The Malaysia Competition Commission (MyCC) has imposed a financial penalty totalling RM2.98 million on three companies found to have engaged in bid-rigging practices involving public maintenance contracts. The firms—Abadi Malaysia Sdn Bhd, Kota Landskap Sdn Bhd and Usia Maintenance Sdn Bhd—were penalised for violating Section 4 of the Competition Act 2010.
According to MyCC Chief Executive Officer Iskandar Ismail, the companies were found to have colluded on six tenders issued by Putrajaya Corporation between 2018 and 2021. The combined value of these tenders was close to RM45 million and covered works in building and facility maintenance, landscaping, and civil engineering.
The enforcement action followed public complaints regarding potential bid-rigging practices in several government-linked projects. A preliminary assessment identified nine enterprises potentially involved in a cartel arrangement, prompting MyCC to launch a full investigation.
“The investigation involved raids on the companies’ premises, collection of documents, statements from 24 individuals, requests for further information and in-depth analysis of all relevant materials,” said Iskandar at a press conference held at MyCC headquarters.
On 10 September 2024, a proposed decision was issued to the implicated companies. Representations were received on 11 November 2024 and 13 March 2025. After evaluating these responses, MyCC delivered its final decision on 13 July 2025.
Abadi Malaysia was identified as the coordinator of the cartel, facilitating collusion via WhatsApp, email communication and meetings. The probe uncovered that tender documents for all six projects were prepared collaboratively at a single location, with coordination led by one of Abadi Malaysia’s directors.
“During enforcement actions, MyCC discovered tender-related documents belonging to all three companies at the premises of Kota Landskap, highlighting a centralised effort in the preparation process,” said Iskandar.
Evidence revealed that Usia Maintenance and Abadi Malaysia each secured one of the six tenders. However, both were found culpable in relation to all six tenders due to the presence of collusive behaviour across the board. Similarly, Kota Landskap was found to have engaged in coordinated conduct throughout the tendering process.
The investigation further revealed that the directors of the companies involved had familial and personal relationships, although no officials from Putrajaya Corporation were implicated in the misconduct.
MyCC currently has 14 active cases under review, with ongoing investigations involving over 500 companies and tenders valued at approximately RM2.3 billion.
-Bernama
