Article Search By :  Mr. Wan Muhammad Isam, Bahagian Audit Dalam

Source : https://www.sprm.gov.my/index.php?page_id=103&contentid=3803&cat=BKH&language=my

 

It is well known that Malaysia's position in the Corruption Perceptions Index (CPI) still has room for improvement. In the 2024CPI, Malaysia scored 50 points and ranked 57th out of 180 countries, unchanged from 2023.

Various national-level efforts are underway to enhanceMalaysia’s CPI performance. In fact, the government has established a Special Task Force on the CPI, led by the Chief Secretary to the Government, Tan Sri Shamsul Azri Abu Bakar.

Although corruption remains a serious issue, this does not mean that Malaysia lacks commitment in combating the crime.

In truth, Malaysia’s anti-corruption efforts are comprehensive. The country has a robust legal framework, effective agencies, and various initiatives to enhance integrity, governance, and corruption prevention. Malaysia’s efforts have even gained international recognition, particularly for its compliance with the United Nations Convention Against Corruption (UNCAC).

Malaysia's Involvement in UNCAC

UNCAC is an international convention under the United Nations Office on Drugs and Crime (UNODC), mandating member countries to implement comprehensive anti-corruption measures. It is a legally binding agreement adopted by the United Nations.

To date, UNCAC has 191 member states. Malaysia signed UNCAC on 9 December 2003 and ratified it on 24 September 2008.

UNCAC compliance assessments do not involve any ratings or rankings. Instead, they aim to assist member countries in fulfilling the Convention’s requirements.

Malaysia has undergone two rounds of UNCAC compliance reviews.

The first, between 2012 and 2013, evaluated compliance with Chapter 3: Criminalisation and Law Enforcement, and Chapter 4:International Cooperation. UNODC recognised eight best practices for Chapter 3and fifteen for Chapter 4.

The second review, conducted from 2016 to 2017,evaluated Chapter 2: Preventive Measures and Chapter 5: Asset Recovery. UNODC acknowledged nine best practices in Chapter 2 and six in Chapter 5. When UNODC recognises a country’s initiative as a best practice, it is a matter of pride. These practices are published on the official UNODC website for reference and emulation by other UNCAC member states.

10 Malaysian Best Practices

This article outlines ten key best practices from Malaysia that have been recognised by UNODC.

1. Mandatory Reporting of Corruption Under Section 25,MACC Act 2009
This section requires individuals to report any corruption-related transactionor attempt. Failure to do so is a criminal offence, punishable by up to 10years’ imprisonment, a fine up to RM100,000, or both.

For instance, on 2 December 2020, five ministry staff were fined between RM1,500 and RM2,000 for failing to report bribe offers ranging from RM200 to RM600 intended to expedite Ministry of Finance account applications via the e-Procurement system.

In the same legal context, UNODC also recognised the absence of a statute of limitations on corruption crimes in Malaysia, allowing prosecution regardless of time passed.

2. Establishment of Integrity Units (IU) in Government and Government-Linked Companies(GLCs)
These units are tailored based on corruption risk ratings conducted by MACC, categorised as high, moderate, or low. IUs serve as focal points in managing integrity, corruption prevention, and promoting good governance. So far, 455public agencies have set up IUs, and 292 have appointed Integrity Liaison Officers. In GLCs, IUs are called Integrity and Governance Units (IGUs), with262 GLCs having established them and 505 appointing liaison officers. MACC officers are also seconded to high- and moderate-risk agencies. In total, 97MACC officers have been deployed across 57 organisations.

3. Oversight of MACC by Five Independent Bodies
These include the Special Committee on Corruption (JKMR), Anti-Corruption Advisory Board (LPPR), Complaints Committee (JKA), Operations Review Panel (PPO), and Consultation and Corruption Prevention Panel (PPPR).

As part of Chapter 3’s evaluation, UNODC recognised PPO’s role in reviewing cases where the Public Prosecutor has decided not to proceed and making recommendations without interfering with prosecutorial discretion. Consistent with transparency principles, UNODC also acknowledged the publication of annual reports by these panels and committees as a best practice.

4. Establishment of Special Corruption Courts Since2011
Judges are directed to conclude cases within a year. They are held accountableif they fail to meet this timeframe or do not take initiative to reduce casebacklogs through pre-trial conferences or plea negotiations.

5. Domestic and International Cooperation
Domestically, the National Coordination Committee to Counter Money Laundering(NCC) was formed in April 2000, involving 17 agencies/ministries.

The NCC coordinates policy and strategy on anti-moneylaundering and counter-terrorism financing, including investigations andprosecutions involving multiple enforcement agencies.

UNODC also acknowledged Malaysia’s bilateral andmultilateral agreements with international organisations in anti-corruptionefforts.

6. Collaboration with the Private Sector
Large companies have appointed integrity officers and adopted"no-gift" policies. MACC provides training and seconds officers tothese firms.

UNODC recognised the Corporate Directors Leadership and Integrity (CDLI) course aimed at equipping public officers appointed to GLC  boards with good governance knowledge.

Recently, the government introduced tax incentives to encourage corporate participation in anti-corruption efforts. These include special tax deductions for anti-corruption education, development of Organisational Anti-Corruption Plans (OACP), and ISO certifications, including MS ISO 37001: Anti-Bribery Management System (ABMS).

7. Implementation of the Integrity Pact (IP) and ‘MyProcurement’ System
IP requires bidders or consultants to declare they will not offer or give bribes in government procurement processes, as stipulated in the Treasury Circular dated 1 April 2010. IP is enforced during the submission of tenders, return of Letters of Acceptance, and signing of procurement contracts. MyProcurement serves as a central information portal for government procurement, allowing public access to announcements and results of quotations and tenders.

8. Recognition of the Malaysian Anti-CorruptionAcademy (MACA)
UNODC acknowledged MACA as an international training centre due to its role intraining anti-corruption and law enforcement officers from foreign agencies.

9. Comprehensive Corruption Surveys
Surveys assesses not only perception but actual incidences of corruption within the public sector, private sector, and general public. From 2023 to 2025, MACC,the Department of Statistics Malaysia, and Universiti Kebangsaan Malaysia (UKM)are conducting the Malaysia Corruption Study (MaCoS) which is a large-scale, evidence-based research initiative.

10. Legal and Procedural Framework for Asset Recovery
Malaysia’s legal provisions and SOPs for asset recovery were also acknowledged,including financial intelligence sharing, assistance in asset tracing, ongoingnegotiations with requesting countries, and returning assets to bona fide thirdparties.

The clearest proof of the effectiveness of Malaysia’s framework is the recovery of assets from the 1Malaysia Development Berhad(1MDB) scandal. To date, RM29.8 billion has been recovered with about 70% of the estimated RM42 billion misappropriated.

Date of Input: 16/12/2025 | Updated: 16/12/2025 | muhammad.isam