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Inside the Data Centre Bribery Scandal: Two More Companies Under MACC Spotlight

The Malaysian Anti-Corruption Commission (MACC) has expanded its investigation into the high-profile bribery scandal surrounding data centre construction projects. What initially began as a probe into one individual's alleged abuse of power has now widened to implicate additional players in the corporate world.

Bribery for Contracts: A Deeper Look at How the Scheme Worked

According to sources within the MACC, two more companies are now suspected of being directly involved in bribing a project manager from a major construction firm. The motive? To gain favourable access to lucrative data centre construction tenders. Investigators have reportedly identified several company directors tied to these firms, and they are expected to be called in for questioning soon.

At the heart of the scheme was the project manager, who has allegedly admitted to soliciting bribes amounting to roughly 3% of the total value of each project. In exchange, he would leak sensitive tender information and manipulate the selection process to ensure the bribe-paying companies were awarded the contracts.

Bribes Paid in Stages Based on Project Progress

Rather than a one-time payoff, the bribes were allegedly structured to be paid in instalments aligned with the construction progress and project payments. This ongoing financial relationship kept the corrupt deal afloat while giving the illusion of legitimate transactions.

Interestingly, MACC sources revealed that not all of the promised payments had been made. Several million ringgit are still reportedly owed to the suspect under the clandestine agreement—proof that the investigation may still be far from over.

RM180 Million Project and a Desperate Attempt to Hide the Evidence

The investigation first came to light following the arrest of the project manager and three others, linked to a RM180 million data centre project in Johor. The situation took a dramatic turn during a raid, when the main suspect attempted to burn nearly RM1 million in cash—believed to be bribe money—in a panic to destroy evidence.

MACC officers, however, managed to prevent further destruction. Their search of the suspect's Petaling Jaya residence uncovered an eye-opening stash of RM7.5 million in cash hidden in pillow boxes, alongside an impressive collection of luxury items: Rolex, Omega, and Cartier watches, along with high-end jewellery.

What This Means for Malaysia's Construction and Tech Sectors

This scandal isn't just about one rogue project manager or a few unethical companies—it reflects deeper concerns about corruption risks in Malaysia's booming tech and infrastructure sectors. With demand for data centres surging due to the growth of cloud computing and digital services, the competition for such projects is fierce. This incident raises questions about the integrity of tender processes and whether there are more players engaging in similar misconduct behind closed doors.

As the MACC continues its probe, all eyes will be on the next steps: Will more companies be named? Will directors face charges? And most importantly, what reforms will be introduced to ensure transparency in future public and private sector projects?

One thing is clear—this investigation is only scratching the surface.

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Thursday, 06 November 2025

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