Malaysia

Cartel monopolising govt projects worth RM3.6 bil crippled: MACC

Anti-graft body source says syndicate’s head uses 150 firms to negotiate with ministries, govt agencies

Updated 5 years ago · Published on 05 Apr 2021 3:35PM

Cartel monopolising govt projects worth RM3.6 bil crippled: MACC
Seven members of a syndicate monopolising government projects have been arrested by the MACC. – The Vibes file pic, April 5, 2021

by The Vibes Team

KUALA LUMPUR – A cartel that has been monopolising hundreds of government projects, worth RM3.6 billion, since 2014 has been crippled by the Malaysian Anti-Corruption Commission (MACC).

The anti-graft body detained the syndicate’s head, aged 47, and six others in an operation conducted last night.

The head has been using 150 companies, which he owns, to enter into negotiations with ministries and government agencies, and has been awarded 345 tenders, according to an MACC source.

He told The Vibes: “They mostly target facility maintenance and development projects.”

Several government insiders are also believed to be involved in ensuring the syndicate is awarded the projects.

This is done by providing vital information – including a tender’s ceiling price and specification, qualifications to win the project and best time to submit the application – in return for money.

The source said the syndicate will then enter the tender via its various companies, each with different offers.

“Based on investigation, the syndicate’s head has been paying hundreds of individuals to set up the companies under his watch, with each being paid a high salary and commission in exchange for using his or her personal details.

“However, it is believed that the academic and professional qualifications of most of these individuals are fake, and the financial statements used by the companies to enter the tender are also forged.”

The source said MACC’s raid on the cartel’s operation centre – where its members were gathering to fill in government tender forms – took them by surprise.

Harian Metro had quoted MACC chief Datuk Seri Azam Baki as confirming the arrests, saying the case will be investigated under Sections 17 and 18 of the MACC act.

However, Azam did not dismiss the possibility of more arrests soon. – The Vibes, April 5, 2021

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