KUALA LUMPUR, Dec 10 — Auditor-General’s Report 2019 Series 1 today revealed that RM101.14 million has been paid for the Taman Armed Forces Fund Board (LTAT) apartments and Bukit Jalil residences development project even though no contracts have been signed.
The audit that was carried out to determine if the development projects implemented were in compliance with the law and financial regulations also found that the Execution Bonds amounting to RM3.71 million were not extended for a period of 370 days, which is until February 19, 2022, in accordance with the extension of time granted.
The report further revealed that the late fine imposed by Perbadanan Perwira Harta Malaysia (PPHM) is less than 26 days, that is from January 5 to January 31, 2019 amounted to RM445,162.
As for the Bukit Jalil Residences, it was revealed that LTAT has paid a maintenance fee amounting to RM1.71 million for the period of 36 months from 2017 to 2019 for 88 Bukit Jalil residence unsold units.
For these shortcomings, the Auditor-General recommended that the project developers ensure that contracts are finalised immediately and signed so that the specifications and terms of the contract agreed can be enforced.
“Developers must also ensure that the 88 residential units at Bukit Jalil Residence are sold immediately to reduce the burden of maintenance charges.
“It must also streamline existing financial regulations so that it is in accordance with WP Treasury Circular 7.5, Regulation Procurement of Federal Statutory Bodies in force on October 1, 2019,” the report went on to suggest.
Auditor-General Datuk Nik Azman Nik Abdul Majid, in a statement earlier today, said a total of 15 performance audits were carried out on RM15.71bil worth of programmes, activities and projects at 12 ministries for the Auditor-General’s Report 2019 Series 1.
He said generally, all federal government programmes, activities and projects are implemented according to the set objectives, but there are still weaknesses, such as the target “output” and “outcome” that cannot be achieved or cannot be evaluated.
The audit is to assess whether government activities, projects and programmes have been implemented prudently, efficiently and effectively, as well as the extent of the objectives that these activities, projects and programmes have achieved.
It also aims to assess the extent where public money has been spent prudently, efficiently and effectively without waste and to get the best value for money.
