7-2-2024 (KUALA LUMPUR) The Malaysian Anti-Corruption Commission (MACC) announced plans to summon a former prime minister and finance minister to assist in the investigation of contracts awarded to a firm responsible for supplying and managing government vehicles since 1993.
“We have looked into the history of the company’s formation. Let’s say the issue occurred in 1998 or 1999. So, whoever was involved, including the prime minister and finance minister then, will have their statements recorded so that we can find out what they know about this case,” stated MACC chief commissioner Azam Baki during a press conference on Tuesday (Feb 6), according to Free Malaysia Today (FMT).
The firm under scrutiny is Spanco, a Malaysian company offering fleet management services. Established in 1988, Spanco currently manages more than 13,000 vehicle units, according to its website.
Mr. Azam, as quoted by The New Straits Times (NST), clarified that no prosecutions are underway at the moment as the investigation is still in its early stages. MACC officers are actively reviewing the case facts, he added.
Dr. Mahathir Mohamad served as Malaysia’s prime minister from 1981 to 2003, and later served a second term from 2018 to 2020. During his first term, several individuals held the finance portfolio, including Tengku Razaleigh Hamzah, Daim Zainuddin, incumbent Prime Minister Anwar Ibrahim, and Dr. Mahathir himself.
Mr. Anwar, as reported by FMT, stated that he took a “firm stance” on the company during the 1990s when he was the finance minister but was unable to take action due to a lack of “political will.” He expressed support for the investigation, emphasizing the importance of uncovering any wrongdoing.
At the Tuesday press conference, Mr. Azam revealed that the issue surrounding the Spanco contract was reported to MACC due to a dispute following the cancellation of a contract involving one company and how Spanco consistently received contracts since the 1990s. Over 20 individuals have been summoned, and approximately 80 accounts related to the case have been frozen, he stated.
In 1993, Spanco was awarded the contract to supply and manage government vehicles, which expired in December 2019. That same year, an open tender for the contract was launched, set to last for the next 15 years. Berjaya Group and Naza Sdn Bhd jointly bid for the contract but faced legal challenges when the contract was awarded to Spanco in 2020 despite their higher bid.
MACC aims to uncover why Spanco was selected to manage the government’s vehicles and is investigating how Spanco obtained the contract despite another company receiving a letter of intent from the finance ministry.
Dr. Mahathir’s sons, businessmen Mirzan Mahathir and Mokhzani Mahathir, along with Daim, are subjects of separate investigations by MACC based on information from the Pandora Papers, a massive leak of financial records in 2021. They have been instructed to declare their assets, and failure to do so may result in charges, according to local media reports. Mirzan’s investigation concerns business activities related to government-linked companies (GLC), while Mokhzani’s involves a GLC as well. Daim was charged on Jan 29 with failing to declare his assets, which include ownership of 38 companies, 25 properties, and several luxury vehicles.
