RM7bil to bail out 1MDB


PUTRAJAYA: On top of paying RM6.98bil to bail out 1Malaysia Development Bhd (1MDB), the Government is now facing the prospect of forking out an additional RM953mil to service the company’s debts by November.

“I have been informed that besides the RM142.75mil due at the end of this month, another RM810.21mil worth of interest is due between the months of September and November in 2018,” Finance Minister Lim Guan Eng told reporters after being briefed by ministry officers.

Lim, who was shocked at the revelation, added that the ministry had been bailing out 1MDB by servicing its debts since April 2017, which included payments for International Petroleum Investment Corp’s (IPIC) settlement agreement amounting to RM5.05bil.

“This confirms the public suspicion that 1MDB had essentially deceived Malaysians by claiming that hit had paid via ‘successful rationalisation exercise’.

“It has been the ministry that has bailed out 1MDB,” he said.

He also said the previous government had conducted an exercise of deception with regard to 1MDB and even misrepresented the financial situation to Parliament.

Lim said 1MDB’s chief executive officer Arul Kanda Kandasamy, and directors Datuk Kamal Mohd Ali and Datuk Norazman Ayob will be grilled to determine the company’s state of affairs and its ability to service its debts.

He said officers from the ministry would conduct a detailed study on 1MDB’s debts and liabilities aimed at resolving the “crisis created by the scandal”.

“We will also submit our findings to the 1MDB task force formed by the Prime Minister,” Lim said.

Asked what was the full extent of 1MDB’s debts and liabilities, Lim said this would only be known with full access to files and accounts which had been previously barred or blocked to auditors.

He added 1MDB had contributed to the nation’s debts. – The Star

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New MACC chief breaks down in recounting what he went through (full story)


PUTRAJAYA: Newly appointed Malaysian Anti-Corruption Commission (MACC) chief commissioner Datuk Seri Mohd Shukri Abdull broke down when he recounted his time running away from Malaysian authorities to the United States.

This came in 2015 after his former boss Tan Sri Abu Kassim Mohamed at the MACC decided to indict former prime minister Datuk Seri Najib Tun Razak over the RM2.6bil that was found in his personal bank account.

Shukri said that the commission had well-founded basis to initiate an investigation into SRC International, a subsidiary of 1Malaysia Development Berhad (1MDB), which had been accused of transferring millions of ringgit into Najib’s private account.

According to Shukri, Abu Kassim asked him whether he was ready for the consequences of indicting a sitting prime minister, which could have led to their dismissal.
“I said ‘no problem’, because I was willing to do it for the country,” Shukri told a press conference at the MACC headquarters here on Tuesday.

However, on the day in July 2015 when Abu Kassim was going to do indict Najib, former Attorney-General Gani Patail was removed from his position.

The announcement came along with the reshuffling of the Cabinet that also saw the sacking of the Deputy Prime Minister Tan Sri Muhyiddin Yassin and Rural and Regional Development Minister Datuk Seri Mohd Shafie Apdal, who had also raised questions about 1MDB.

With all these sackings foremost in his mind, Shukri left for Washington on July 31, 2015, to bring up the 1MDB issue with US authorities.

Wary, he released misleading information that he was headed to Saudi Arabia, and he heard that people were waiting to arrest him in Jeddah.

Shukri said that before he left for Washington, he faced tremendous pressure.

“The witnesses I interviewed had been taken away.

“I was threatened to be fired, was told to retire early and was even threatened to be sent to the training division,” he said.

The trip to Washington had its own drama.

“I noticed someone was following me (in Washington). My team in the United States took pictures of the man who was following me.

“I sent the pictures to MACC deputy chief commissioner (operations) Datuk Azam Baki, and asked him to send it to the then Inspector-General Police,” he said, adding that he made it clear that he knew that men were following him.

Shukri said he felt unsafe in Washington and decided to go to New York, where he met up with a friend who worked in the New York Police Department (NYPD).

“I got protection from the NYPD and they provided me with three bodyguards,” he said.

Shukri said he then returned to Washington.

It was in recounting this episode during his Tuesday press conference that Shukri broke down in tears, saying he felt guilty when he was told that his men who were working for him had been incarcerated.

