345 complaints of false claims under wage subsidy programme so far

Sosco received 345 complaints of employers making false claims worth RM19,986,200 through the employment record system under the wage subsidy programme as of Oct 30.

Deputy Human Resources Minister Awang Hashim said action would be taken in 155 cases to reclaim payments from the employer while 190 cases are still under investigation.

“If the employer is found to have made false claims or misconduct is found on the part of the company, action can be taken under Sections 415 and 471 of the Penal Code,” he said in the Dewan Rakyat today.

“Socso is also working with the Malaysian Anti-Corruption Commission (MACC), with several cases under investigation. Socso will continue working with MACC to complete the investigation papers on employers who ignored the terms set.”

Mahfuz Omar (Amanah-Pokok Sena) had asked the human resources ministry to state the number of employers found to have made false claims under the wage subsidy programme, and the amount involved.

Awang said as of Oct 30, Socso had received 331,950 applications from employers involving 2.7 million for government aid through the subsidy programme.

He said the government had spent RM11.9 billion to date helping employers affected by the Covid-19 pandemic to continue employing workers through the programme.

“To address the issue of false claims, Socso is working with the ministry’s legal division to determine the appropriate action to be taken against the employers,” he said.

“The government through the human resources ministry will not compromise on the matter.”