti Kebangsaan Malaysia's (UKM) tender processes involving RM58.45 million.
The report further revealed lapses in the army's armoured vehicle maintenance contracts, including uncollected penalties of RM162.75 million and RM1.42 million in waived fines for service delays.
Additionally, RM107.54 million in maintenance services were improperly split into smaller contracts.
The subsidised cooking oil programme by the Ministry of Domestic Trade and Cost of Living (KPDN) faced criticism for weak monitoring and untargeted allocations.
Wan Suraya urged continued quota reductions to curb leakages, aligning with audit recommendations.
The Selective Pre-Q Procurement Method, introduced by the Ministry of Finance, was also scrutinised for lacking transparency.
Some companies bypassed initial evaluation stages, raising concerns over fairness. The audit recommended discontinuing the method in favour of open tenders.
Five audits covering RM48.873 billion in programmes were reviewed, with 22 recommendations issued.
The National Audit Department's efforts from 2024 to June 2025 recovered RM157.73 million through penalties and tax collections.
The full report is accessible via http://lkan.audit.gov.my and https://agdashboard.audit.gov.my.
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