Malaysia

Federal Govt denies RM16.5 billion funding for Italian helicopter assembly plant in Melaka

The Prime Minister’s Department clarifies that the contract signed last year between the federal government and Weststar Aviation Sdn Bhd only involves the leasing of 28 helicopters over 15 years

Updated 10 months ago · Published on 26 Nov 2025 9:53AM

Federal Govt denies RM16.5 billion funding for Italian helicopter assembly plant in Melaka
The project is a strategic partnership between Weststar Aviation Sdn Bhd and the Melaka state government aimed at advancing the local aerospace sector - November 26, 2025

THE Federal Government has denied providing any funding for the construction of an Italian Leonardo helicopter assembly plant in Batu Berendam, Melaka, confirming that the project is a strategic partnership between Weststar Aviation Sdn Bhd and the Melaka state government aimed at advancing the local aerospace sector.

“The construction of the Leonardo helicopter assembly plant from Italy in Batu Berendam does not use any federal government allocation,” Minister in the Prime Minister’s Department (Federal Territories) Datuk Seri Dr Zaliha Mustafa said in a written parliamentary reply.

She clarified that the RM16.546 billion contract signed between the federal government and Weststar Aviation Sdn Bhd only involves the leasing of 28 helicopters over 15 years.

“The contract signed between the Federal Government and Weststar Aviation Sdn Bhd on 19 December 2024, worth RM16.546 billion, only involves the leasing of 28 helicopters as well as maintenance, insurance, and continuous training for officers of security agencies over 15 years,” Dr Zaliha stated.

Her remarks was in response to questions from Datuk Seri Ikmal Hisham Abdul Aziz (PN–Tanah Merah), who had sought clarification on whether the federal allocation was intended as a loan to Melaka state for the plant’s construction, particularly as the Ministry of Defence was not involved in the project.

Earlier, Dr Zaliha addressed the misuse and improper display of the Jalur Gemilang, noting that 17 cases were recorded nationwide in 2025 as of October.

Kuala Lumpur reported two cases, Penang five, Johor four, Negri Sembilan one, Selangor four, and Perak one. Of these, five have been resolved, with 12 remaining under investigation by the Royal Malaysia Police.

“The government is committed to ensuring that the Jalur Gemilang is displayed correctly and respectfully at all times,” she said in response to a parliamentary query from Chiew Choon Man (PH–Miri).

Dr Zaliha noted that awareness campaigns are ongoing to educate individuals, public agencies, statutory bodies, NGOs, and private organisations on proper flag usage.

Enforcement falls under the Emblems and Names (Prevention of Improper Use) Act 1963, which prohibits the unauthorised use of official symbols for commercial or professional purposes.

Violations under Section 3, including using the flag in business, patents, trademarks, or designs without permission, carry fines of up to RM20,000, imprisonment for up to three years, or both under Section 5. - November 26, 2025

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