By Amar Shah Mohsen
SHAH ALAM, July 3 — Petaling Jaya MP Lee Chean Chung has urged the National Audit Department to immediately table irregularities in issues of national interest upon identifying them.
The government backbencher said this should be done instead of the current practice of only publicising it in the annual Auditor-General’s (AG) Report.
“Otherwise, the audit report will not provide a clear picture of the current situation,” he said when debating the Audit (Amendment) Bill 2024 in the Dewan Rakyat here today.
The Audit Act 1958 amendments were later passed via a simple voice vote.
The bill seeks to expand the powers of the AG to examine, investigate and audit the accounts of any body, including firms registered under the Companies Act 2016, that receive financial guarantees from the federal or state government.
It also grants the AG the authority to make recommendations addressing serious irregularities in the accounting or management of public funds or savings.
To help identify discrepancies at an earlier stage, Lee suggested an early audit be conducted on projects that involve large government funds.
He said periodic audits should also be done at multiple phases of a project, and considering suggestions provided during the different stages.
“Should there be any auditing discrepancies, the National Audit Department must report immediately to the Malaysian Anti-Corruption Commission for further investigation.”
Separately, Lee urged the government to shut non-viable government-linked companies (GLCs) rather than continue operating them as “zombie firms” to finance certain people.
He said GLCs must adhere to their commercial objectives and strategic industry involvement, rather than focusing on social targets.
Earlier, he noted how Felcra Bhd had amassed debts totalling RM1.21 billion as a result of losses incurred by 14 of its subsidiaries and the firm’s diversification to multiple sectors.
The Cabinet has since approved RM1.53 billion in debt for Felcra, a wholly owned company by the Minister of Finance (Incorporated), and its subsidiaries to be restructured and rescheduled over a period of 35 years.
Felcra will begin repaying the debt to the Finance Ministry in 2026, with monthly payments of RM4.6 million.
“In view of this, I would also like to know as of June 2024, what are the total losses incurred by all state and federal GLCs?” he asked.
Lee urged the AG to review its policy on audits on highway concession compensation paid by the federal government to highway operators, by requiring the government to publicise payment details.
“Take the Petaling Jaya Dispersal Link project for example. We were informed in April that it had been cancelled, meaning the government must pay a certain compensation to the concessionaire.
“However, the government did not explain these terms and conditions to the public despite the project being of public interest.
“I hope this matter will receive the AG’s attention because otherwise, the public will never know the compensation for highway projects that are cancelled or suspended.”
