RM68.81m in contractor advance payments still unrecovered, Audit Dept finds

The Auditor-General's Report highlighted that RM68.81 million in contractor advance payments remain unrecovered across 24 projects under five Malaysian ministries, with 86.7% of the debt outstanding for over a decade.

The ministries involved include Education, Defense, Home Affairs, Transport, and Works.

The audit noted compliance with financial regulations but raised concerns about delayed recovery, especially from dissolved or wound-up companies.

Recommendations include enhanced recovery actions and accurate reporting to protect the government's financial interests and ensure timely debt collection.

KUALA LUMPUR, Oct 5 — A total of RM68.81 million in contractor advance payments (WPK) involving 24 projects under five ministries remains unrecovered, with 86.7 per cent of the amount outstanding for more than a decade, according to the Auditor-General’s Report (LKAN) 2/2026.

The five ministries involved are the Ministry of Education (KPM), Ministry of Defence (MINDEF), Ministry of Home Affairs (KDN), Ministry of Transport (MOT) and Ministry of Works (KKR).

The audit found that, overall, the management of WPK by the five ministries complied with the prevailing circulars and financial regulations governing eligibility requirements for contractor advance payments.

“However, the outstanding WPK receivables remained a concern, particularly as a significant portion had been outstanding for more than 10 years and involved companies that had either been dissolved or wound up.

“RM59.63 million out of RM68.81 million in WPK receivables outstanding for more than 10 years involved 21 companies,” the report read.

The report stated that five of the companies had been dissolved, involving WPK receivables amounting to RM10.68 million, while 13 companies had been wound up, involving outstanding WPK of RM27.76 million.

Another three companies remained active, with outstanding WPK amounting to RM21.19 million.

The audit noted that the RM10.68 million owed by dissolved companies could not be recovered, while delays in taking follow-up action against companies that had been wound up had also hindered efforts to recover the outstanding amounts.

Among the delayed actions was the submission of the Proof of Debt Form to the Department of Insolvency (MdI), which is necessary to establish the Government’s claim against companies undergoing winding-up proceedings.

Meanwhile, RM9.18 million in WPK receivables had been outstanding for less than five years, involving three companies that remained active.

The audit also uncovered a reporting issue involving RM5.67 million in WPK balances linked to two projects under KPM and MOT.

The amount had not been reported as WPK receivables, resulting in the actual position of outstanding WPK not being accurately reflected.

The audit called on the ministries to take immediate action to strengthen recovery efforts and ensure that the Government’s financial interests are protected.

For companies that had been wound up under KPM and KKR, the ministries were urged to follow up by submitting the Proof of Debt Form to MdI and obtaining the status of dividend distribution to safeguard the Government’s interests.

The audit also recommended that KPM and KDN take immediate action to initiate civil proceedings or issue letters of demand against companies that remain active if there had been a breach of contract.

Such action, it said, was necessary to ensure that statutory provisions relating to limitation periods were complied with and that the prescribed time limits were not exceeded.

For MOT, the audit recommended that WPK receivables be reported immediately once a Termination Notice is issued to a company.

This would ensure that the reported figures accurately reflect the actual outstanding WPK balance that remains to be recovered.

The findings underscore the need for ministries to strengthen monitoring and follow-up action on contractor advance payments, particularly where companies face financial difficulties, winding-up proceedings or termination of contracts, to prevent public funds from remaining outstanding for prolonged periods.

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审计长报告指出，在马来西亚五个部委的 24 个项目中，仍有 6881 万令吉的承包商预付款尚未收回，其中 86.7% 的债务已逾期十余年。

涉及的部门包括教育部、国防部、内政部、交通部和工程部。

审计报告指出公司在财务方面符合相关规定，但对款项回收延迟表示担忧，尤其是对已解散或清算的公司而言。

建议包括加强追讨措施和准确报告，以保护政府的财政利益并确保及时收回债务。

吉隆坡，10 月 5 日——根据审计长报告 (LKAN) 2/2026，涉及五个部门 24 个项目的承包商预付款 (WPK) 总额达 6881 万令吉仍未收回，其中 86.7% 的款项已逾十年未付。

涉及的五个部门分别是教育部 (KPM)、国防部 (MINDEF)、内政部 (KDN)、交通部 (MOT) 和工程部 (KKR)。

审计发现，总体而言，五个部委对 WPK 的管理符合现行的关于承包商预付款资格要求的通知和财务规定。

“然而，WPK 的未偿应收账款仍然令人担忧，尤其是其中很大一部分已经逾期超过 10 年，并且涉及已经解散或清算的公司。

报告称：“超过 10 年未结清的 6881 万令吉 WPK 应收账款中，有 5963 万令吉涉及 21 家公司。”

报告指出，其中五家公司已被解散，涉及 WPK 应收账款 1068 万令吉；另有 13 家公司已被清算，涉及未偿 WPK 款项 2776 万令吉。

另有三家公司仍在运营，未偿还的WPK总额达2119万令吉。

审计报告指出，已解散公司所欠的 1068 万令吉债务无法收回，而对已清算公司采取后续行动的延误也阻碍了追回未偿款项的努力。

被拖延的行动之一是向破产部门 (MdI) 提交债务证明表格，这是政府对正在进行清算程序的公司提出索赔所必需的。

与此同时，涉及三家仍在运营的公司，其应收账款总额为 918 万令吉，逾期时间不到五年。

审计还发现了一起与 KPM 和 MOT 下属两个项目相关的 WPK 余额 567 万令吉的报告问题。

该金额未作为 WPK 应收款上报，导致未结 WPK 的实际状况未得到准确反映。

审计报告呼吁各部委立即采取行动，加强复苏工作，并确保政府的财政利益得到保护。

对于在 KPM 和 KKR 监管下被清算的公司，各部委被敦促向投资部提交债务证明表格，并获取股息分配情况，以维护政府利益。

审计还建议，如果存在违反合同的情况，KPM 和 KDN 应立即采取行动，对仍在运营的公司提起民事诉讼或发出索赔函。

声明称，采取此类行动是必要的，以确保有关诉讼时效的法定规定得到遵守，并且规定的时限不被超过。

对于 MOT，审计建议一旦向公司发出终止通知，就应立即报告 WPK 应收账款。

这将确保报告的数字准确反映尚未收回的实际 WPK 余额。

调查结果强调，各部委有必要加强对承包商预付款的监督和后续行动，尤其是在公司面临财务困难、清算程序或合同终止的情况下，以防止公共资金长期拖欠。

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