‘New accounting rule’ becoming the talk of the town?

COMMENT A few things have become the talk of the town - in fact, making Malaysians a laughing stock to the world.

While having lunch, a friend blurted out and announced, “Now, there is a new accounting rule in Malaysia.”

Because of the 1MDB scandal, the accounting rules have been revised, she said. “Now, managers can tell their staff that they just sign the documents just for the sake of formality,” she jested. Everyone laughed, as the joke had become so common these days.

In short, she said, there is no need for check-and-balance these days in the accounting world in Malaysia. Article 17 of the 1MDB memorandum of association which clearly spelt out Najib Abdul Razak’s role in major investment decisions was there just for the sake of formality.

Her remarks came after Umno lawyer Hafarizam Harun claimed that Prime Minister Najib, in his capacity as finance minister and chairperson of the advisory board, had “merely signed off on the deals and had no idea of the details.”

This, according to those present at the table, was the most ridiculous of all suggestions being made to ‘exonerate’ Najib of his alleged wrongdoing with regard to the disappearance of billions of ringgit from the Finance Ministry-owned investment arm.

Former deputy prime minister Muhyiddin Yassin has seen fit to blast both Hafarizam and minister Azalina Othman Said, during his ceramah in Azalina’s own constituency, Pengerang.

Both Azalina and Hafarizam were formerly chambering in Zaid Ibrahim & Co. Zaid Ibrahim had earlier lamented that his former law firm had failed to train both lawyers. “A lawyer must have the capacity to differentiate between what is good and bad, facts and lies,” Zaid had said in a tweet.

Sack auditors who irritate you

The other joke that I have heard recently is about auditors. If you find your auditors ask too many questions, just sack them!

That was exactly what Najib did when he sacked KPMG and Ernst & Young. After all, there are companies willing to comply according to your whims and fancies, by asking fewer questions. KPMG took over from Ernst & Young until December 2013, when Deloitte was appointed.

Najib’s signature was on the letter to terminate KPMG as auditor, after KPMG refused to sign off the 1MDB accounts and KPMG had asked too many questions.

So how is it that Najib could claim that he was not involved in the daily affairs of 1MDB’s operations?

No more investigation

When Saudi Arabia’s Foreign Minister Adel Al-Jubeir first said on Feb 6 that the RM2.6 billion which was deposited into Najib’s private accounts was not a political donation, attorney-general (AG) Apandi Ali did not urge an investigation.

Adel had even said that the money was from an unspecified ‘investment’ in Malaysia. Yet, there was no instruction to find out more about the case.

In fact, the AG had on Jan 26 closed three investigation papers involving the RM2.6 billion political donation and RM42 million from SRC International against Najib undertaken by the Malaysian Anti-Corruption Agency (MACC). He had exonerated the prime minister of any wrongdoing amidst public outcry; hence, there was not even any intention to investigate further what Adel had said.

When Adel claimed that his government was “fully aware that the attorney-general of Malaysia has thoroughly investigated the matter and found no wrongdoing”, we are all wondering whether he understood what he said. There was, in fact, no further instruction from the AG to investigate the case.

But, what makes me marvel is Apandi’s speed in declaring that there is no need for any investigation to be carried out when he had dragged his feet after he was first informed of Adel’s statement in February.

Does it not sound too hasty of Apandi to clear a case by just hearing one person’s comments, without looking at the documentary proof as suggested by former prime minister Dr Mahathir Mohamad?

In short, can a robber be acquitted when his accomplice says in public that the robber was with him at the material time? Can you blame us for not accepting the AG’s rationale?

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STEPHEN NG is an ordinary citizen with an avid interest in following political developments in the country since 2008. -Mkini