Probe over-expenditure by Zahid’s ministry, Guan Eng urges MACC

DAP adviser Lim Guan Eng has urged the Malaysian Anti-Corruption Commission (MACC) to investigate the purported over-expenditure of the rural and regional development ministry helmed by deputy prime minister Ahmad Zahid Hamidi.

Lim said this was similar to how the Universiti Teknologi Mara (UiTM) management approved a RM260 million injection into UiTM Holdings Sdn Bhd without the finance minister’s approval, as revealed by the Public Accounts Committee.

MACC is currently probing UiTM Holdings’ 2023 losses.

Lim said since MACC was probing UiTM Holdings, the anti-graft agency should also investigate the allegation that Zahid’s ministry spent beyond its budget.

The former finance minister said failure to do so risked raising perceptions of double standards due to Zahid’s position as the deputy prime minister.

“Zahid and his ministry should face action for allowing expenditure to exceed approved allocations. This would prevent other ministries from repeating the same misconduct, which could jeopardise the nation’s coffers and financial stability,” the Bagan MP said in a statement.

Earlier this month, Zahid voiced frustration over delayed payments to contractors carrying out ministry projects, saying some were forced to shut down due to cash flow issues.

The Umno president said some contractors under his ministry were still waiting to be paid despite completing their work and meeting the required project milestones.

The following day, Treasury secretary-general Johan Mahmood Merican said contractors handling rural development projects faced delayed payments because most of the ministry’s allocation for rural roads this year had already been spent.

Johan said the ministry had 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.

Prime Minister Anwar Ibrahim later ordered the two ministries to discuss and settle the issue amicably.

Lim said the ministry’s spending from 2023 to 2025 accumulated RM2.1 billion in over-expenditure, which he described as no small amount.

“This is an irresponsible breach of financial procedures that can lead to legal action,” he added.