Some of the operators involved in managing the National Service Training Programme (NS) are currently grappling with debts amounting to millions of ringgit. Among them, several have faced bankruptcy due to their inability to meet the financial obligations stemming from bank loans secured for the construction and enhancement of the camps.

Nationwide, there are 81 NS camps, constructed at an estimated cost exceeding RM1 billion. Each operator invested between RM12 million to RM19 million to establish and operate these camps for the duration of the programs, which ran from 2004 to 2018. These operators procured loans to acquire or lease land, construct facilities, and develop infrastructure to comply with government regulations. However, many now find themselves burdened by debt, including arrears owed to the Inland Revenue Board (IRB).

Mohd Rawi Mohd Arof, president of the Association of Former NS Camp Operators (PKBPPKN), revealed that the program initially commenced with 24 operational camps, eventually expanding to over 40, each capable of accommodating 400 to 450 trainees. The three-month training curriculum encompassed physical modules, national identity, character-building, and community service for youths, with an annual estimated cost of RM600 million. The program was suspended in 2015 following a government rationalization exercise.

In 2016, the NS program was reintroduced with only 20,000 trainees, but it was abruptly terminated in August 2018. Last November, plans were announced to introduce NS 3.0, with training to be conducted at 13 Territorial Army camps instead of the existing NS camps.

Mohd Rawi outlined the contractual terms for NS camp operators, which included initial five-year contracts until 2008, followed by two-year renewals from 2009 and subsequent three-year contracts until 2013. Post-2008, compliance with minimum guidelines (SOC) was mandated, with successful operators securing renewed contracts from 2014 to 2016, extended by two years until 2018. Despite the government's agreement to pay monthly stipends to assist with camp maintenance costs after the program's suspension in 2015, operators faced significant financial strain.

Following the termination of NS in 2018, 57 camp operators demanded RM224 million in compensation from the government, representing 27 months of rent owed for the remaining contract period. Despite failed negotiation attempts, some operators have pursued legal action as a last resort after exhausting all avenues for resolution, including appeals to various governmental levels and representatives.