KUALA LUMPUR, Dec 5 — Malaysia’s anti-graft agency has opened an investigation into governance failures involving RM241.76 million in palm oil plantation lease procurements in Sabah and Kelantan linked to Felcra Berhad.

Minister in the Prime Minister’s Department (Law and Institutional Reform) Datuk Seri Azalina Othman Said said the Malaysian Anti-Corruption Commission (MACC) had taken note of findings in the National Audit Report (LKAN) Series 2/2025 and was now examining the matter.

“MACC is currently conducting an investigation into this issue. Therefore, the commission cannot disclose details of the probe, in line with subsection 29(4) of the MACC Act,” she said in a written parliamentary reply.

She added that the agency “remains committed to ensuring every allegation of abuse of power, misconduct and corruption is addressed firmly and transparently”, saying such efforts were essential to restoring public confidence in the integrity of public institutions.

Azalina was responding to Machang MP Wan Ahmad Fayhsal Wan Ahmad Kamal, who had asked whether MACC had opened an investigation paper following the auditor-general’s report on Felcra’s governance failures.

The LKAN 2/2025 report, tabled in the Dewan Rakyat in July, detailed extensive leakages and structural weaknesses across ministries, agencies and government-linked companies, covering audited projects worth RM48.87 billion.