Most of the energy of political work is devoted to correcting the effects of mismanagement of government.
– Milton Friedman, American economist
Every time the Auditor General’s Report is published, many of us would be gasping in disbelief at the rampant abuse of public funds in our government agencies.
Sadly, such mismanagement is still going on and has gotten worse, in some cases. Most of us must be wondering whether those directly responsible for previous mismanagement cases have been dealt with in accordance with the law of the land.
It’s true that corruption can be a significant issue in many contexts, including within government agencies. Indeed, weak monitoring and accountability mechanisms can create opportunities for corruption.
Then, there is also the nagging question on whether our legal systems are effective because if they are ineffective in punishing corruption, it can encourage more of it. This is one key factor.
Just last November, the Auditor-General’s Report 2022 revealed that more than RM600 million in losses of public funds were reported from 16 performance audits conducted on 14 ministries involving RM208.882 billion.
According to the report, 13 performance audits amounting to RM207.352 billion were in the activities or programmes category, one amounting to RM316 million in the projects category, and two audit activities amounting to RM1.214 billion involving ICT systems.
Of the 16 performance audits, three each were on the Rural and Regional Development and Home Ministries, and two were conducted on the Agriculture and Food Security Ministry.
One audit each was conducted on the Natural Resources, Environment and Climate Change Ministry; Works Ministry; Local Government Development Ministry; Transport Ministry; Health Ministry; Plantations and Commodities Ministry; Investment, Trade and Industry Ministry; Education Ministry; Finance Ministry; Youth and Sports Ministry; and Human Resources Ministry.
The report showed 11 cases failed to meet the objectives of the project or programme while the performance level of three could not be ascertained.
Just look at the number of ministries on the list. It seems that almost the whole government machinery is prone to corruption and other malpractices.
Hence, I think public allegations that many civil servants are untrustworthy and opportunistic are not way off. In my mind, I have a list of four most corrupt government departments in the country and so far, from reported cases over the years, my list has not been proven wrong.
What did we hear in recent days from the Auditor-General and the Public Accounts Committee (PAC)?
The Auditor-General’s Department found that the National Professors Council (NPC), a government-funded council of professors in Malaysian universities, has abused its funding.
This included paying large allowances totalling RM207,000 to the permanent chairperson and deputy chairperson without ministerial approval.
If an entity managed by professors also failed its audit, who else can we trust to run our public agencies? I think this is not the first time the NPC has come under the AG and PAC radars and I doubt it will be the last.
The NPC is an entity under the Prime Minister’s Department which reports to the Higher Education Minister. The minister serves as NPC adviser.
The Tun Dr Mahathir Mohamad administration had in 2018 ordered the outfit to be shuttered but the NPC continued operating independently before it was recognised again by the Datuk Seri Ismail Sabri Yaakob government in Nov 2021.
Meanwhile, the AG’s Department has also urged the Human Resources Ministry to refer the management of the Human Resources Development Corporation (HRD Corp) to the relevant enforcement agencies after the government entity failed its audit.
Among others, auditors found mismanagement of hundreds of millions of ringgit involving training grants, investments and property purchases.
The probe also revealed instances of posh events, overseas trips and high-risk investments – fuelled by interests from accumulated levies paid by employers.
This includes events at five-star hotels, which even some management members deemed “promotional” or “ceremonial” in nature, testimonies by its current and former board and management members reveal.
J Solomon, general secretary of the National Union of Bank Employees (Nube), has expressed concern whether the RM1.8 billion spent on training is fully utilised for employer-facilitated training or government-conducted training for government projects.
He had earlier revealed that in 2023, HRD Corp collected RM2.2 billion but only expended RM1.8 billion on training programmes.
In Sarawak, SUPP secretary-general Datuk Sebastian Ting called for greater transparency and accountability for those handling public funds in government agencies.
He noted that the levy collection in HRD Corp has been substantial, increasing from RM475 million in 2020 to RM2.13 billion in 2023 and wanted those entrusted with such huge amounts to be totally transparent and accountable.
Exercising transparency and accountability will enhance public trust, identify and eliminate inefficiencies and waste and deters corruption and misuse of funds, Ting stressed.
Every time we hear of government agencies misusing public funds, it can evoke feelings of frustration, disappointment and mistrust.
Public funds are meant to serve the community and improve public services, so when they are misused, it can feel like a betrayal of the public’s trust and a failure of accountability and transparency.
Eventually, this misuse can undermine confidence in government institutions and lead to scepticism about the effective use of taxpayer money.
The views expressed here are those of the columnist and do not necessarily represent the views of Sarawak Tribune.
