Malaysia’s anti-graft agency has seized RM2.4 million in cash as part of an investigation into alleged bribery linked to army procurement contracts.
The seizure was carried out on 7 January after a civilian connected to the case attempted to move the money between two residences. The operation forms part of a wider probe into suspected cartel activity involving defence supply tenders.
Malaysian Anti-Corruption Commission chief commissioner Tan Sri Azam Baki confirmed the seizure, saying: “We acted on information received yesterday. This morning, I was informed that our officers had located and secured approximately RM2.4 million, which the individual was attempting to move. This cash belongs to one of the suspects in the case.”
On the same day, former army chief General Tan Sri Muhammad Hafizuddeain Jantan and his wife presented themselves at MACC headquarters in Putrajaya to provide statements. Azam Baki said the former officer had been discharged from hospital the previous day after receiving treatment for high blood pressure.
The investigation is being conducted under Section 17(a) of the MACC Act 2009 and has intensified in recent weeks. On 6 January, a magistrate granted a five day remand order until 10 January for 17 company directors suspected of operating a cartel to manipulate army procurement tenders. The suspects, comprising nine men and eight women aged between 20 and 60, were detained while giving statements at MACC headquarters.
Key developments in the investigation
- In late December 2025, MACC raided several companies suspected of involvement and froze six bank accounts linked to a senior officer and family members.
- On 23 December 2025, officers visited the Ministry of Defence to examine projects awarded through open tenders and those handled by the Army Responsibility Centre.
- Between 2023 and 2025, investigators identified 158 procurement projects valued at more than RM500,000 each, along with 4,521 smaller projects. Several companies were found to have repeatedly secured high value contracts.
- In late December 2025, Muhammad Hafizuddeain Jantan was placed on leave pending the outcome of the probe.
- On 1 January 2026, Azhan Md Othman was appointed Chief of the Malaysian Army.
Sources familiar with the investigation said between 26 and 40 companies are under scrutiny for allegedly paying bribes to secure supply and maintenance contracts.
MACC said it continues to trace assets and financial flows linked to the case, with further action expected as evidence is analysed.
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