FOUR offices in Pahang and Sarawak were raided yesterday by the Malaysian Anti-Corruption Commission as its probe into alleged corruption and bribery within the Companies Commission of Malaysia (CCM) intensified.

The anti-graft agency has been investigating the CCM over several allegations of wrongdoing in the award of contracts, which bypassed the open-tender process. 

A high-ranking MACC source told The Malaysian Insight that yesterday’s raids are linked to the RM500 million Business Reporting System of Malaysia project awarded to Formis Network Services Sdn Bhd.

“The case in Sarawak involves two projects related to the CCM building which were awarded via direct negotiations,” the source told The Malaysian Insight.

“In Pahang, we are investigating the transparency of a project currently being undertaken by the CCM cooperative.”

All the projects bypassed the open-tender process and awarded between 2014 and 2018 during the Barisan Nasional administration, the source said.

Direct negotiations for the projects involved a senior CCM officer from the headquarters, who had ties with a state-level CCM officer, he said.

“As a result of raids from 9am to 6.30pm yesterday, as many as five boxes containing more than 20 files related to the projects were seized.

“Seven people were also questioned, including a CCM state director and directors of some of the companies,” said the source.

The project, awarded via direct negotiations, is for a five-year term with a mandatory five-year extension. The project is expected to incur losses of more than RM250 million.

Apart from the project, MACC is also investigating other dealings from 2009, including the purchase of several buildings nationwide to the tune of RM30 million.

MACC has raided more than 10 offices since January 9, when it launched a probe into allegations of corruption, cronyism and money-laundering within the CCM.

In early January, a civil society group submitted a memorandum to MACC listing alleged wrongdoing, abuse of power and corruption at the government agency in the implementation of high-impact projects.

The memorandum alleged that some projects were awarded to the same individuals and companies.

The allegations in the memorandum were raised in Parliament by Kinabatangan MP Bung Moktar Radin in November 2018.

MACC said its investigations will also target several senior CCM officials who have since retired. – February 20, 2019.