False Claims Under Section 18 of the MACC Act 2009: Lessons from the Daya Kerjaya 2.0 Investigation

Background

In June 2026, the Malaysian Anti-Corruption Commission (MACC) commenced investigations into an alleged false claims scheme involving incentives under the Daya Kerjaya 2.0 programme administered by the Social Security Organisation (PERKESO).

The Daya Kerjaya programme was introduced as an employment incentive initiative aimed at encouraging employers to hire and retain workers through financFalse Claims Under Section 18 of the MACC Act 2009: Lessons from the Daya Kerjaya 2.0 Investigationial assistance provided by the government. As with many public assistance programmes, eligibility for incentives depends on the accuracy and truthfulness of information submitted by applicants.

According to public reports, six individuals were detained and subsequently remanded by the MACC in connection with investigations into alleged false claims submitted under the programme. The authorities are investigating whether inaccurate or misleading information was provided in order to obtain financial incentives that would not otherwise have been approved.

The matter has attracted public attention as it highlights the legal consequences of submitting false information when applying for government grants, incentives, subsidies, or other forms of public assistance.

Investigation and Remand Proceedings

According to reports, the six individuals were arrested by MACC officers in Sarawak and brought before the Magistrates' Court for remand proceedings.

The investigation focuses on allegations that false particulars were submitted in connection with claims made under the Daya Kerjaya 2.0 programme. The authorities are examining documents and records to determine whether any information provided to support the claims was inaccurate or misleading.

The remand orders were obtained to facilitate further investigations, including the collection of evidence, examination of documents, and recording of witness statements.

At the time of writing, investigations remain ongoing and no criminal charges have been reported.

Key Legal Issues

1. False Claims Under Section 18 of the MACC Act 2009

One of the principal legal provisions commonly invoked in cases involving false claims is Section 18 of the Malaysian Anti-Corruption Commission Act 2009.

Section 18 makes it an offence for any person to knowingly submit a document containing false particulars with the intention of misleading a principal.

The provision is frequently relied upon where an individual allegedly provides inaccurate information, falsified documents, inflated figures, or misleading declarations in order to obtain payments, contracts, incentives, grants, or other benefits.

If convicted, an offender may face significant penalties, including imprisonment and a substantial fine.

Importantly, the prosecution must generally establish that the accused knew the information was false and intended to mislead the relevant authority.

2. Government Incentive and Subsidy Fraud

Government incentive programmes play an important role in supporting businesses and employment opportunities. However, such programmes depend heavily on honest disclosures from applicants.

Where false information is allegedly submitted to obtain financial benefits, investigators will typically examine:

• Employment records

• Payroll information

• Supporting declarations

• Banking records

• Internal company documents

• Communications relating to the application process

The purpose of these investigations is to determine whether the incentives were obtained legitimately and whether any public funds were improperly claimed.

3. The Role of Intent in Criminal Liability

Not every inaccurate statement automatically amounts to a criminal offence.

In cases involving alleged false claims, a key issue is often whether the incorrect information resulted from a genuine mistake, negligence, misunderstanding, or deliberate deception.

The prosecution generally bears the burden of proving that the accused knowingly submitted false information and intended to mislead the relevant authority.

As such, evidence relating to the preparation of documents, internal communications, and the applicant's knowledge of the information submitted may become crucial during investigations and any subsequent proceedings.

4. Protection of Public Funds

Investigations involving false claims are often viewed as matters of public interest because government incentive programmes are funded using public resources.

Authorities therefore place significant emphasis on ensuring that grants, subsidies, and employment incentives are distributed only to eligible recipients.

Enforcement action in such cases serves not only to address alleged wrongdoing but also to protect public confidence in government assistance programmes.

5. Compliance Obligations for Businesses

The investigation also serves as a reminder of the importance of maintaining proper compliance systems within organisations.

Businesses applying for government incentives should ensure that:

• Information submitted is accurate and complete

• Supporting documents are properly maintained

• Internal verification procedures are implemented

• Records are retained for audit purposes

• Applications are reviewed before submission

Strong compliance practices can reduce the risk of errors and help organisations demonstrate transparency when dealing with regulatory authorities.

Lessons for Businesses and Individuals

The Daya Kerjaya 2.0 investigation highlights the importance of exercising care when applying for government grants, incentives, subsidies, and assistance programmes.

Applicants should ensure that all information provided is accurate, properly documented, and supported by reliable records. Any discrepancies should be clarified before submission, particularly where public funds are involved.

Businesses should also implement adequate internal controls to verify information submitted on behalf of the organisation and maintain proper records for future reference.

Conclusion

The ongoing MACC investigation into alleged false claims under the Daya Kerjaya 2.0 programme provides an important opportunity to understand the legal framework governing false representations and the protection of public funds.

While investigations remain ongoing, the matter underscores the serious consequences that may arise where inaccurate information is allegedly provided to obtain government incentives. It also serves as a reminder to businesses and individuals alike that transparency, accuracy, and proper record-keeping are essential when participating in public assistance programmes.

Image credit: Suara Sarawak

Credit

This article is based on publicly available reports and information published by:

• Malaysian Anti-Corruption Commission (MACC)

• Utusan Borneo

• Sarawak Tribune

• Suara Sarawak