Chong lodges MACC report on ministry’s RM2.1bil over-expenditure

Kampar MP Chong Zhemin lodged a report with the Malaysian Anti-Corruption Commission (MACC) today over a RM2.1 billion discrepancy between approved allocations and expenditure by the rural and regional development ministry.

Chong said he lodged the report following MACC chief commissioner Abd Halim Aman’s statement on Oct 1 that the anti-graft agency would investigate the over-expenditure by deputy prime minister Ahmad Zahid Hamidi’s rural and regional development ministry if a formal complaint was lodged.

“That official complaint has now been lodged. MACC must keep its word and commence an independent investigation,” he said in a statement.

“I urge MACC to establish the facts without fear or favour. If evidence of an offence exists, action must be taken regardless of position or political status.

“The repeated expenditure discrepancies, unpaid contractors, additional funding and unexplained revisions provide sufficient grounds for MACC to investigate whether corruption, abuse of power, conflicts of interest, procurement irregularities or concealment were involved.”

The Treasury previously revealed that Zahid’s ministry consistently exceeded its approved allocation for rural road projects in recent years, with RM1.8 billion spent in 2023 against an approved allocation of RM1.1 billion, RM2 billion in 2024 against RM1.3 billion, and RM2.3 billion in 2025 against RM1.6 billion.

This resulted in a cumulative RM2.1 billion difference between approved annual allocations and actual expenditure.

Chong said MACC’s investigation should establish whether contracts and financial commitments were entered into before sufficient funding was lawfully approved, and whether there were any irregularities in contractor selection, contract awards, payment certification or financial records.

He also called on MACC to obtain the relevant Treasury warrants, internal transfer approvals, financial reconciliations and contract records.

He said the documents should establish when allocation adjustments were approved and whether the approvals were obtained before or after contractual liabilities accumulated.

Chong also said the finance ministry had stated that the rural and regional development ministry’s 2026 allocation was almost fully spent by June, resulting in difficulties paying contractors.

He said an additional RM300 million was subsequently approved, while savings from other ministries were being identified to cover the ministry’s excess commitments.

Chong also asked whether additional funding for the rural and regional development ministry had been provided through lawful transfers within its existing parliamentary appropriation.

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