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State audits flag governance weaknesses despite clean financial opinions

KUALA LUMPUR, Oct 5 — Six states received an Unmodified Opinion, while another six received an Unmodified Opinion...

State audits flag governance weaknesses despite clean financial opinions

The Auditor General's Report (LKAN) 2/2026 has revealed governance weaknesses in the six states that received an Unmodified Opinion, despite the financial opinions being clean. The National Audit Department (JAN) also issued Auditor General's Certificates for 298 State Agencies for 2024 and reported the results of performance audits on 22 State Government programmes and activities.

Detailed audits were conducted on 12 State Government-owned companies across 11 states, revealing significant issues in corporate governance compliance. JAN's findings have led to the resolution of 12,117 issues, amounting to RM920.91 million in revenue collection and repayments to the government. All issues raised in LKAN are continuously monitored on the Auditor General’s Dashboard (AGD) until resolution measures are implemented.

JAN's statement highlights that the Auditor General remains independent and committed to providing audit opinions and reporting findings without compromise, emphasizing that the LKAN is an instrument to drive corrective action, strengthen governance, and ensure accountability for every ringgit of public funds.

Written by urgent.news from Malay Mail's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

Also reported by 1 other outlet

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