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Primary School Construction Projects

Primary School Construction Projects

a. Primary education is a continuation of pre-school education. To ensure that teaching and learning process is conducted in a conducive, comfortable and safe environment, the Ministry of Education Malaysia (Ministry) has implemented 28 construction projects with a total cost of RM430.2 million under the Ninth Malaysian Plan (RMKe-9). As at 31st March 2016, a total of 26 primary schools have been completed and the remaining 2 were still under construction.

b. Audit carried out from January to April 2016 revealed that the financial performance was in accordance with work progress; performance bonds, public insurance policy and insurance of works were managed in a proper manner; and school projects were completed and operated. However, there were some weaknesses identified as follows:

i. professional fees no.1 paid to 2 consultants amounting to RM0.19 million for the supervision of SK Taman Scientex and 3 consultants amounting to RM0.63 million for the supervision of SK Padang Garuda were made based on the letter of intent/Letter Of Acceptance without contracts;

ii. 790 days extension of time was approved by the Ministry due to delay in approval of Variation Order which has resulted delay in interim payments to MRA Construction Sdn. Bhd. for SK Padang Garuda;

iii. assets and inventories were acquired earlier than the expected school opening date between 192 to 395 days for SK Taman Scientex and 1,855 to 2,277 days for SK Padang Garuda; and

iv. allocation for the procurement of assets and inventories for SK Taman Scientex were used by 47 the State Education Department (SED), District Education Office (DEO) and other schools.

1 Comment on this Post

  1. SilverEdge

    It was identified such as professional fees no.1 paid to 2 consultants amounting to RM0.19 million for the supervision of construction was approved without contract. A huge amount of money was paid to 2 consultants agency without any standard or legal contract, and the Ministry was unable to explain clearly how the consultancy fee are charge in the project, so it’s obvious that corruption may occur. Furthermore, for a construction of primary school wasn’t a huge project however it requires 790 days extension of time and yet it was approved by the Ministry due to delay in approval of Variation order. I think they should enhance in monitoring on contract management and extension of time.

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