Latest news with #AccountingFraudWorkingGroup
New Straits Times
20-05-2025
- Business
- New Straits Times
RM10.4m fraud by civil servants uncovered at federal department
KUALA LUMPUR: Fraudulent transactions involving RM10.4 million by civil servants were uncovered at a federal department, said Accountant General Nor Yati Ahmad. She said investigations from 2019 to 2024 into public fund misappropriation had led to the recovery or detection of about RM18 million in losses. "From 2019 to 2024, based on the transactions we investigated involving losses of public funds, we have resolved and detected around RM18 million. "There was one case involving civil servants, amounting to RM10.4 million. It occurred at a federal department. Enforcement authorities have taken follow-up action," she said at a press conference after launching the Accounting Fraud Working Group here today. Present were Malaysian Anti-Corruption Commission Chief Commissioner (MACC) Tan Sri Azam Baki and Auditor General Datuk Wan Suraya Wan Mohd Radzi. Nor Yati said most accounting fraud cases involved manipulation of procedures and financial processes, including tampering with accounting and financial management systems. She said the department, aside from taking firm action based on third-party reports and other sources, is also taking a proactive approach by leveraging current digital technologies. This includes analysing financial data to detect red flags and identify unusual or suspicious transactions. "We are doing this now and will continue to do so. It is now part of our standard work processes at the National Accounting Department nationwide." Earlier in her speech at the event, Nor Yati said public sector agencies must adopt a collaborative approach to navigate an increasingly challenging and complex technological landscape. She said this could be achieved through cooperation and the sharing of best practices among public and private sector agencies to strengthen fraud prevention policies, regulations and methodologies. "The Madani government, which emphasises the principles of governance and integrity, stands to benefit significantly from the implementation of the Accounting Fraud Working Group. "The Accountant General's Department is fully committed to supporting and helping this group in achieving its objectives. We believe that through this strategic synergy, efforts to combat fraud can be carried out more effectively and comprehensively." The working group would be spearheaded by MACC and include the Auditor General's Department, Accountant General's Department, Inland Revenue Board, Malaysian Companies Commission, Universiti Teknologi Mara and the Malaysian Institute of Accountants.
The Sun
20-05-2025
- Business
- The Sun
MACC intensifies crackdown on corruption through cross-agency strategy
KUALA LUMPUR: The Malaysian Anti-Corruption Commission (MACC) is intensifying its integrated crackdown on public fund misappropriation and procurement leakages through targeted, cross-agency collaboration and systemic reforms. MACC Chief Commissioner Tan Sri Azam Baki said one of the commission's key priorities for 2025 is to enhance oversight of procurement processes, enforcement, and the fight against large-scale corruption, or grand corruption, particularly in high-risk sectors. 'Recurring findings in the Auditor-General's Report clearly highlight weaknesses in internal controls, creating opportunities for leakages, low-impact investments and payments made without a solid contractual basis,' he said when contacted today. He added that MACC is also placing special focus on sick and abandoned projects, which have a significant impact on national financial stability. To address these issues comprehensively, Azam said the MACC, together with six other agencies, has established the Accounting Fraud Working Group as a coordination platform to tackle financial crimes more effectively. The agencies are the National Audit Department, Accountant General's Department, Inland Revenue Board, Companies Commission of Malaysia, Universiti Teknologi MARA, and the Malaysian Institute of Accountants. 'The Accounting Fraud Working Group reflects our collective commitment to ensuring full accountability for every ringgit of public funds, while reinforcing coordinated action grounded in each agency's expertise. 'We can no longer operate in silos, as if each agency were sailing its own ship toward an unclear destination. The working group serves as the strategic map that aligns our course and strengthens our joint navigation in tackling increasingly complex financial crimes,' said Azam. He added that MACC also plays an active role in the Auditor-General's Report Action Committee, taking follow-up action on audit findings that may involve elements of corruption or abuse of power.
The Sun
20-05-2025
- Business
- The Sun
MACC steps up anti-graft drive with cross-agency strategy
KUALA LUMPUR: The Malaysian Anti-Corruption Commission (MACC) is intensifying its integrated crackdown on public fund misappropriation and procurement leakages through targeted, cross-agency collaboration and systemic reforms. MACC Chief Commissioner Tan Sri Azam Baki said one of the commission's key priorities for 2025 is to enhance oversight of procurement processes, enforcement, and the fight against large-scale corruption, or grand corruption, particularly in high-risk sectors. 'Recurring findings in the Auditor-General's Report clearly highlight weaknesses in internal controls, creating opportunities for leakages, low-impact investments and payments made without a solid contractual basis,' he said when contacted today. He added that MACC is also placing special focus on sick and abandoned projects, which have a significant impact on national financial stability. To address these issues comprehensively, Azam said the MACC, together with six other agencies, has established the Accounting Fraud Working Group as a coordination platform to tackle financial crimes more effectively. The agencies are the National Audit Department, Accountant General's Department, Inland Revenue Board, Companies Commission of Malaysia, Universiti Teknologi MARA, and the Malaysian Institute of Accountants. 'The Accounting Fraud Working Group reflects our collective commitment to ensuring full accountability for every ringgit of public funds, while reinforcing coordinated action grounded in each agency's expertise. 'We can no longer operate in silos, as if each agency were sailing its own ship toward an unclear destination. The working group serves as the strategic map that aligns our course and strengthens our joint navigation in tackling increasingly complex financial crimes,' said Azam. He added that MACC also plays an active role in the Auditor-General's Report Action Committee, taking follow-up action on audit findings that may involve elements of corruption or abuse of power.
