KUALA LUMPUR, Oct 29 — The Malaysian Anti-Corruption Commission (MACC) has initiated an investigation into the existence of a cartel in distributing and supplying padi fertiliser contracts in an association under the control of a ministry, estimated to be worth RM1.8 billion.
According to an MACC source, several raids have been made by the commission in the past two days around Kuala Lumpur, including at the association’s headquarters, the ministry, and nine companies that obtained the projects.
The projects under the ministry totalling RM1.8 billion have been awarded to the association in a period of 30 months from 2021 to 2023.
“The association is responsible for producing padi fertiliser and distributing it to farmers around the country through the association’s offices in every state.
“Investigations revealed that the association used two methods to fulfil the government contracts, which is to purchase padi fertiliser directly from five producers and to purchase raw materials to produce fertiliser from four companies,” the source said.
It added that investigations are focused on corrupt practises linked to the procurement of fertiliser or raw materials from selected companies.
“Investigations will also include possible abuse of power where the board of directors of those involved in selecting the companies of interest.
“MACC has seized documents related to the projects at the ministry, association and companies. Six ministry and association officials involved have been called up by the MACC for interviews,” said the source.
Meanwhile, MACC chief commissioner Tan Sri Azam Baki confirmed the investigation when contacted and did not reject the possibility that several individuals suspected of involvement might be arrested to facilitate investigations.
He said the case is being investigated under Section 16, Section 18 and Section 23 of the MACC Act 2009.
— Bernama