“I felt helpless and was frustrated for failing to protect my men.

“I cried in front of the mat salleh (Caucasians). My men and I had been accused of conspiring to topple the (Barisan Nasional) government,” he said.

Shukri finally retired in August 2016 at the age of 56. During his farewell speech, he hit out at an “individual” who had alleged that he was involved in a conspiracy to topple Najib and his administration.

Abu Kassim, who was appointed MACC chief in 2010, was also replaced by Tan Sri Dzulkifli Ahmad in 2016.

Shukri served at the anti-graft body for 32 years before he retired. He first joined the then Anti-Corruption Agency in 1984 as investigations officer after graduating from Universiti Kebangsaan Malay­sia.

He rose up the ranks and served as ACA director in Perlis, Kelantan and Sabah.

Upon his return to the headquarters in July 2006, he was promoted to the post of assistant investigations director and two months later, was promoted yet again to be the director of investigations.

In 2010, he took on the position of MACC deputy chief commissioner (operations), which he held till his retirement.

Pakatan Harapan appointed Shukri to head the MACC when it took over Putrajaya after GE14.

He clocked in for work at 10.29am on Monday (May 21), having received his appointment letter just about an hour before reporting for duty.

This story was amended to correct some dates. By ashley tang The Star

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Putting in place a new Malaysian order


Robert Kuok attends CEP meeting

THE winds of change have been sweeping through the country in the past fortnight at breathtaking speed.

First, the incredible election results that very few predicted correctly. Then the post-election drama until Tun Dr Mahathir Mohamed was sworn in for a historic second time as PM. Followed by many decisions and measures announced daily as Mahathir hit the ground running, or rather sprinting.

The liberation of Anwar Ibrahim “from prison to palace” and from palace to padang for the night rally last Wednesday completed the key milestones in the quick journey from the old discredited order to the new world being born.

Mahathir was not only the man of the hour, masterfully guiding the ship to the harbour, avoiding the last dangers, but also a man in a hurry, laying the foundations for recovering the economy, reforms to key institutions, and getting to the bottom of the 1MDB sacndal.

Quite a few have aptly quoted Shakespeare to describe what happened: “There is a tide in the affairs of men which when taken at the flood leads on to fortune.”

There is another saying, when a revolution has taken place but there is chaos afterwards and the future is uncertain: “The old world is dying but the new cannot be born.”

What is most remarkable about the first post-election days is not how quickly the old era is passing away but how rapidly the new order is being built.

The reconciliation of the two giants of Malaysian politics, Mahathir and Anwar, paved the way to this remarkable new chapter.

When they fell out two decades ago, their story was worthy of a Shakespearean tragedy. Destiny or will or both have provided them a second chance to get it right this time, and if they do, Malaysia itself will have the opportunity to have a bright future.

It will always be remembered that the sacrifices made by Anwar and his family through his three jail terms and the reformasi movement he generated brought the country to where it is.

Equally, history will record that Mahathir not only laid the foundation of the country’s recent economic development and progressive foreign policy in his long stint as PM but also that he returned to “save Malaysia” from the lowest depths the country had descended into.

If reformasi has been the war cry, implementing a true reform agenda is now the prerogative.

Mahathir has now embarked full scale on reform – Anwar says his role is to keep it on the right track.

Understandably, the PM’s first priority is the economy. The new government has been acting to ensure that as far as possible its new policies should not lead to confidence erosion by investors and fund managers.

Removing the GST, Pakatan Harapan’s main election promise, is the number one political prerogative. Concerns that this will lead to a RM40bil revenue shortfall are being countered by expectations of increased revenue from renewal of a sales tax, the hike in oil prices to the current US$80 (RM318) a barrel, and savings from a planned reduction of wastage in government expenditure. The GST removal on June 1 should also lead to price reductions, a boost to consumer spending and the economy as a whole, and thus generate extra state revenue.

The new government will have to deal with the explosive jump in government debt in recent years. In a mere six years between 2011 and 2017, government debt rose 51% from RM456bil to RM687bil, while government-guaranteed debt jumped 94% from RM117bil to RM227bil.

