KUALA LUMPUR (Aug 3): A total of nine performance audits worth RM10.75 billion were carried out last year, according to Auditor General Datuk Seri Nik Azman Nik Abdul Majid.

These involved six departments and three federal statutory bodies and agencies under eight ministries. Of these, four audits involved programme and activity categories while five involved project categories.

In a statement on Wednesday (Aug 3) in conjunction with the release of the Auditor General's Report 2021 Series 1, Nik Azman said that overall, the implementation of the federal government's activities, projects, programmes had been carried out in accordance with the set objectives.

"However, there are still weaknesses such as the output targets and outcomes that cannot be achieved or cannot be evaluated.

"This is because quantitative targets, mechanisms and indicators are not set, and related data is not maintained completely and updated," he said.

Following that, the Auditor General submitted 33 recommendations to be considered for implementation by federal ministries, departments and agencies being audited.

Nik Azman noted the performance audits carried out were aimed at assessing whether the government's activities, projects and programmes had been carried out prudently, efficiently and effectively and to what extent the set objectives had been achieved.

There were also aimed at assessing to what the extent public money had been spent without extravagance and wastage and whether the government got the "best value for money".

Meanwhile, Nik Azman said audits carried out of management of federal government's companies focused on the achievement of each company's establishment objectives by examining three aspects, namely corporate governance, activity management and the company's financial position.

He also said that audits of management for special purpose vehicle (SPV) companies were carried out to evaluate the performances of activities, corporate governance practices and management of their SPV activities.

"Overall, of the three audited federal government companies, it was found that two companies had achieved the objectives of their establishments with two companies showing a satisfactory level of corporate governance practices, while one company had a strong financial position.

"As for SPV companies, the audit results found that as of Dec 31, 2021, five SPVs (20%) had successfully achieved their specific functions, 18 SPVs (72%) were currently implementing their specific functions while two SPVs (8%) had changed the direction of their specific functions," he said.

Subsequently, the Auditor General submitted 15 recommendations to the management of each company to be taken towards improving the matters reported.

As for the activities of ministries, departments, agencies and companies at state level, the National Audit Department conducted performance audits of 15 programmes, activities, and projects involving three ministries in Sabah and Sarawak as well as 15 departments and 11 state government agencies.

In addition, audits of companies' management were also conducted against 14 state government companies.

"I have submitted 124 recommendations, namely 62 recommendations to be considered for implementation by state ministries, departments and agencies as well as 62 recommendations by the management of the relevant state government companies," said Nik Azman.

He added that all relevant controlling officers, heads of departments and chief executive officers had been informed in advance about the matters reported in the Auditor General's Report for verification purposes.