The Malaysia Airlines (MAS) Story: Of Plunder, Abuses and Lies

by Din Merican

Yes, justice may be delayed, but it can never be denied. As I have always said, in Malaysia, 90% of rumours are always finally proven as fact in the end. And that is why Malaysians believe in rumours.–Raja Petra Kamaruddin, Malaysia-Today

“At all material times, I was acting as a nominee and agent of the Government and in the performance of a public duty and I was bound to act under the instructions and directions from the government.”–Tajuddin Ramli

While the mainstream media and public relations firms spin yarns about the economic, financial and operational benefits of the MAS-AirAsia share swap deal, let me state up front that I am sceptical.

It is clear to me that the plunder of MAS 10 years ago when Tajuddin Ramlicontrolled 29% of its shares is about to repeat itself with the entry of Tony Fernandes as MAS’s new 20% shareholder. And Tony Fernandes did not even have to pay for these shares. All he did was to swap shares with Khazanah. For every 2 shares in MAS, Tony gave Khazanah only 1 share in AirAsia.

That AirAsia will gain from having Khazanah as a shareholder is clear. They will now have “government” muscle to achieve what they could not before. But let me leave that to the financial analysts to comment and write about.

The so-called “Global Settlement” or Bailout?

I have previously written about the “Global Settlement” that the government-linked companies (GLCs) are forced to enter with former Malaysia Airlines Chairman, Tajuddin Ramli. This Malay tycoon plundered the national carrier to the bones. Yet, to this day he lives in absolute luxury in his ranch at Kuang, which he pretentiously calls Ar-Raudhah or the Garden of Paradise.

That Tajuddin is immune from prosecution should not come as a surprise. This was already to be expected when Malaysia Today exposed that Tajuddin’s proxy, Shahidan Shafie, had gone to Haj as part of AG Gani Patail’s family. In case readers have forgotten,please see the official Tabung Haji document below:

Shahidan’s name had also surfaced in court documents when the “Global Settlement” was first flouted in court. Read paragraph 4 of this document (below) that appeared in various blogs last year. At that time, I had already known that Shahidan is also close to Nazri Aziz and other UMNO leaders. This was convenient to allow Tajuddin to still cut deals without being seen.

In the scheme of things, anyone who becomes a hindrance must be gotten rid off. That was what happened to the Director of Commercial Crimes PDRM, Police Commissioner Dato’ Ramli Yusuff, after he recommended to then Prime Minister Abdullah Badawi that Tajuddin and gang be charged for various offences.

Instead, it was Dato’ Ramli who was stripped of his rank, suspended and charged and that ended the police investigations against Tajuddin. Until today, A-G Gani Patail is still pursuing various appeals against Dato’ Ramli who had been repeatedly acquitted by several Courts.

Rosli Dahlan

The same thing happened when lawyer Rosli Dahlan continued to pursue MAS’s claim against Tajuddin for breaches of fiduciary duties which caused MAS to suffer losses running into billions of ringgit. Like Dato’ Ramli, Rosli was charged in court during Ramadan of 2007 to put the civil cases to an end. I have written extensively on Rosli’s trials and tribulations and will not repeat that story.

But even that did not put an end to the civil cases against Tajuddin. Now that the old MAS Board of Directors and Management have been be removed (or asked to resign to put it morey politely) with the MAS-Air Asia share swap deal, the timing is just right to also bail out Tajuddin and close the lid on this case.

Lawyer Rosli Dahlan will now discover that the new MAS management is about to abandon and dump him at the instructions of Nazri Aziz. Nazri even had the audacity to direct that all the other lawyers presently representing the respective GLCs be dropped and to be replaced by his and UMNO’s preferred lawyer Dato’ Hasfarizam.

Nazri’s directive is a blatant display of raw power. Nazri must have forgotten that these GLCs have public shareholders and they are not just some jabatan kerajaan (government department) that Nazri can give orders to. This is a classic case of abuse of power by a public officer which MACC should immediately investigate.

I am happy that public outrage has now forced Nazri to back pedal into saying that he merely gave “advice” and did not give any “directions” to the GLCs. Unfortunately for Nazri, Malaysia Today had posted his August 8 letter which plainly shows Nazri had lied in his public statements.

Abu Hurayrah quoted that the Prophet said:

“The signs of the hypocrite are three: when he speaks, he lies; when he makes a promise, he breaks it; and when he is entrusted with something, he betrays that trust.” (Narrated by al-Bukhari, 33; Muslim, 59).

I intended to also write that Nazri’s action amounts to an offence. But since my friend, Tan Sri Robert Phang, had already issued a press statement which says almost what I had intended to say, I will just reproduce Robert Phang’s statement (below).

For my enigmatic friend Nazri’s sake, I hope he will just admit his mistake, and not perpetuate any more lies. I know he will get angry reading this and he would probably challenge me in his usual “Anak Jantan” (fighting cock) style. But the truth has to be said, and the truth may at times be painful.

