AG’s report continues to be catalogue of shame
R Nadeswaran
COMMENT | Having used excerpts from the document in my line of work over the years, I termed it a catalogue of shame, but on Friday, someone called it the annual joke book which comes in editions.
We were both referring to the Auditor-General's Report and reading news reports on the latest quarterly findings, not much has changed - the misfeasors, as usual, were all civil servants. If at all others were involved, most were abetters.
In 2021, the World Bank estimated that 20 to 30 percent of the country's budget for public contracts was wasted. And the AG’s report gave an idea of how and why these things happen.
But this is not a new phenomenon. Year after year and report after report, the same issues are brought up and it does not seem to shame or bother the many government servants who were to blame.
Former auditor-general Ambrin Buang said that the punitive measures, such as fines, transfers and wage cuts, are no longer realistic as punishment for those who do not respond appropriately to the recommendations in the report.
The punitive actions, he said, were not enough to defer offenders as he said the offenders appear oblivious to them despite all the errors identified.
COMMENT | Having used excerpts from the document in my line of work over the years, I termed it a catalogue of shame, but on Friday, someone called it the annual joke book which comes in editions.
We were both referring to the Auditor-General's Report and reading news reports on the latest quarterly findings, not much has changed - the misfeasors, as usual, were all civil servants. If at all others were involved, most were abetters.
In 2021, the World Bank estimated that 20 to 30 percent of the country's budget for public contracts was wasted. And the AG’s report gave an idea of how and why these things happen.
But this is not a new phenomenon. Year after year and report after report, the same issues are brought up and it does not seem to shame or bother the many government servants who were to blame.
Former auditor-general Ambrin Buang said that the punitive measures, such as fines, transfers and wage cuts, are no longer realistic as punishment for those who do not respond appropriately to the recommendations in the report.
The punitive actions, he said, were not enough to defer offenders as he said the offenders appear oblivious to them despite all the errors identified.
Former auditor-general Ambrin Buang
The report for the Year 2021 Series 2 which was released last week contained several instances of leakage of funds and non-compliance with financial procedures.
What happens next? For a few days, the issues will be debated in and outside Parliament, and in a few weeks all will be forgotten – and the wrong-doers perhaps will be forgiven.
No public outcry
In the Second Report for 2018, the auditor-general reported that subsidies were paid to 5,099 non-existent farmers. If this was not shocking, another 11,712 who got the money were dead.
Someone reproduced names, addresses and identity card numbers from the electoral rolls and submitted them.
In total, RM57.92 million was paid out as subsidies and incentives to deceased farmers between 2016 and 2018.
The report for the Year 2021 Series 2 which was released last week contained several instances of leakage of funds and non-compliance with financial procedures.
What happens next? For a few days, the issues will be debated in and outside Parliament, and in a few weeks all will be forgotten – and the wrong-doers perhaps will be forgiven.
No public outcry
In the Second Report for 2018, the auditor-general reported that subsidies were paid to 5,099 non-existent farmers. If this was not shocking, another 11,712 who got the money were dead.
Someone reproduced names, addresses and identity card numbers from the electoral rolls and submitted them.
In total, RM57.92 million was paid out as subsidies and incentives to deceased farmers between 2016 and 2018.
Retired auditor Kanason Pothinker, quoting this case, asks in a message on social media: “Why was there no public outcry over these ‘ghostly’ mistakes costing the taxpayers RM57 million? I suppose we have to accept these small errors by our civil servants but the cost is too much.
“If the auditors could do the simple verification analysis of the registration of names of farmers against the identity card details with the National Registration Department, why, why could not the officers in the Agriculture and Agro-Based Industries Ministry do a similar verification exercise during the handouts?”
But the catch is in the explanatory notes in the AG’s report. These payments to our farmers were not done by the ministry officials but were contracted to a company or companies.
The report states that “between 2016-2018, claims by companies for the paddy fertiliser scheme had exceeded their contract value by RM178.23 million”.
Identifying the culprits is not rocket science. Who was the officer assigned to the project? Surely, he would have details of the third parties and it would be difficult in tracking them and taking appropriate action.
Ponthinker asks: “Were steps taken to verify every claim by the third parties? If fraud is involved, the matter should have been reported to the MACC or the police, who can rely on the working papers of the Auditor-General's Office which they had relied on for their report.”
“I see a horror story unfolding if and when this report gets reported formally to the authorities. And, of course, members of the Parliamentary Public Accounts will pursue this to the end,” he notes.
Misconduct and transgressions
Week in and week out, Prime Minister Anwar Ibrahim has been harping about the need to curb corruption. The AG report can be used as a basis for investigating misconduct and transgressions.
“If the auditors could do the simple verification analysis of the registration of names of farmers against the identity card details with the National Registration Department, why, why could not the officers in the Agriculture and Agro-Based Industries Ministry do a similar verification exercise during the handouts?”
But the catch is in the explanatory notes in the AG’s report. These payments to our farmers were not done by the ministry officials but were contracted to a company or companies.
The report states that “between 2016-2018, claims by companies for the paddy fertiliser scheme had exceeded their contract value by RM178.23 million”.
Identifying the culprits is not rocket science. Who was the officer assigned to the project? Surely, he would have details of the third parties and it would be difficult in tracking them and taking appropriate action.
Ponthinker asks: “Were steps taken to verify every claim by the third parties? If fraud is involved, the matter should have been reported to the MACC or the police, who can rely on the working papers of the Auditor-General's Office which they had relied on for their report.”
“I see a horror story unfolding if and when this report gets reported formally to the authorities. And, of course, members of the Parliamentary Public Accounts will pursue this to the end,” he notes.
Misconduct and transgressions
Week in and week out, Prime Minister Anwar Ibrahim has been harping about the need to curb corruption. The AG report can be used as a basis for investigating misconduct and transgressions.
Prime Minister Anwar Ibrahim
As of now, we have a “Super Admin” who has downloaded the details of three million Malaysians.
We also know that the contractor for Armed Forces Family Housing Development Project in Segamat Camp in Johor had started work costing RM3.31 million before the approval was given.
Around 1.1 million doses of the Covid-19 vaccine which expired in April 2022 were destroyed, and RM13 million was wasted in the procurement of 93 ventilators that could not be used.
Yes, it is a catalogue of shame and when does that change?
As of now, we have a “Super Admin” who has downloaded the details of three million Malaysians.
We also know that the contractor for Armed Forces Family Housing Development Project in Segamat Camp in Johor had started work costing RM3.31 million before the approval was given.
Around 1.1 million doses of the Covid-19 vaccine which expired in April 2022 were destroyed, and RM13 million was wasted in the procurement of 93 ventilators that could not be used.
Yes, it is a catalogue of shame and when does that change?
R NADESWARAN is a veteran journalist who writes on bread-and-butter issues. Comments: citizen.nades22@gmail.com
I suppose these leakages form part of the MR1.5 trillion debt that has been mentioned.
ReplyDeleteAnd yet, the MACC is not in the picture?