Added together, the federal and federal-guaranteed debt went from RM573bil to RM914bil. It might be more if the debts of other entities are included.

This massive jump in debt may partly explain how the previous government was able to splurge on many projects and on welfare schemes, in failed efforts to win over the public and in schemes that mainly benefited the powerful and their cronies.

The commercial viability and social value of many of the loan-fuelled expenses are questionable.

An audit should be done on sources and uses of the loans, and how to reduce the damage by cutting loss-making projects and improving the performance of those that can be saved.

Recent years also saw the opening up of financial sectors, leading to high foreign participation in government debt and in the stock market, as capital surged into emerging markets like Malaysia in search of higher yield.

There are benefits in good years, but the country also becomes more vulnerable when global trends turn negative, as is happening since higher interest rates in the United States are prompting capital to flow back.

Dealing with the boom-and-bust cycle in capital flows will be a challenge for the new government.

Beyond economics and institutional reforms, there are other pressing issues the new government should focus on.

One of them is the environment. There are crises developing, on water resources and supply, floods, damage to forests and watersheds, hillside collapse and erosion, deterioration of the coastal environment and of course climate change.

Environmental damage harms social life and the economy. Floods and water shortage affect production, and fish prices have shot up due to overfishing and sea pollution.

Priority must thus be put on revamping environment-related policies and on strengthening the Environment Ministry. They have been neglected for far too long.

–  By Martin Khor is executive director of the South Centre. The views expressed here are entirely his own.

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Penang govt rapped over hill slope development


FMT – GEORGE TOWN: The Penang Forum has repeated its call for all hillslope development to be stopped immediately, following deadly hillslope collapse ...
Geotechnical engineer Aziz Noor says the new project puts the people and the place in danger

 

Engineer: Lives at risk in Penang hill project

 

GEORGE TOWN: The DAP-led state government has turned a blind eye on the imminent danger of hill slope development, said a Tanjung Bungah resident.

At a forum-cum-press conference yesterday, geotechnical consultant Aziz Noor (pic) said building the proposed multi-storey mixed development behind the Miami Green Resort Condominium would pose a danger to the condo and its residents.

The development which has been approved on the class four hill, comprises five 29-storey building blocks, two 34-storey serviced apartments with 336 units each and one block of affordable apartments with 197 units.

Meanwhile, former Bukit Bendera MP Zairil Khir Johari, who is the Tanjong Bungah candidate for Pakatan Harapan, said the state government would review the guidelines on hill slope development. – Bernama

 


GEORGE TOWN: An engineer has sounded a warning about “imminent danger” from a new hillside development of eight tower blocks of apartments planned in an environmentally-sensitive area of Tanjung Bungah.

Geotechnical consultant Aziz Noor, speaking at a forum-cum-press conference today, accused the DAP-led state government of turning a blind eye on the imminent danger of hill slope development.

The proposed mixed development behind Miami Green Resort condominium puts the existing residence and its people in danger, he said.

The development has been approved on a 12-acre plot with a 35-degree slope on a Class Four hill, which exceeds 250 feet above sea level.

It comprises five 29-storey tower blocks, two 34-storey blocks of 336 serviced apartments each, and one block of 197 units of affordable apartments.

Aziz said that the project was not only in an environmentally sensitive area, it also contradicts the 2007 Penang Structure Plan that forbid any development above a gradient of 25-degree gradient and 250 feet above sea-level.

The design of one development does not guarantee safety. A Detailed Environmental Impact Assessment must be conducted and reviewed. This development puts the place and people in imminent danger,” he said.

Residents of the area said they had vented their frustration multiple times since November but had not received any response from the state government and Penang Island City Council.

The residents, together with the Tanjung Bunga residents association, had spoken on the matter many times, but no one seemed bothered, said one of the residents, Lim Liew Ming.

“Our lives are at risk. The upcoming development is a ticking time-bomb. Are the authorities waiting for a tragedy to happen, and only then act on it?,” she asked.

State Barisan Nasional chairman Teng Chang Yeow, who is also BN candidate for the Tanjong Bunga state seat in the general election, said the project should have been shelved from the beginning.

“We will put a stop to this. Even if we need to pay compensation,” he said.

