Defence ministry to comply with PM’s call for contract approval freeze

Defence ministry to comply with PM’s call for contract approval freeze

Minister Khaled Nordin says they are obtaining clarification regarding the directive.

Khaled Nordin said the defence ministry will assess the implications of the proposed freeze on procurement that is ongoing and those already signed. (Bernama pic)
PETALING JAYA:
Defence minister Khaled Nordin says his ministry will comply with Prime Minister Anwar Ibrahim’s directive for a freeze on approvals for military procurement contracts until the approval process is fully scrutinised.

Khaled said his ministry is obtaining clarification regarding the directive and will review it in accordance with the applicable frameworks, regulations and laws.

He said the ministry will also thoroughly assess the implications of the decision on ongoing procurement, including contracts already signed.

“In reviewing this matter, the ministry must give serious consideration to ensuring that the level of readiness and continuity of national defence operations remain intact and are not affected,” he said in a statement.

Khaled said the ministry will also take its existing contractual obligations, current operational requirements, and the nation’s overall security interests into account when assessing the implications of the freeze.

As announced earlier this week, he said, the ministry is also reviewing measures to improve its procurement process to strengthen governance and prevent any leakages in the future.

Earlier today, Anwar called for a freeze on approvals for military procurement contracts until the approval process is fully scrutinised for compliance with standards and regulations.

He said that while the government will not interfere in the ongoing investigations by the Malaysian Anti-Corruption Commission, there is a need for “strict and thorough” action.

He said all procurement processes must also be reviewed and revised to ensure full compliance with the law.

The armed forces have come under scrutiny recently over allegations of corruption and abuse of power among senior officers, particularly concerning military procurement projects and tenders.

MACC chief Azam Baki said yesterday the anti-graft agency will likely propose criminal charges against several senior officers following investigations into a top armed forces officer and a cartel linked to army procurement contracts.

He said the procurement contracts probe has seen MACC seize RM1.3 million in cash, RM721,000 in foreign currencies and 66 gold plates worth a total of RM1.7 million. It has also frozen bank accounts worth a total of RM4.7 million.

Azam also said the investigations were sensitive not only because of the large sums involved, but the seniority of the officers implicated.

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