11
May
15

Mahathir: Just come clean on troubled 1MDB fund

COMMENT: The disappearance of huge amounts of money borrowed by 1MDB and the inability by Prime Minister Najib Razak to shed light on their whereabouts, disqualifies him as the leader of the country, said Dr Mahathir Mohamad.

In his latest blog posting today, Mahathir said Najib, who is also the finance minister, must be held responsible for the country’s finances.

“In Malaysia the PM and DPM usually hold one extra portfolio. Usually the Ministry of Home Affairs and the Defence Ministry alternate between the two. Occasionally, while waiting for a suitable candidate, the Ministry of Finance (MoF) is held by the PM.

“Najib, however, prefers to keep the MoF under him all the time. He has appointed a second Minister of Finance. This is his prerogative of course, but he (Najib) must ultimately be responsible to the country’s finances,” he said.

Mahathir added it was imperative that a leader, entrusted with managing the people’s money, follow rules, laws and regulations.

He acknowledged that corruption prevails in all governments, and that governments can also lose money through bad investments.

“We would know where the money is lost. But when huge sums of money disappear, then those entrusted with its management must answer for the disappearance.

“Disappearance is different from just losing. Disappearance is about money lost which cannot be traced. This can be because of corruption or theft,” he said, clearly hitting on the troubled 1MDB fund.

According to him, there are also instances where the government presents off-budget funds, which may not be presented to Parliament but are still subject to scrutiny and approval of the Cabinet.

“Cabinet papers are secret of course. But in the case of 1MDB, the presentation to the Cabinet and approval by it seems to be unclear. There seems to be attempts to hide behind official secrecy.”

Mahathir also pointed out that 1MDB was able to borrow 42,000 times its capital (RM42 billion debt over RM1 million investment), because the government had guaranteed the borrowings.

“In other words, it is the government borrowing the money. If 1MDB loses money, the government will bear the loss. Yet the operation of 1MDB is not overseen by government officers responsible for the management of government funds,” he said, adding that the fund was problematic from the beginning.

…more
23 Apr 2015 – Ant Daily
Mahathir: Just come clean on troubled 1MDB fund

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for the triumph of evil
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to do nothing.

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there is TYRANNY;
when the government
fears the people,
there is LIBERTY.

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