The Barisan Nasional has pledged to declare all highland and hill slope areas of 250 feet above sea-level as permanent forest reserve.

Former Bukit Bendera MP Zairil Khir Johari, who is the Pakatan Harapan candidate for Tanjong Bunga, said the state government would review the guidelines on hill slope development.

Source:FMT.Click here to get live updates throughout the GE14 season

 

GEORGE TOWN: An MCA state leader has criticised Penang Chief Minister Lim Guan Eng over the latter’s statement that more stop-work orders have been issued against hillside development by the current state government.

State MCA Wanita chairman Tan Cheng Liang said Lim, who is also the DAP secretary-general, had “conveniently avoided” revealing the increase in number of protests in the state since 2008.

“He boasts about more stop-work orders being issued now compared to when Barisan Nasional was helming the state government.

“However, he failed to reveal that there have been more protests by Penangites against hillside development since Pakatan Rakyat took over.

“The latest is the chorus of dissatisfaction by residents of Mount Pleasure in Batu Ferringhi, objecting against approval accorded by the Penang Municipal Council (MPPP) for the construction of 21 four-storey villas and 80 two-storey bungalows there,” she said.

She said the 2008 DAP general election manifesto unveiled by Lim promised to “preserve our forest, wetlands and bio-diversity” while Pakatan Rakyat’s common policy framework stressed that the “environment must be preserved for the sustainability of future generations.”

“Just six weeks ago, Lim said in a speech that the Pakatan government was proud of its record of not approving any hillside development.

“However, the voices of disapproval by Penangites are evidence that Lim, the DAP and Pakatan are deceptive,” she claimed.

Citing examples, she said on April 8 this year, Sungai Ara residents protested against approval issued by MPPP Planning Department for two hillside development projects and in February 2009, Tanjung Bungah residents protested and submitted a memorandum calling on the state government to ban all current and future Class III and Class IV hillslope development projects.

“In view of these protests and to deliver the DAP and Pakatan’s pledge to protect the environment, I challenge Lim and the state government to issue a stop-work orders against all hillside development projects approved by MPPP,” she said in a press release yesterday.

Tan also took a swipe at Lim for focusing on luxury residences but allegedly had no regard for the poor.

“Approvals are given for exclusive housing and condominium projects on hills, but scant attention is given to low-cost housing for the poor where no low or medium cost units were constructed between 2008 to 2011,” she claimed.

On Tuesday, Lim said more stop-work orders had been issued by both local councils since 2008 compared to previously.

He said this proved that the state government was “more stringent in upholding the rule of law, demanding strict compliance with technical requirements and more unforgiving than Barisan.” – The Star

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More worms open up from Penang Undersea Tunnel project as Datuk Seri photos hots up


Pricey seizure: The luxury vehicles,
(clockwise from top left) a Toyota Vellfire, a Mercedes-Benz, a Land
Rover and a Hyundai Starex, seized from the Datuk Seri.
Happy meeting: In a picture that has appeared in cyberspace, Lim and the ‘Datuk Seri’ are seen in the back seat of a car.

PETALING JAYA: Another photo of Lim Guan Eng with a man who resembles the Datuk Seri being investigated by the Malaysian Anti-Corruption Commission (MACC) has emerged on cyberspace.

The photo shows the Penang Chief Minister and the 37-year-old Datuk Seri who is being investigated for allegedly receiving RM19mil to “help settle” the MACC’s probe on Penang’s controversial undersea tunnel and three highways project.

The photo was taken in a car with Lim and the Datuk Seri together in the back seat, both smiling widely. A caption that went with the photograph claimed that it was taken in August last year.

In early March, a photo of Lim and the Datuk Seri showing both of them wearing socks but no shoes standing on a carpeted floor, went viral.

The photo is believed to have been taken at a private residence.

MCA publicity spokesman Datuk Seri Ti Lian Ker pointed out that when the first photograph emerged on social media, the chief minister conveniently brushed it off, claiming that he had taken photographs with numerous personalities and denied having any dealings with the Datuk Seri.

“He even retaliated by showing a picture of the same Datuk Seri posing for a photograph with Star Media Group managing director and CEO Datuk Seri Wong Chun Wai.