Barnama
20-05-2025
- Business
- Barnama
MACC Intensifies Crackdown On Corruption Through Cross-Agency Strategy
KUALA LUMPUT, May 20 (Bernama) -- The Malaysian Anti-Corruption Commission (MACC) is intensifying its integrated crackdown on public fund misappropriation and procurement leakages through targeted, cross-agency collaboration and systemic reforms. MACC Chief Commissioner Tan Sri Azam Baki said one of the commission's key priorities for 2025 is to enhance oversight of procurement processes, enforcement, and the fight against large-scale corruption, or grand corruption, particularly in high-risk sectors. 'Recurring findings in the Auditor-General's Report clearly highlight weaknesses in internal controls, creating opportunities for leakages, low-impact investments and payments made without a solid contractual basis,' he said when contacted today. He added that MACC is also placing special focus on sick and abandoned projects, which have a significant impact on national financial stability. To address these issues comprehensively, Azam said the MACC, together with six other agencies, has established the Accounting Fraud Working Group as a coordination platform to tackle financial crimes more effectively. The agencies are the National Audit Department, Accountant General's Department, Inland Revenue Board, Companies Commission of Malaysia, Universiti Teknologi MARA, and the Malaysian Institute of Accountants. 'The Accounting Fraud Working Group reflects our collective commitment to ensuring full accountability for every ringgit of public funds, while reinforcing coordinated action grounded in each agency's expertise. 'We can no longer operate in silos, as if each agency were sailing its own ship toward an unclear destination. The working group serves as the strategic map that aligns our course and strengthens our joint navigation in tackling increasingly complex financial crimes,' said Azam. He added that MACC also plays an active role in the Auditor-General's Report Action Committee, taking follow-up action on audit findings that may involve elements of corruption or abuse of power.
The Sun
20-05-2025
- Business
- The Sun
Boost to anti-corruption efforts
KUALA LUMPUR: The newly established Accounting Fraud Working Group will bolster anti-corruption efforts in Malaysia, providing expert support for investigations and asset recovery in complex financial fraud cases, including the 1Malaysia Development Bhd (1MDB) scandal. Malaysian Anti-Corruption Commission (MACC) chief commissioner Tan Sri Azam Baki described the 1MDB case as 'very messy', involving substantial assets that demand specialised forensic expertise. 'Many of the stolen assets are abroad. Without help from certain experts, it would take us even longer to recover the money. 'There is a lot of tracing, analyses and cooperation with foreign authorities involved.' Speaking at the group's launch at the Royale Chulan Hotel in Kuala Lumpur yesterday, he said a multidisciplinary approach is vital to move the investigation forward efficiently. 'The 1MDB case exemplifies how financial statement fraud can be deeply intricate, involving account manipulation, fictitious transactions and collusion with auditors.' Led by MACC, the Accounting Fraud Working Group comprises the National Audit Department, Accountant-General's Department, Companies Commission of Malaysia, Inland Revenue Board, Malaysian Institute of Accountants and Universiti Teknologi Mara. Azam said modern financial crimes are growing in sophistication, requiring equally advanced responses. 'Fraudulent activities are often concealed behind falsified business documents, proxy companies or disguised as business expenses, such as consultancy fees, entertainment costs or development charges. These layered transactions make tracing the real money trail difficult. 'The typology of corruption today is more complex than ever. Alarmingly, many fraud cases are embedded within accounting and auditing processes. 'When these systems lack transparency or are managed by individuals with weak integrity, they fail as protective gatekeepers and instead enable wrongdoing.' Azam said Malaysia lost an estimated RM277 billion to corruption between 2018 and 2023, an average of RM55 billion a year, describing the amount as 'alarming'. 'A 2023 study by think tank Emir Research, which also looked at data from various public reports, estimated that total losses reached RM4.5 trillion from 1997 to 2022.' He underscored the need for a coordinated national response. 'Government agencies can no longer operate in silos. This working group provides a coordinated framework to align efforts in addressing these complex financial crimes. 'It will also function as an early warning system to detect leakage in public procurement and fund distribution while promoting reforms for transparent and accountable financial reporting.' He described the group as a potential 'game changer' in strengthening Malaysia's financial governance, characterising financial statement fraud as 'one of the gravest forms of corruption'. 'This type of fraud creates false impressions of financial health to conceal embezzlement or inflate performance, making it highly calculated and damaging. 'While enforcement is crucial, prevention through stronger internal controls and early detection systems is equally important. Even preventing RM10 billion in annual leakage would be a significant achievement.' He added that the group's diverse expertise is particularly valuable for cross-border asset recovery, which involves tracing funds internationally and coordinating with foreign authorities, which are capabilities that individual agencies may lack. Auditor-General Datuk Seri Wan Suraya Wan Mohd Radzi described accounting fraud as a serious threat to institutional credibility and the efficiency of public spending. She said the formation of the working group reflects a strong commitment to reform, addressing long-standing issues highlighted in the auditor-general's reports, including procurement violations and governance failures. She stressed the importance of structured oversight, advanced training and the adoption of technologies such as artificial intelligence and data analytics to detect and deter fraud. The working group will function as a policy think tank, proposing reforms to enhance financial governance and accountability. At the launch, representatives from participating agencies signed a joint declaration pledging to cooperate on investigations, share technical expertise and conduct joint training initiatives to uphold integrity.
