KL CHRONICLE: Kedah government told to explain losses reported by Auditor-General

Monday, October 22, 2012

Kedah government told to explain losses reported by Auditor-General


ALOR STAR, Oct 22 — The Kedah government must explain to the public the Auditor-General’s Report on the numerous leakages and losses by state government-linked companies.

Kedah Umno chairman Datuk Ahmad Bashah Md Hanipah said all losses as revealed in the report could not be ignored as it involved a huge sum.

“It becomes an issue because many more state government projects are experiencing losses especially a company which was allowed to make a big loan to carry out business in Papua New Guinea.

“All these shortcomings must be explained. We want the state government to take action against the individuals and company managers involved instead of just keeping quiet,” he told reporters here today.

He said the state government was earnestly investing the public funds, in a short span of time, in Papua New Guinea but it did not benefit the state.

“I believe the people will punish the state government in the coming general election. But, prior to that, we will bring the issue of losses by GLCs to the State Assembly on November 20. Questions related to the audit report will be raised,” he said.

Ahmad Bashah said he was informed that the state government also blamed the Kedah Civil Service over the issue of housing projects which experienced losses as reported in the Auditor-General’s Report. 

“Take action if the officers are wrong but the mentri besar and state government who are in power must be responsible for all weaknesses and should not point fingers at others,” he added. 

The 2011 Auditor-General’s Report recently revealed that the investment in a timber project in Papua New Guinea incurred losses to the extent the company concerned had to take a RM135 million bank loan. 

The public low-cost housing maintenance project was reported to have issued contracts and made payments which were questionable. — Bernama

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