FORMER Treasury secretary-general Mohd Irwan Serigar Abdullah has denied that RM18 billion in goods and services tax refunds has gone missing.

He said all GST proceeds were transferred into a consolidated fund before being channelled into a trust fund to repay GST claims, on the request of the Customs Department.

The procedure is provided for in the Financial Procedure Act 1957, and information on the process is available from the Finance Ministry’s Accountant-General’s Department and Fiscal Division.

“At the federal government’s cash-flow management monthly meeting, the Customs Department presents matters related to the need for refunds and outstanding amounts due.

“Based on the (department’s) need and the government’s revenue position, the meeting decides on the allocation to be made to the trust fund,” he told reporters in Putrajaya today.

Finance Minister Lim Guan Eng yesterday told the Dewan Rakyat that RM18 billion is missing out of the RM19.4 billion meant as GST refunds.

Irwan Serigar, citing as an example GST refunds for last year, said the Customs Department paid claims totalling RM23 billion, or 34% of GST proceeds.

He said it is understood that there was RM15 billion in outstanding claims last year that required verification, investigation and auditing to ensure no fraud or false claims.

“Every sen is accounted for. It is the people’s money, which is why it is much more important for the money to be credited into the consolidated fund. When it’s needed, it will be taken out (from the consolidated fund).”

He said the refund process is clear, that the Customs Department pays the refunds in 14 days.

However, in cases of doubt, or when an investigation or auditing is necessary in cases of false claims, the process takes longer.

“In conclusion, there are no missing funds,” he said, adding that he is prepared to extend cooperation should the government need more information on the matter.

On whether he will lodge a police report over Lim’s statement linking him to the missing funds claim, he said he has no plans to do so. – Bernama, August 9, 2018.