Cooking oil subsidies: Ministry official denies being probed by MACC

 

The Domestic Trade and Cost of Living Ministry’s secretary-general Azman Mohd Yusof confirmed he was called in by the MACC over allegations that the ministry overspent on cooking oil subsidies last year.

However, he said he was not being investigated over the matter but merely had his statement taken on the distribution process of cooking oil subsidies.

“I was called in last year and it was not for a case. Instead, MACC called me in to get my statement on the process that happens in distributing the cooking oil subsidies.

“I do not know why the news about this issue was released again. Based on my reading, there are details in the report that should not have come out because it is classified, given that the information is related to the investigation which may also have been leaked.

“I am ready to cooperate with anyone including Bukit Aman, seeing as so far I have also received good cooperation from them with helping me expose many smuggling cases, specifically for cooking oil and diesel,” said Azman (above), as reported by Berita Harian last night.

Malaysiakini previously reported that Azman last year approved a cooking oil subsidy totalling about RM9 million to over 20 companies even though the quota has already been exhausted.

In two letters sighted by Malaysiakini, Azman’s office gave approval to two of these companies on Nov 21 last year. It says the government will supply the two companies with 150 tonnes of subsidised cooking oil per month for five years, pursuant to the application they made in April of that year.

The letters also show the two companies sharing the same address in Kuala Lumpur.

Raising suspicions

For context, the 15th general election was held on Nov 19 last year, but Anwar Ibrahim was not sworn in as prime minister until Nov 24.

Sources indicated that the circumstances surrounding the cooking oil subsidy approval raise suspicions – given its timing during the transition of power, the over-expenditure of the quota and the two companies sharing the same address.

Another source also said Azman had gone 5,439 tonnes over the quota in November last year.

The ministry has since refuted claims that it overspent on cooking oil subsidies last year.

The ministry clarified that the expenditure on the commodity only reached the range between 88 and 99 percent.

However, due to operational purposes, the ministry said the government had to approve additional quotes to ensure a sufficient supply of packet cooking oil in the market.

Azman reiterated this, saying he approved the additional quota to ensure sufficient supply in the market which was in line with the law.

“For example, in the law, there are powers given to the supply officers, that is the secretary-general to decide and usually the secretary-general will get views from senior officers first, through a committee or special papers.

“That is the process accorded under the law. So, there were no decisions that went against the laws,” he said.

Instead, he believes the issue was raised again due to dissatisfaction with new instructions given to officers in the ministry to review the old regulations, process and standard operating procedures which are seen to no longer be appropriate. - Mkini