KUALA LUMPUR: The Malaysian Anti-Corruption Commission (MACC) today said it will summon individuals involved in the decisions to award contracts for the supply and management of government vehicles to Spanco Sdn Bhd (Spanco).
Below is what we know so far about the case:
What is Spanco?
Spanco Sdn Bhd (Spanco) is the largest independent provider of fleet management solutions in the country, which was established in 1988. In 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.
What is the Spanco issue all about?
In 2019, Spanco's concession agreement with the government expired. Following this, an open tender was initiated by the government for the contract to supply, maintain and manage its fleet of official vehicles for the next 15 years. Proposals were reportedly received from at least seven companies.
In the same year, Berjaya Group and Naza Corporation Holdings Sdn Bhd formed a consortium to jointly bid for the lucrative contract.
However, Berjaya's founder, Tan Sri Vincent Tan in July 17 last year filed a lawsuit against the Finance Ministry (MoF) and Spanco regarding a terminated Letter of Intent (LoI) and claimed that the contract had been awarded to Spanco instead, despite their higher bid.
Tan had said the consortium had received the LoI from the ministry to replace Spanco, but the contract was terminated unfairly before the accrual award was set to be announced.
Last month, MACC conducted a raid on the residence of a businessman with the title of '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.
Who is involved in the scandal?
According to MACC Chief Commissioner Tan Sri Azam Baki, all individuals involved in the decisions to award contracts for the supply and management of government vehicles to Spanco will be summoned to get their statements recorded.
This includes the former prime minister and finance minister during the period when Spanco was given the contract.