Malaysia graft busters seize over US$12.8 million in cash, luxury goods and funds linked to army contracts
To date, a total of 23 people, including armed forces personnel and civilians, have been arrested.
KUALA LUMPUR: Anti-graft investigators in Malaysia have seized and frozen over RM52 million (US$12.82 million) in cash, gold, luxury goods and funds from more than 80 bank accounts in two separate cases linked to alleged corruption in army procurement contracts.
This comes even as Azam Baki, chief commissioner at the Malaysian Anti-Corruption Commission (MACC), said that the commission is expected to propose criminal charges against several senior officers following investigations into a top ex-armed forces officer and a cartel linked to alleged illegal practices.
Azam said on Thursday (Jan 15) that his agency will propose charges for “one or two officers” involved in the first probe, and “at least two” in the second case.
“We will submit all completed investigation files to the prosecution next Monday. If there are charges to be brought, I will inform the media.
“It also depends on the deputy public prosecutor. They may identify other associates to face charges for their role as accomplices,” he was quoted as saying by news outlet Free Malaysia Today.
Azam noted that the anti-graft agency’s probe into the procurement contracts cartel was “particularly sensitive”, not only due to the large sums involved but also the seniority of the officers implicated.
To date, a total of 23 people, including armed forces personnel and civilians, have been arrested.
In the first and larger case, Azam said that seizures include RM5.8 million in local and foreign currencies, a Range Rover vehicle, 26 luxury watches worth RM2.3 million, as well as gold, diamonds, and jewellery.
The entire haul is estimated to be worth RM11.4 million.
Additionally, 75 company bank accounts containing between RM32.5 million and RM35 million have been frozen.
Azam also confirmed that Malaysia’s former army chief Muhammad Hafizuddeain Jantan - who was earlier remanded in connection to this case - was released on Monday.
“We are not only looking at money transactions. We must also prove who gave the money, who received it and for what purpose,” Azam was quoted as saying by Malay Mail, noting the complexity of tracing the flow of funds.
In the second case, Azam said a high-ranking officer was called in to assist with the final stages of the investigation, while another senior officer was arrested on Wednesday.
Seizures in this second case include RM1.3 million in cash, RM721,000 in foreign currency, 2.4kg of gold worth RM1.4 million, and several vehicles.
Eight company accounts totalling RM4.7 million were also frozen.
Earlier this week, Malaysia Defence Minister Khaled Nordin slammed the recent scandals involving the country’s military, even as he promised a review of its tender and procurement processes and an overhaul to its anti-corruption measures.
“Corruption is a cancer that prevents us from competing as a mid‑level power,” Khaled had said on Monday, noting that immoral activities in military camps and an ongoing graft probe into procurement contracts have dragged his ministry and the Malaysian Armed Forces through the mud.
Analysts whom CNA spoke to previously have since called for tougher punishment for misconduct and parliamentary oversight for large arms purchases following the recent scandals in the armed forces.
