FOR the second day running, anti-graft officers yesterday raided more officies in Pahang and Sarawak as part of an ongoing probe into alleged corruption in the Companies Commission of Malaysia (CCM).

In a day-long operation, Malaysian Anti-Corruption Commission officers raided three companies, two government offices and a legal firm in the two states.

The anti-graft agency is investigating several allegations of wrongdoing in CCM’s contract awarding since 2009 that bypassed the open-tender process.

The latest raids were in connection with the RM500 million Business Reporting System of Malaysia project awarded to Formis Network Services Sdn Bhd, MACC sources told The Malaysian Insight.

The five-year contract for the project, with a mandatory five-year extension clause, was reportedly the result of direct negotiations.

The government could reportedly lose more than RM250 million in the deal.

MACC had last month conducted a series of raids in the Klang Valley, during which the graftbusters netted evidence that allowed them to open new investigations into other cases.

CCM is also being investigated over the purchase of its office buildings with an estimated total value of RM30 million around the country.

“In the raids in Sarawak, the company that formerly owned the building (that now houses the CCM office) and contractors involved in its construction, were reported to have been given the construction contract through direct negotiations.

“In addition, the Valuation Departments in Sarawak and Pahang were also raided to help in the investigation” the source told The Malaysian Insight.

The source said all projects awarded between 2014 and 2018 and without going through the proper process are under investigation.

“All were handled by senior CCM officers at its headquarters and state offices.”

The source said project files and financial documents were seized and three people were questioned.

The MACC raids in Pahang and Sarawak were the first outside the Klang Valley held in connection with investigations into CCM.

On the first day of raids in the two states on Tuesday, five boxes of 20 project files were seized and seven people, including a director of SSM, were grilled.

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

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

The memorandum alleged that same individuals and companies repeatedly secured contracts.

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

MACC said its investigations also target several retired senior CCM officials.  – February 21, 2019.