e-Jamin System Operated For Five Years Without Formal Govt Contract - PAC

KUALA LUMPUR, Oct 5 (Bernama) -- The e-Jamin system, used in 192 courts nationwide, has operated for five years since 2020 without a formal contract between the government and its operator, Dapat Vista Sdn Bhd, due to an initial interpretation that it was merely a commercial transaction.

Public Accounts Committee (PAC) member Syahredzan Johan said the system was originally introduced as a Proof of Concept in 2017 before being expanded nationwide for bail payments, but was not followed by a proper government procurement process or a formal agreement.

He said the situation stemmed partly from a Dec 20, 2019 view by the Attorney General's Chambers (AGC) Advisory Division, which deemed e-Jamin transactions as commercial, with courts acting only as users.

"There was an interpretation from the AGC stating that no agreement was needed between the two parties as it was just a commercial transaction," he said when winding up the debate on the PAC Report on the Management of Court Bail Payment Services through the e-Jamin System in the Dewan Rakyat today.

Following that, he said the Finance Ministry (MOF) issued a letter of no objection to the proposal on Dec 26, 2019, subject to compliance with financial conditions, government data ownership, and the drafting of an agreement.

"Unfortunately, from the time the letter of no objection was issued until we conducted the investigation, no agreement was signed between the two parties," Syahredzan said.

He said PAC found conflicting interpretations among government agencies regarding the status of bail funds before the matter was finalised through an official AGC review.

He noted that the AGC, supported by the Prime Minister's Department and Accountant General's Department (JANM), confirmed that bail collected under the Criminal Procedure Code constitutes public funds under Section 3 of the Financial Procedure Act 1957.

"Consequently, depositing bail funds into a private commercial bank account and failing to account for it in the Consolidated Trust Account is a clear violation of Article 97(1) of the Federal Constitution and Section 7 of Act 61," he said.

He added that while PAC acknowledged e-Jamin's benefits in simplifying bail payments, convenience should not override proper governance and a clear legal relationship between the government and the operator.

Syahredzan said PAC would hold follow-up discussions with the government on all matters related to the system following the tabling of the report in the Dewan Rakyat today.

Seven Members of Parliament participated in the debate, including RSN Rayer (PH-Jelutong), who urged for information on Dapat Vista Sdn Bhd to be disclosed in the House.

Datuk Seri Takiyuddin Hassan (PN-Kota Bharu) raised questions about the vendor procurement process, asking whether it was conducted through an open tender.

Earlier, PAC chairman Datuk Mas Ermieyati Samsudin told a press conference that e-Jamin operated without a Letter of Appointment, Letter of Acceptance, Letter of Intent, or formal contract agreement with the government.

She revealed that of the RM193.71 million bail deposit balance as of Dec 31, 2024, Dapat Vista had invested RM130.8 million under the company's name, earning RM4 million to RM5 million in interest annually.

The sitting was adjourned to 10 am tomorrow.

-- BERNAMA