'Be fair to UiTM, take action against Zahid and his ministry too', Guan Eng pushes MACC

DAP's Lim Guan Eng has urged the Suruhanjaya Pencegahan Rasuah Malaysia (SPRM) to investigate allegations of excessive spending by the Ministry of Rural and Regional Development (KKDW), led by Deputy Prime Minister Zahid Hamidi. The DAP advisor claimed that such actions should be treated similarly to those taken against the Universiti Teknologi MARA (UiTM) for awarding RM260 million to UiTM Holdings Sdn Bhd without ministerial approval, as revealed by the National Analysis of Public Finance (PAC).

Currently, SPRM is examining the losses incurred by UiTM Holdings in 2023. Lim argued that given SPRM is currently probing UiTM Holdings, it too must investigate the allegations of overspending by the ministry under Zahid's leadership. The former finance minister contended that if SPRM fails to take action due to Zahid's position, it would be highly unfair to UiTM.

Zahid and his ministry should be held accountable for exceeding approved budgets, as he stated in a statement. This move aims to prevent other ministries from repeating similar mistakes that could weaken the nation's financial resources and stability, according to Lim. Earlier this month, Zahid expressed disappointment over delayed payments to contractors working on the ministry's projects, stating that some contractors under his control have had to cut their losses due to cash flow issues.

He noted that some contractors under his ministry still await payment despite completing work and reaching project milestones as outlined. The next day, Perbendaharaan Deputy Secretary-General Johan Mahmood Merican revealed that contractors managing rural development projects have been experiencing delayed payments, as much of the ministry's budget for road projects in 2023 was already allocated, with RM1.8 billion spent compared to the approved RM1.1 billion, RM2 billion in 2024 compared to RM1.3 billion, and RM2.3 billion in 2025 compared to RM1.6 billion.

Prime Minister Anwar Ibrahim subsequently instructed both ministries to discuss and resolve the issue amicably. Lim emphasized that the ministry's overspending from 2023 to 2025 amounted to an additional RM2.1 billion, which he called irresponsible for circumventing established financial procedures and practices that could prompt legal penalties.