Wan Suraya Wan Radzi said these employees did not complete their studies in the stipulated time.

The sum is based on an audit carried out between 1999 and 2022.

The audit also found that 201 of the 259 scholarship holders who had breached the requirements had not been reported to JKI-PKSM, a committee under UiTM’s human resources department responsible for green-lighting action against those who owed the penalties.

Meanwhile, the A-G said, no action has been taken against 58 employees over this matter despite JKI-PKSM giving the go-ahead. The 58 employees owe a total of RM9.71 million in compensation after failing to complete their studies.

“There were delays in sending over the complete documents to UiTM’s legal advisers,” the 2021 Auditor-General’s Report read.

Wan Suraya said the delay in seeking compensation from 20 defaulters saw UiTM lose RM1.26 million as the latter could no longer recoup the sum due to the Limitation Act 1953.

Meanwhile, in a response to the A-G, UiTM said it had taken action against the 259 employees and that 86 had agreed to settle the compensation owed via salary deductions beginning February this year.

It said 166 were issued notices while 20 had their debt written off due to the Limitation Act. Meanwhile, legal action had been halted against 73 who had completed their further studies.