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WSJ’s latest Expose On Alleged Abuse Of 1MDB ​As Election Slush Funds ​by Prime Minister Najib​ Justifies​ t​he Need ​f​​or Immediate​ Disclosure, Investigations and​ Electoral Reforms. Malaysia Must Initiate Laws ​to Regulate Election Financing

By 21 June, 2015February 5th, 2021No Comments

FOR IMMEDIATE RELEASE
MEDIA STATEMENT

The  WSJ has exposed the alleged use of 1MDB in the Prime Minister’s campaign last 13th General Elections. If true, this has brought to the fore and it must be investigated as to how much the stinking abuse of the country’s coffers by irresponsible persons is in government office.

Just yesterday,​ WSJ ​unearthed links which originated​ ​from 1MDB​’s ​purchase ​of ​power assets from Genting Group in 2012​ – ​for​ a whopping​ five times more than its worth​ – to Yayasan Rakyat 1Malaysia (YR1M).​

Genting allegedly donated part of the earnings to Yayasan Rakyat 1Malaysia (YR1M), a foundation controlled by Najib ​ in the ostensible pursuit of ‘benefiting Malaysians from all walks of life’​. ​WSJ further stated that YR1M, a ​charitable ​foundation​ chaired by the PM​ ​was further responsible for a slew of ​charity projects ​instrumental to PM Najib’s campaign during the last GE.

“A few months after the sale, a unit of Genting called Genting Plantations Bhd made a donation of about US$10 million to a Najib-linked charity, according to a spokesperson for Genting Plantation,” according to the report

“Though (Yayasan Rakyat 1Malaysia was) set up to help underprivileged Malaysians through education and sport, [the article states that] this charity soon got involved in spending that appeared designed to help Najib retain power in the May 2013 election​.” [1] ​
WSJ also said in another report that, “1MDB itself was active in Penang before the election. The fund purchased land in the state days before the voting. Mr. Najib, campaigning in Penang, promised to build low-cost housing on the land.” [2]​

​If the past is any measure, Malaysians would​ be forced to​ keep waiting with bated breath f​or investigations on the allegations made by WSJ.​ ​

Based on the seriousness of these allegations by WSJ, The​ E​lection Commission would lend credence to its independence if it moved​ to investigate the same and to refer PM Najib​ under Section 10 (a)​,​ Election Offenses Act 1954 ​; or any section under the said Act. ​Should the EC Chair come out with further excuses justifying 1MDB linked slush funds for election campaigning, rather than give us an independent report based on a mature, uninfluenced and thorough investigation, then we might as well ask the EC to officially join the BN coalition.

Previously, the EC has said that Datuk Seri Ismail Sabri Yaakob’s pledge to deny Permatang Pauh development funds if Barisan Nasional (BN) loses the by-election was​ not a form of bribery as there ​was​ ​the statement was not indicative of Datuk Seri Ismail’s intention to sway voters to support the ruling coalition.

EC’s chairman Tan Sri Abdul Aziz Mohd Yusof said Ismail Sabri’s remarks would only be considered an offence under Section 10 of the 1954 Election Act if there is proof to show that his remarks had induced Permatang Pauh folk to vote for BN. [3]​

​​However, there is no defending or avoiding global disapproval when a government backed mammoth financial investment ​fund such as the 1MDB​, which has​ rack​ed​ up to USD 11 billion debt​ is perceived as being abused by the Prime Minister as his private slush kitty​ election fund – if the allegations are proven to be true.

​A cursory look at YR1M hardly brings out ​meaningful clarity on its actual expenditure. ​In fact, many would be left wondering whether the iM Sarawak Project, under YR1M is part of the effort in retaining BN’s lifeline and foothold in Sarawak. [4]

​To avoid any doubts, Prime Minister Datuk Seri Najib must disclose the financial transactions of YR1M, including and not limited to sources of funds, and where the​se​ funds are ​being ​channelled to. I also believe that this revelation warrant​s​ an investigation against Barisan Nasional to ​find out whether they are in breach​ of the Election Offences Act. ​ ​Should they ​be ​found to be liable, people responsible should be brought to face justice​ – and the buck certainly stops with YR1M’s Chairman, PM Datuk Seri Najib Razak.​

​Additionally Malaysia​ must​ immediately relook election financing reform​s; and the need to create a law to regulate financing by political parties. However, without an independent Election Commission, along with its sister authorities’ – such a law could very well be used ​​to stifle funding for the opposition and further victimise ​any dissent. ​​Independent authorities, including the Election Commission will ensure we put a stop to any P​rime ​M​inister​ run​ning​ rampant ​in​ establishing further charitable organisations bent on ‘helping Malaysians from all walks of life’​ aka guises to legalise his slush funds.​​​

In the United Kingdom, Parties have to record the donations and loans they receive, check they are from a permissible source, and report larger donations and loans to the Electoral Commission. In Great Britain, the Electoral Commission publishes these donation and loan reports on their online database to ensure there is transparency about the funding ​for​​​ parties.

​The highest legislative body of this country had in 2012 approved 22 recommendations for the EC to act on. The majority in Malaysia’s parliament voted in favour for these recommendations – under the  Select Committee on Electoral Reform. Unfortunately since then, what we have is more of the same line up of EC’s top echelon; and further adduced evidence and allegations of money politics – but no action. Will the Prime Minister now lend his weight to add further mockery of our institutions and governance or would he lend his weight to ensure that Justice is seen to be done.  Regardless of his move and answers, Malaysians must not allow for a global scale mockery of government business.


NURUL IZZAH ANWAR
LEMBAH PANTAI MEMBER OF PARLIAMENT
VICE PRESIDENT AND ELECTIONS DIRECTOR OF KEADILAN

[1] http://www.malaysiakini.com/news/302433

[2] http://www.wsj.com/articles/fund-controversy-threatens-malaysias-leader-1434681241

[3]http://www.themalaymailonline.com/malaysia/article/ec-ismail-sabris-permatang-pauh-pledge-not-bribery

[4]http://yayasanrakyat.com.my/projects/