Latest news with #tenderfraud
Malay Mail
08-07-2025
- Business
- Malay Mail
Three contractor firms fined nearly RM3m for bid-rigging cartel in Putrajaya tenders, says MyCC
KUALA LUMPUR, July 8 — The Malaysia Competition Commission (MyCC) has imposed a total fine of RM2.98 million on three contractor companies found to be involved in a bid-rigging cartel. MyCC chief executive officer Datuk Iskandar Ismail said the companies involved are Abadi Malaysia Sdn Bhd, Kota Landskap Sdn Bhd, and Usia Maintenance Sdn Bhd, according to a report published in Berita Harian today. He said the cartel's activities involved six tenders issued by Perbadanan Putrajaya (PPj) between 2018 and 2021, worth over RM44 million, in violation of Section 4 of the Competition Act 2010 (Act 712). 'MyCC began a preliminary assessment following complaints of bid-rigging related to building and facility maintenance, landscaping, and civil engineering projects in Putrajaya. 'From the assessment, we identified nine enterprises suspected of being involved in the cartel,' he said at a press conference at MyCC's office here today. Iskandar said a full investigation was launched, including raids on the premises of the companies involved, the collection of statements from 24 individuals, requests for information, and analysis of related evidence. 'Following the investigation, MyCC issued its proposed decision on 10 September 2024, and received representations from the companies on 11 November 2024 and 13 March this year. 'After thoroughly reviewing the representations, MyCC found that the companies had violated Act 712 and issued its infringement decision yesterday,' he said. According to Iskandar, Abadi Malaysia coordinated the cartel's bid-rigging operations. 'Our investigation found that the companies coordinated their tender submissions through information sharing via WhatsApp, email, and several meetings. 'Tender documents for all three companies were prepared at the same location under the coordination of Abadi Malaysia, facilitated by one of the company's directors. 'This modus operandi was used in all six tenders involved,' he said. During the raids, MyCC also found documents belonging to all three companies at Kota Landskap's premises, suggesting centralised coordination of the tender documentation. 'As a result of the collusion, Usia Maintenance and Abadi Malaysia each won two tenders. 'However, they were also found guilty of bid-rigging in the remaining four tenders, based on evidence of cartel conduct in those tenders. 'For Kota Landskap, MyCC found that the company engaged in cartel behaviour throughout the preparation and submission process for all six tenders,' he said. He added that the companies' directors were either family members or had close personal ties. 'No officers from PPj were involved in the scheme. In fact, the local authority filed the complaint and cooperated fully with the investigation. 'To date, we still have 14 ongoing cases involving more than 500 companies, with a total tender value of RM2.3 billion,' he said. Iskandar urged all market players to learn from this case and renew their commitment to ethical business practices. 'Businesses must compete based on merit, not secret agreements. Public and private organisations must remain vigilant against signs of anti-competitive behaviour in their procurement processes,' he said.
News24
23-05-2025
- Politics
- News24
R1bn fraud charges withdrawn against former Cape Town councillor Malusi Booi and others
Charges relating to the R1 billion City of Cape Town tender fraud case against former mayoral committee member Malusi Booi, alleged 28s gang leader Ralph Stanfield, his wife, Nicole Johnson, and more than 20 others have provisionally been withdrawn by the State. The accused appeared in the Cape Town Magistrate's Court, where the State prosecutor formally announced the withdrawal. Stanfield and Johnson will, however, remain behind bars as they face separate charges unrelated to the tender fraud case. The matter has been plagued by ongoing delays, with the defence preparing to bring an application to have the case struck from the roll. They argued that the State had prematurely arrested the suspects before finalising its investigation.
News24
08-05-2025
- News24
Magashule asbestos ‘scam' trial adjourned as investigating officer falls ill
The asbestos' scam' case returned to the Free State High Court in Bloemfontein on Thursday. The investigating officer is currently testifying in a trial-within-a-trial to determine a special plea from former Free State premier Ace Magashule's assistant. However, Calitz has now fallen ill, so proceedings have been adjourned until next week. The tender fraud case against former Free State premier Ace Magashule and 17 others over the asbestos removal scandal has been adjourned until next week. The case returned to the Free State High Court in Bloemfontein on Thursday, when Investigating officer Captain Benjamin Calitz was expected to resume his testimony in a trial-within-a-trial to decide a special plea raised by Magashule's former assistant, Moroadi Cholota. He indicated he was not feeling well on Wednesday, though, and on Thursday, prosecutor Tammy McPherson told the court that his doctor had booked him off. 'It has been communicated from his family members this morning that he is incredibly ill,' she added. Judge Phillip Loubser said he had no choice but to adjourn the trial until Monday, 12 May. The accused before court have been tied to a scheme that allegedly saw R255 million worth of work to eradicate asbestos roofing in poor homes across the Free State irregularly channelled to a joint venture involving Edwin Sodi's Blackhead Consulting in 2014. This following an unsolicited proposal from the latter, and with the work tacked on to a pre-existing contract the Gauteng Department of Human Settlements had with Blackhead, which was due to terminate in just a few weeks. Public officials allegedly scored big for looking the other way, with cash, electronics, travel and education among their spoils. Special plea Cholota was previously positioned as a State witness. But according to Calitz, she became uncooperative in late 2021 when he and his senior, General Nico Gerber, went to interview her in the United States. At the time, she was on a scholarship as a political science and international relations student at the Bay Atlanta University in Washington, DC. She was then extradited and charged. Cholota, for her part, however, has claimed her prosecution was punishment for not having implicated Magashule and that her extradition was unlawful. In her special plea, she argues the court does not have jurisdiction to try her case. A transcript of the first day of her interview with the Hawks, which Magashule's counsel, advocate Laurance Hodes SC, had handed up as evidence on Wednesday, has become central to the special plea. When the matter returns to court on Monday, an application by Hodes to cross-examine Calitz will be dealt with.
