The Malaysian Anti-Corruption Commission (MACC) has conducted a large-scale investigation into the alleged existence of a cartel in the distribution and supply of rice fertilizer contracts, amounting to RM1.8 billion.
This investigation was followed by a series of raids carried out in Kuala Lumpur, starting with the headquarters of the organization involved, a ministry, and nine companies involved in the project.
This cartel has been in place for 30 months from 2021 to 2023 which is responsible for producing and distributing fertilizers to farmers across the country through state offices.
There are sources that confirm that the association uses two main methods to fulfill the contract received, which is to buy fertilizers directly from five producers and obtain raw materials from four suppliers.
MACC focused on the possibility of corruption and abuse of power by members of the board of directors who were involved in the selection of contractors for the contract because they had favored certain companies when making decisions.
Six officials from the ministry and the association have been called in for questioning, and possible arrest may happen to those officials.
MACC Chief Commissioner, Tan Sri Azam Baki, confirmed the ongoing investigation, emphasizing that this case is being investigated under Section 16, Section 18, and Section 23 of the MACC Act 2009.
