Felda Holdings Bhd has refuted allegations by the 1Malaysia Graduates Youth Club of power abuse regarding the award of contracts by a subsidiary company.

"Felda Holdings would like to state that it has in place robust procurement procedures and auditing process.

"There has been no abuse of power with regard to the contract awarded as claimed," it said in a three-paragraph statement today.

The 1Malaysia Graduates Youth Club alleges in a 50-page memorandu m, copies of which were submitted to the Malaysian Anti-Corruption Commission (MACC) and Prime Minister’s Office on Monday, that four members of Felda Holdings directors had abused their powers.

No open tenders

Its secretary-general, Ezaruddin Abd Rahman, also called for an investigation whether the Felda Holdings subsidiary can award tenders worth RM160 million to a single contractor through direct negotiation.

He was reported to have said that direct negotiations were against Felda's tender procedures that stipulated that open tenders should be called for jobs worth over RM50,000.

"Now that the matter has been lodged with MACC, we shall extend our fullest cooperation to any investigation so that the public will have the benefit of the true picture," Felda Holdings said.

- Bernama