Prime Minister Datuk Seri Anwar Ibrahim has called for the probe on the controversial Littoral Combat Ship contract to Boustead Naval Shipyard to continue as the actions taken earlier were incomplete.
In a Twitter post, the Prime Minister said the revelation made in the investigation was insufficient and that further action must be taken to reveal the real cause of the delay and failure. The Defense Ministry portfolio is currently held by Umno leader Dato Seri Mohammad Hassan who has kept mum over the case but instead revealed updates on the progress of the construction.
Upon assuming the job, Hassan in December 2022 said the billion ringgit navy contract for battleship building, the Littoral Combat Ship project will be continued but subject to a review. Adding that he needed to be briefed to get a clearer picture of the multi-billion ringgit project which had been hit by delays.
“I will get a briefing from the relevant parties so that I have a deeper understanding of the background and issues involved. We will ensure that the ships are built; no point talking about history. That is important because it is a strategic asset of the Malaysian Armed Forces (MAF),” he said.
In January 2022, the Malaysian Anti-Corruption Commission detained two chief executive officers after finding new leads in its investigation into the procurement of six littoral combat ships to be built by Boustead Naval Shipyard Sdn Bhd.
Both individuals were suspected of committing malpractice and receiving bribes through payments to three companies abroad. One of them is also suspected of receiving bribes from a sub-contractor appointed to handle the project, the source added.
It added that the case investigation is now focused on offences committed under Section 16 of the MACC Act for receiving bribes and also Section 409 of the Penal Code for criminal breach of trust. The Section carries an imprisonment term of not less than two years and not more than 20 years, along with whipping and also a fine.
The exposure came to light when in November 2021, the Royal Malaysian Navy Veterans Association president First Admiral (R) Mohamad Imran Abd Hamid lodged a report with the top agency concerning a project to construct six LCS which failed to be delivered as scheduled.
The project, worth RM9.128 billion, was awarded to BNS by the government through the Ministry of Defence, with RM6 billion already paid.