Since this is Ramadan, I would like to remind Nazri what the Quran says about liars in Surah 96: Al Alaq. God says “Lies, aggression and hostility come from the prefrontal lobe of the brain (behind the forehead)” and God will deal with the liars, the lying sinful liars in the following manner:

“Allah will grab him by the (naseyah) [frontal lobe of the brain], the lying sinful (naseyah).”

To our government, I will just say this – stop the plunder, abuses and lies!

August 13, 2011

Press Statement

Tan Sri Datuk Robert Phang, Justice of Peace

Chairman – Social Care Foundation

NAZRI SHOULD STOP LYING AND THE GOVERNMENT STOP COVER UP

1. The public outrage over Dato’ Seri Nazri Aziz’s letter dated 8th August is justified. It is unprecedented and wrong for the Minister in the Prime Minister’s Office to direct all Government-Linked Companies (GLCs) to withdraw their civil suits against former MAS Chairman, Tan Sri Tajuddin Ramli. I find it very appalling that a Minister of Nazri’s seniority and status can direct GLCs to withdraw their claims against Tajuddin Ramli which means allowing him to get away with billions of ringgit in debt.

2. Nazri’s immediate back pedaling by attempting to say that his letter was only an “advice” and not a”directive” or “instruction” by itself shows that Nazri knew that he had made a grave error. Now that Malaysia Today has posted Nazri’s letter, it clearly shows that Nazri had lied. To make a mistake is one thing, but to lie in order to cover up for that mistake makes it worse.

3. Another aspect I find deplorable is the lethargy and disinterest shown by Attorney-General Gani Patail and the MACC in prosecuting Tajuddin Ramli. This contrasted sharply with the swift manner in which the MACC investigated me after I criticized A-G Gani Patail for his involvement and Haj Trip with a crony of Tajuddin, one Shahidan Shafie. Based on just a false allegation in an anonymous blog, I was subjected to an immediate investigation by the MACC.

4. I was also publicly humiliated when I was only conditionally cleared in a press statement issued on 31st May 2011 by the MACC Operations Evaluation Panel (OEP) Chairman, Tan Sri Dr. Hadenan Abdul Jalil. I have since demanded the MACC to give me an unconditional and unequivocal clearance. I have yet to receive the MACC’s reply.

5. If the MACC can be so speedy to act against me, why is the MACC showing hesitation to act against Tajuddin Ramli? There are overwhelming evidence against him available in the public domain including the report made by the former Director of Commercial Crimes, Dato’ Ramli Yusuff, to former PM Abdullah Badawi? All these smack of a cover-up.

6. Nazri’s action is also an abuse of power in asking for GLC legal work to be passed to a legal firm. Who are the lawyers of this legal firm that they should be given preference over other more eminent lawyers in the country? Are they Nazri’s associates and is he receiving gratification for this? If so, the MACC should investigate and prosecute Nazri under section 2(1) of the Emergency (Essential Powers) Ordinance No. 22/1970. Nazri should also be prosecuted under the MACC Act as follows:

MALAYSIAN ANTI-CORRUPTION COMMISSION ACT 2009
Offence of using office or position for gratification

23. (1) Any officer of a public body who uses his office or position for any gratification, whether for himself, his relative or associate, commits an offence.

(2) For the purposes of subsection (1), an officer of a public body shall be presumed, until the contrary is proved, to use his office or position for any gratification, whether for himself, his relative or associate, when he makes any decision, or takes any action, in relation to any matter in which such officer, or any relative or associate of his, has an interest, whether directly or indirectly.

(3) For the avoidance of doubt, it is declared that, for the purposes of subsection (1), any member of the administration of a State shall be deemed to use his office or position for gratification when he acts contrary to subsection 2(8) of the Eighth Schedule to the Federal Constitution or the equivalent provision in the Constitution or Laws of the Constitution of that State.

7. I therefore call on the MACC to show some courage and investigate this matter. Otherwise, the MACC will forever not regain the public’s trust after Teoh Beng Hock and Ahmad Sarbaini had died over what the public perceived to be due to the harsh treatment by the MACC over much less serious allegations of corruption. Let its not be said that the laws of this country favor the strong over the weak.

8. Since this is the Muslim Holy month of Ramadan, I ask Nazri Aziz, who is always known to be courageous in a “jantan” way, to apologise to the Malaysian public for insulting our intelligence in this incident. Nazri needs to do so before he drags the whole administration of PM Najib Razak into public anger and odium. The government can least afford these sort of scandals with the elections being just around the corner.

“HUMBLENESS IS GOOD VIRTUE, ARROGANCE SHALL FALL, THE MEEK WILL RULE THE WORLD”.

Tan Sri Datuk Robert Phang Miow Sin