Mindef lodges police report with MACC over purchase of helicopters
1 month ago, 13-Jun-2019
PUTRAJAYA: The Defence Ministry today lodged a report with the Malaysian Anti-Corruption Commission (MACC) over the purchase of six helicopters worth more than RM300 million in 2015, which has yet to be received by the Malaysian Armed Forces to date.
The report was filed by the ministry’s representative at the MACC Headquarters, here.
According to the ministry’s source, the McDonnell Douglas MD530Glightweight combat helicopters weresupposed to be received in two phases, namely two in July 2017, and the rest in December 2018.
The source said theterms of the purchase agreement did notsafeguardthe interests of the government, which included clauses such as‘the contract is valid for two years, or, until the local company appointed as the agent successfully delivers the helicopters.’
According to the source, the approval for the purchase of the military assetsin November 2015 was also not done according to set procedures.
“The contract was done via direct negotiation with the agency, while many terms of the contract were not favourable tothe government, for example, the contract was approved without any military specifications, a mandatory requirement in the purchase of military assets,” the source said.
He said McDonnell Douglas had also cancelled the local company’s contract as its agent in Malaysia by the time the helicopter purchase agreement was signed.
The source added the Malaysian government had already paid RM112.65 million, which was 35 per cent of the total cost of the acquisition, to the company. – Bernama