PKR vice-president Rafizi Ramli suspects Bank Negara Malaysia (BNM) may face problems investigating 1Malaysia Development Bhd (1MDB) despite the red flags on money laundering.
The Pandan lawmaker said he wrote numerous times to BNM on the state investment firm but did not receive any reply.
"According to the Anti-Money Laundering Act (Amla), the central bank has to take action and investigate if a transaction does not make sense.
"Normally, even if you transfer RM1 million to the Cayman Islands, BNM will probe you under Amla.
"I postulate that there is some kind of interference (stopping BNM from investigating 1MDB)," Rafizi told Malaysiakini.
One particular red flag, he said, was revealed in a Sarawak Report expose last weekend on a transaction of US$700 million (RM2.5 billion) from 1MDB to Good Star Ltd, controlled by tycoon Jho Low.
In a statement earlier today, Rafizi said based on an alleged leaked email published by Sarawak Report, former 1MDB CEO and Deutsche Bank likely contravened an Amla provision by failing to declare the name of the beneficiary.
"I believe RBS (Royal Bank of Scotland) needs confirmation on the beneficiary’s name in order to complete its internal risk mitigating processes as no name was… (sentence incomplete).
"We will await your instructions on whether to reveal the beneficiary's name (please provide) to RBS Coutts," the Deutsche Bank officer asked then 1MDB CEO Shahrol Halmi the alleged email.
Shahrol replied that the beneficiary is Good Star Ltd, which has its address in the Republic of Seychelles.
BNM did not respond to Malaysiakini's email on 1MDB.
However, asked on 1MDB's debts at a press conference in January, BNM governor Zeti Akhtar Aziz said the bank will not allow systemic risks to the economy.
"We will never comment on an individual entity, but we have arrangements to deal with it so that no individual entity will have a systemic implication on the overall financial system of our economy,” she reportedly said.
According to Rafizi, Prime Minister Najib Abdul Razak could instil confidence in 1MDB if he ensures that BNM can investigate independently.
This is better than making a blanket announcement on a public audit, as Najib did yesterday, because the scope of the audit can be hindered by its terms of reference, he said.
"Therefore, I urge the scope and terms of the audit be tabled in the coming Parliament sitting to ensure it is truly comprehensive and aimed at providing transparency," the Pandan MP said.
Identify where are the funds
Rafizi said the terms of reference should include identifying where 1MDB's funds have been invested, the amount and final beneficiaries, the individuals involved and follow-up actions.
He added that each investment and spending must be vetted if it complies with good governance and is reasonably valued, including returns on investment.
The audit should also look into the financial risk 1MDB poses to the economy and mitigation measures that can be taken, he said.
Separately, DAP's Segambut MP Lim Lip Eng questioned why the cabinet is taking the role of financial investigator in clearing 1MDB of any wrongdoing.
"(The cabinet's) statement is a guarantee to all investors of 1MDB that no action will be taken against anyone in the matter, regardless of the outcome of the National Audit Department's audit and the Public Accounts Committee probe into its accounts," Lim added in a statement.
Yesterday, the Prime Minister's Office said the cabinet, after being briefed by 1MDB and the firm’s auditor Deloitte, found that nothing was amiss about 1MDB. - M'kini
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.