PETALING JAYA: A group of senior officials from a federal ministry is on the radar of the Malaysian Anti-Corruption Commission (MACC) over the alleged stealing of millions of ringgit meant to benefit the hardcore poor and students, among others.

A report in the New Straits Times revealed that the officials had conspired with at least 10 private companies, that were supposed to execute projects and programmes that would benefit millions of people, and in the process diverted funds of up to RM100 million to their own pockets.

“We are talking about massive amounts of leakages of government funds as it involved tens of projects and initiatives that were supposed to be implemented to help the poor, including those that cost between RM500 million and RM1 billion,” a source close to the investigation told the daily.

According to NST, MACC started tracking the perpetrators last year. However, sources said the anti-graft agency had yet to find sufficient evidence to nab the officials and company directors involved as they were believed to have been “careful not to leave a paper trail” and also “covered each other’s backs”.

Some of the suspects in the scheme were believed to have slipped up though with Bank Negara Malaysia’s Suspicious Transaction Report alert system picking up on the movement of large amounts of money in their accounts.

The paper said this had triggered the investigations that have been carried out since.

The companies hired for the multi-million ringgit projects, to improve public welfare and local infrastructure, are said to have declared the work completed although the work would not have been carried out at all.

According to the daily, one of the initiatives from which funds had been siphoned was the Poor Students’ Food Programme.

“This case is not just about stealing from funds that were supposed to go to infrastructure development.

“Even the food programme for poor students was not spared,” NST quoted a source close to the investigation as saying.

“They have been doing it for a few years now and were siphoning funds off numerous projects that never materialised.

“There are also projects which were not carried out according to specifications. Cutbacks were done indiscriminately,” the source told NST, adding that MACC was currently tracking five ministry officers believed to be involved.