Malaysia

16 company directors held for allegedly embezzling Mitra grants

Suspects said to be involved in misappropriation of funds, depriving target groups of socio-economic aid programmes

Updated 4 years ago · Published on 26 Oct 2021 2:15PM

16 company directors held for allegedly embezzling Mitra grants
A massive sting by the MACC in the Klang Valley has seen the arrest of 16 individuals thought to have misused tens of millions of ringgit linked to Mitra grants. – The Vibes pic, October 26, 2021

KUALA LUMPUR – The Malaysian Anti-Corruption Commission (MACC) arrested 16 company directors last night on suspicion of being involved in the misappropriation of funds of the Malaysian Indian Transformation Unit (Mitra).

All the suspects aged between 24 and 68 were nabbed in a massive operation since yesterday around the Klang Valley.

According to sources, it is estimated that tens of millions of ringgit had been misused by the group who originally applied for Mitra grants to organise socio-economic programmes for the Indian community.

The investigation will cover all applications and spending of the funds that have been channelled by Mitra since 2018.

“We estimated that almost 60% of the grant allocation received by companies, individuals and foundations for the purpose of implementing socio-economic programmes did not reach the target groups.

“The grant was applied from Mitra and was misappropriated for the benefit of certain individuals,” sources said.

It added that no programmes have been held and no statement of expenditure could be produced to the authorities.

“Mitra was restructured in 2018 during the Pakatan Harapan administration and was placed under the purview of the Prime Minister’s Department.

“However, since April 2020, Mitra has been placed under the National Unity Ministry, and it is estimated that Mitra received a budget of RM100 million a year,” sources said.

The suspects will be brought to the Putrajaya magistrates’ court today for remand application under Section 117 of the Criminal Procedure Code.

Meanwhile, MACC chief commissioner Datuk Seri Azam Baki when contacted confirmed the arrest.

He said the case is being investigated under Section 16(a) and Section 18 of the MACC Act 2009. – Bernama, October 26, 2021

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