PETALING JAYA: The Auditor-General’s Report (AG’s Report) 1/2026, which for the first time includes findings from the newly introduced e-SelfAudit system covering gazetted entities, was tabled in the Dewan Rakyat on Monday (Feb 23).
The report comprises 15 volumes, covering the 2024 financial statements of federal agencies, the activities of federal ministries, departments and statutory bodies, as well as the management of Federal government-linked companies, the Auditor-General's Department said in a statement.
It also includes 13 volumes on state ministries, departments and agencies, and the management of state government-linked companies.
A total of 273 new issues highlighted in the report can be accessed via the Auditor-General’s online dashboard (AGD) at https://agdashboard.audit.gov.my to facilitate continuous monitoring and follow-up actions by the relevant ministries, departments, agencies and companies.
As of Jan 9, the statement said, 143 out of 145 Federal agencies’ financial statements for 2024 had been submitted and certified by the Auditor-General.
Auditor-General Datuk Seri Wan Suraya Wan Mohd Radzi said of the 143 certified statements, 128 received an unmodified opinion, while 15 were issued modified opinions.
The report’s key audit area (KAA) flagged a serious irregularity involving revenue collection and expenditure at Universiti Kebangsaan Malaysia.
According to the report, a collaboration agreement entered into by the university did not obtain the Finance Minister’s approval as required under its constitution, and there was no lawful authority to collect the related student fees.
The audit also found irregular expenditure and non-compliance with prescribed financial procedures.
The matter was brought before the Serious Irregularities Action Committee (JTKS) meeting on Feb 6, co-chaired by the Auditor-General and the Treasury secretary-general, in line with the expanded powers under the Audit Act 1957.
The KAA also highlighted going concern issues at Perbadanan Perwira Harta Malaysia (PPHM), whose financial position indicates an inability to meet its obligations as its assets are insufficient to cover liabilities.
On federal ministries and companies, following amendments to the Audit Act 1957, the Auditor-General’s powers have been expanded to audit other entities, including companies receiving government financial guarantees, under a "Follow The Public Money Audit" approach, subject to gazettement, said the statement.
"As af Nov 1, 2024, 1,856 entities, including companies, were gazetted under the Audit (Accounts of Other Bodies) (Amendment) Order 2024," it added.
For the first time, the results of the 2025 e-SelfAudit were included in the AG’s Report and tabled in Parliament.
Among 852 gazetted federal-level entities analysed, the audit found that four companies operated inconsistently with their establishment objectives, while 13 Minister of Finance Incorporated (MKD) companies did not pay dividends despite being solvent and profitable.
Nine companies were flagged with going concern issues and were receiving federal grants, while 208 companies were in the process of being wound up, dissolved, or were no longer related to the government.
The report also detailed the audit of Pelaburan Hartanah Berhad (PHB), as well as performance audits on high-impact programmes, including the Research, Development, Commercialisation and Innovation programme and the MyDigital ID development project, with a focus on compliance and internal controls.
The report also covered performance audits of seven programmes and activities across six states, namely Kelantan, Pahang, Sarawak, Sabah, Terengganu and Kedah.
In addition, 18 state government-linked companies were audited, while e-SelfAudit was conducted on 1,004 gazetted companies across 13 states.
The full report is available at https://lkan.audit.gov.my from 10am today.