“Wong responded by saying that there were many pictures of him taken with people he barely knew at events he attended and noted he was wearing shoes in the photograph,” Ti said in a statement.

But now with a second photograph of Lim and the Datuk Seri emerging so soon, Ti said, “so, what is Guan Eng’s excuse this time?”

Datuk Seri photo issue hots up

Pictured response: Lim revealing the pictures of the Datuk Seri’s wife with a Barisan leader at a press
conference in Komtar, Penang.

PETALING JAYA: Lim Guan Eng’s refusal to come clean on his relationship with the Datuk Seri being investigated for graft and his “revelation” of photos of the latter’s wife with Barisan leaders are acts of desperation, says Barisan Nasional Strategic Communications deputy director Datuk Eric See-To.

He slammed the Penang Chief Minister for not explaining his relationship with the Datuk Seri, who allegedly received RM19mil to help close the Malaysian Anti-Corruption Commission (MACC) investigation files on Penang’s RM6.34bil undersea tunnel and three paired roads project.

“Firstly, the wife is a media personality whose job would invariably include meeting government leaders.

“Secondly, those photos were uploaded to her public social media account by her, unlike Guan Eng,” he said.

Two photos of Lim and the Datuk Seri have emerged so far.

The first showed both wearing socks, but no shoes, standing on a carpeted floor, while the second was a wefie of both men smiling widely in the back seat of a car.

At a press conference in George Town yesterday, Lim distributed photos of the Datuk Seri’s wife with Barisan leaders to the press in response to the claims that he was close to the Datuk Seri.

“Looking at so many photos of his wife with Barisan leaders, it is clear that both of them are strong Barisan supporters.

“Do not throw stones when you live in glass houses,” Lim said.

However, See-To pointed out that none of the two Barisan ministers who took the photos with the wife had any involvement in the controversial Penang project.

“The Chief Minister’s office had brushed off the first photo implying that he is not close to the suspect, only for a second one to emerge which shows that the relationship is deeper than his office suggested,” he said.

Meanwhile, Lim also told the press conference that the wefie of him and the Datuk Seri was taken with the latter’s handphone.

He added that the real question was who leaked the photos when only the Datuk Seri had them in his handphone.

“Even I do not have them,” he said.

Lim reiterated that he had “taken many photographs with many personalities” and could not recall how many times or where they were taken.

He said there may be more photos of him and the Datuk Seri, the latter’s wife and family members.

“Does taking photos with him, his wife and family make us close buddies?” he asked.

On the same issue, Datuk Seri S. Vell Paari called on Penang Deputy Chief Minister II Dr P. Ramasamy to stop being an apologist for Lim.

The MIC treasurer-general said Dr Ramasamy should have joined him in questioning Lim’s role in the Penang project.

“Ramasamy should now be brave and encourage his boss to make police reports if those two photos are fake, or he should insist that his boss sue me if he believes I had slandered him,” he said in a statement.

Vell Paari claimed that he knew with certainty that the first photo was taken at the Datuk Seri’s lavish house in Petaling Jaya in July last year.

He also claimed that the wefie of Lim and the Datuk Seri was taken in August last year.

The car belongs to the owner of the special purpose vehicle set up for the tunnel project, he claimed.

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Vell Paari appointed as new MIC Treas

PETALING JAYA: Penang Chief Minister Lim Guan Eng must explain his relationship with a Datuk Seri being investigated in the Penang undersea tunnel project graft probe, said MIC treasurer-general Datuk Seri S. Vell Paari.

Vell Paari said Lim and his party DAP had a duty to the Indian community to “explain” their relationship with this suspect, who had “betrayed the trust of and cheated” the community.

“That suspect is involved in a case where many Malaysian Indians were cheated of their hard-earned money and savings.

“Datuk R. Ramanan and I had exposed him less than two years ago.

“As such, many individuals who are familiar with the suspect have told me that the photo of the Penang Chief Minister with the suspect was indeed taken in the lavish private home of the suspect,” said Vell Paari.

He said Lim and DAP must explain “when and why” the chief minister had visited the suspect’s house.

