More Preventative Measures in Place to Avoid Corporate Fraud in M’sia

Malaysian Auditor-General, Ambrin Buang, was reported to have said recently that the government has made significant strides in reducing fraud and corruption risks through rigorous preventive measures. Measures include the adoption of an open tender system to ensure transparency in government contracts, public accessibility of information on government tenders using the My Procurement portal and the passing of the Whistleblower Protection Act 2010.

Another measure is the introduction of an integrity pact where bidders are required to refrain from offering, demanding or accepting bribes to influence procurement decisions as well as enforcing swift and stiffer punishments along with accelerating corruption trials, according to Ambrin.

He was reported to have said in his opening remarks at the 2010 Corporate Fraud Conference in Kuala Lumpur recently. The conference was organised by the Institute of Internal Auditors Malaysia.

In addition, he also said there are indications that fraud cases in corporate Malaysia is on an increasing trend. Ambrin highlighted the billion dollar Port Klang Free Zone (PKFZ) scandal as an example of suspected public sector fraud and waste of a great magnitude.

Ambrin stated that fraud could be discovered in a timelier manner, or perhaps even avoided, if officials are more vigilant, competent and committed in discharging their responsibilities.