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Malaysia
This Week in AsiaEconomics

How Malaysia’s military tender scandal is bringing ‘opaque’ defence deals to light

The detention of senior figures in the anti-corruption probe is ‘highly significant and rare’ in Malaysia’s defence history, analysts say

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Malaysian army troops march in formation for National Day celebrations.  Photo: AP
Iman Muttaqin Yusof
Malaysia’s anti-corruption agency is pushing deeper into one of the country’s most opaque corners, the defence procurement system, in a widening investigation into allegations of cartel-like tender fixing, bribery and unexplained cash movements.

The Malaysian Anti-Corruption Commission (MACC) has in recent weeks expanded its investigation into the Defence Ministry following a whistle-blower’s claim that documents showed large monthly deposits into accounts linked to a senior military officer and family members.

The case has also drawn unusually direct intervention from Malaysia’s king, Sultan Ibrahim Sultan Iskandar, who is the supreme commander of the armed forces.

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In a rare statement issued on Wednesday after he met the newly appointed army chief, the monarch warned that corruption was “the main enemy” of the military’s credibility and again raised the issue of “middlemen” in defence dealings.

Former Malaysian army chief General Muhammad Hafizuddeain Jantan has been arrested in connection with the corruption investigation. Photo: AFP
Former Malaysian army chief General Muhammad Hafizuddeain Jantan has been arrested in connection with the corruption investigation. Photo: AFP

Investigators say they are looking into alleged payments made by contractors in exchange for lucrative projects. The initial findings indicate the suspects “are believed to have paid bribes to a senior army officer in exchange for securing supply and maintenance projects”, according to MACC.

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