The 37-year-old Datuk Seri is being investigated by MACC for allegedly receiving RM19mil from the project’s main contractor Consortium Zenith Construction to “help settle” the commission’s probe into the controversial RM6.34bil project comprising an undersea tunnel and three main highways.

Lim’s office subsequently issued a statement saying that linking the Chief Minister to the Datuk Seri was a “disgusting smear attempt”.

“What dealings or businesses does he have with this Malaysian Anti-Corruption Commission suspect?

“If the photo was indeed not from the suspect’s house, the Penang CM and DAP are more than welcome to sue me,” said Vell Paari.

Sources: The Star

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Under remand: MACC officers escorting the Datuk Seri away after obtaining a six-day remand order from the magistrate’s court in Putrajaya – Mohd Sahar Misni/The Star

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GEORGE TOWN: The Penang state government is shocked at claims that RM22mil was paid to two individuals to cover up investigations into alleged corruption in Penang’s undersea tunnel project – and wants the developer consortium Zenith Construction Sdn Bhd (CZC) to come clean on the matter.

Chief Minister Lim Guan Eng said the state government was shocked by news that CZC allegedly paid RM19mil to an unnamed businessman and RM3mil to Baling MP Datuk Seri Abdul Azeez Abdul Rahim.

“This is something we had no knowledge of,” he said.

Lim was referring to the remand of a high-profile “Datuk Seri” for allegedly receiving RM19mil to close the corruption probe into the controversial RM6.34bil Penang undersea tunnel project.

An online news portal, quoting sources, has also reported that CZC has issued a demand letter on Feb 24 to Abdul Azeez.

The portal also reported that CZC was planning to sue Abdul Azeez and the businessman for allegedly failing to execute their tasks. – The Star

Related stories:

 Accounts frozen, house and cars seized

Pricey seizure: The luxury vehicles,
(clockwise from top left) a Toyota Vellfire, a Mercedes-Benz, a Land
Rover and a Hyundai Starex, seized from the Datuk Seri.

 

Abdul Azeez: I’m a victim of name-dropping – Nation

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Attacks against Malaysian multi-billionaire Robert Kuok from UMNO leaders and Raja Petra uncalled for!


https://youtu.be/cCoO3JEKZ48

PETALING JAYA: The recent attacks against multi-billionaire Robert Kuok, including those from Umno leaders and a prominent blogger, are regrettable, says MCA.

Party secretary-general Datuk Seri Ong Ka Chuan said it was a well-accepted fact that Kuok is a successful international entrepreneur.

“Kuok has made tremendous contributions to the country. These comments are made to spread hatred and create disunity,” he said.

Ong said Culture and Tourism Minister Datuk Seri Nazri Aziz has no right to request any Malaysian citizen to give up their citizenship.

“This is not within his jurisdiction,” he said.

Last week, blogger Raja Petra Kamarudin posted three articles in his website Malaysia Today, alleging Kuok was funding various political parties to overthrow the Government.

In response, Kuok refuted allegations and that he would reserve the right to take action against the portal.

MCA publicity spokesman Datuk Seri Ti Lian Ker concurred with Ong, saying there was no need to resort to harsh remarks against the 94-year-old tycoon.

“MCA is of the view that Kuok is a businessman who has benefited Malaysians in general.

“He is our business icon and revered by Malaysians from all ethnic backgrounds,”he said.

Ti said Kuok has every right to support whichever political party and that there were existing laws to deal with any attempts to undermine the Government.

“As a businessman, he could have supported many political parties and politicians from Barisan and Pakatan too. There’s no need to overreact by being ill-mannered in this instance,” he said.

But Ti pointed out that all businessmen who have benefited from Barisan’s policies should be thankful and reciprocate with support.

Two prominent Johor Barisan leaders – Tan Sri Shahrir Abdul Samad and Datuk Seri Dr Wee Ka Siong – came out to defend Kuok, saying they believed the tycoon would not interfere in national politics.

Dr Wee dismissed Raja Petra’s claims as “unreliable”.

“What was said on his blog was just a spin. There is no evidence. It is not persuasive,” said the MCA deputy president and Ayer Hitam MP. – The Star

 

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