KUALA LUMPUR, Sept 5 — Awarding projects through direct negotiations is appropriate but it should be implemented with full integrity, said Malaysian Association of Certified Fraud Examiners (MACFE) president Datuk Seri Akhbar Satar.
He said to prevent the nation from incurring losses, direct negotiation projects should only be awarded to competent contractors.
“…at times the system needs to be simplified, but the ‘handler’ that is the technical committee as well as the finance committee and the ‘board’ should consist of people with integrity.
“This is to ensure that the process is carried out in a more transparent manner and we get value for money,” he said when appearing as a guest on Bernama TV’s Ruang Bicara programme entitled Direct Negotiation: Is it Appropriate? here, Friday night.
Akhbar added that any direct negotiation projects should also meet certain criteria and must not be implemented according to one’s whims and fancies.
He said the projects might concern matters which are of national interest, an emergency situation or if nothing is done would lead to detrimental consequences.
Citing the United States as an example, he said Uncle Sam’s country had to award certain projects through direct negotiations when hurricane Katrina struck several parts of the country to meet some critical or urgent needs during that period.
The disadvantages of direct negotiations include integrity breach and projects being awarded to cronies, he added.