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MACC clears YTL Communications of graft in RM4bil 1BestariNet saga | Scoop
YTL Power International Bhd previously clarified that the company was awarded the 1Bestarinet project through an open tender process, brushing off accusations of misconduct. - YTL pic, December 18, 2024
News

MACC clears YTL Communications of graft in RM4bil 1BestariNet saga

The anti-graft agency concludes its probe, finding no wrongdoing by the company in the controversial education broadband project

Scoop Reporters
Updated
6:23 PM MYT

 

KUALA LUMPUR – The Malaysian Anti-Corruption Commission (MACC) has cleared YTL Communications Sdn Bhd of wrongdoing relating to the contentious multi-billion ringgit 1BestariNet project.  

According to YTL Power International Bhd, which owns 60% of YTL Communications, the former had received confirmation from the anti-graft agency on the conclusion of its investigation. 

“(MACC) has determined that no charges will be pursued against YTL Communications,” the parent company said in a Bursa Malaysia filing today. 

In October, YTL Power insisted it was awarded the 1BestariNet project through an open tender process, highlighting that its bid was the most technically compliant and cost-effective among 18 proposals.  

The company asserted it had adhered to all contractual obligations since the project’s inception, adding that it was seeking legal advice to protect its reputation against what it termed “malicious accusations” impacting public perception. 

The purpose of the 1BestariNet project, a nationwide educational broadband initiative which began in 2011, was to develop internet connectivity and a virtual learning environment (VLE) platform in schools. 

However, it came under scrutiny for failing to achieve its objectives, amid complaints that it failed to provide broadband access with the speed required for efficient classroom learning.

In September, MACC announced it had opened an investigation into the project and YTL Communications, as the project’s contractor, based on several sources of information, including Parliament’s Public Accounts Committee’s report on the matter.

The graft buster’s probe is understood to have centred on claims involving false details related to RM2.7 billion in payments as well as other criminal elements under the MACC Act 2009.

MACC also noted that although the tender for 1BestariNet was originally  for 15 years for a contract sum of RM4.07 billion, it was shortened to seven years and six months without any reduction in contract value.

Deputy Education Minister Wong Kah Woh told the Dewan Rakyat on November 11 that the ministry has resumed negotiations with YTL Communications to resolve ongoing issues regarding its communication towers. 

Wong said that although YTL Communications’ contract for 1BestariNet ended on June 30, 2019, there are still several issues regarding the rental rates and electricity charges for communication towers which have yet to be resolved. – December 18, 2024 

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