Crime & Courts

SPANCO CASE TIMELINE

What is Spanco?

Spanco Sdn Bhd (Spanco) is the largest independent provider of fleet management solutions in the country established in 1988.

1993

- Spanco was given a 25-year concession agreement with the government, which allowed the company to provide and lease cars with full maintenance services for the government.

2018

- Spanco's agreement with the government expires in December.

2019

- The government opens tenders to companies for the concession to supply and manage the government's fleet of vehicles for the next 15 years. In the same year, Berjaya Group and Naza formed a consortium to jointly bid for the lucrative contract.

2020

- Finance Ministry announces it has chosen a new concessionaire to manage its fleet of vehicles, but does not name it.

July 17,2023

- Berjaya Group founder Tan Sri Vincent Tan files a suit against the government and Spanco over a multi-million ringgit vehicle fleet concession. Tan claimed that the group, in a consortium with Naza Group, had been picked to manage the fleet concession by the previous administration through a Letter of Intent (LoI) issued in 2018 and that it was terminated unfairly before the actual award was set to be announced. He had said Naza-Berjaya consortium had won the bidding with the lowest offer but the LOI was terminated after the government changed and Tan Sri Muhyiddin Yassin became the prime minister.

Tan claimed the tender was given to Spanco when their tender was RM700 million cheaper than the former.

Jan 19, 2024

- The Malaysian Anti-Corruption Commission (MACC) raids the residence of a businessman with the title Tan Sri for an investigation into allegations of corruption involving the procurement and management of the government's fleet of vehicles worth RM4.5 billion.

The graftbusters also raided four companies including a government vehicle supplier.

Over 100 private accounts and companies under the companies' control were also reportedly obtained by the MACC for further investigation. However, no account freezes were imposed.

Feb 5,2024

- Prime Minister Datuk Seri Anwar Ibrahim said he had recognised irregularities in the contract which proved detrimental to the country and disadvantaged civil servants.

Feb 6, 2024

- The Malaysian Anti-Corruption Commission (MACC) chief commissioner Tan Sri Azam Baki said those involved in the decisions to award contracts for the supply and management of government vehicles to Spanco will be summoned to assist in the investigation. He said they will look at the company's history during its establishment between 1998 or 1999 and anyone involved during that period, including the prime minister and finance minister to have their statements recorded.

Azam had said the issue was reported to MACC due to a dispute following the cancellation of a contract involving one company and how Spanco was consistently awarded contracts since the 1990s.

Feb 22,2024

- MACC chief commissioner Tan Sri Azam Baki said a probe was ongoing with a focus on contracts signed between 2020 and 2021. He did not rule out summoning more people, including a former prime minister, if necessary to facilitate investigations into the case. Azam said a finance minister during that time had been summoned to have his statement recorded.

Feb 24,2024

- Former prime minister Tan Sri Muhyiddin Yassin denies allegations of involvement in misconduct related to the awarding of government vehicle supply and maintenance contracts to Spanco.

March 19, 2024

- The government reaffirmed its ongoing contract with Spanco for the management of its vehicle fleet. The Finance Ministry, in a parliamentary written reply, said the government has always ensured the procurement contract with Spanco for supplying, maintaining and managing the government's vehicle fleet was carried out according to the requirements, complies with procurement procedures and followed all necessary due diligence.

April 3, 2024

- Spanco chairman Tan Sri Tan Hua Choon is charged at the Sessions Court under Section 420 of the Penal Code for cheating the Finance Ministry's tender committee to award Spanco a contract valued RM3,966,386,628 through the Public Private Partnership Unit for a tender titled "Request For Proposal For Supply, Repair, Maintenance and Management of Government of Malaysia Vehicle Fleet." He claims trial.

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