1MDB probe in A-G’s hands, police finished their part, says home minister

Home Minister Datuk Seri Ahmad Zahid Hamidi says the police investigations into 1MDB is complete but refuses to comment on businessman Low Taek Jho. – The Malaysian Insider filepic, June 11, 2015.

Police have completed their probe into debt-laden 1Malaysia Development Bhd (1MDB) last month and is now waiting for further instructions from Attorney-General (A-G), Home Minister Datuk Seri Ahmad Zahid Hamidi said.

In referring to a police report lodged by former Batu Kawan Umno division vice-chairman Datuk Seri Khairuddin Abu Hassan, Zahid said the case was classified under Section 409 of the Penal Code for criminal breach of trust by public servant or agent.

"The investigative papers have been referred to the A-G on March 9 this year for further action," he told Tony Pua (DAP-Petaling Jaya Utara) in a written reply.

The second-term opposition lawmaker had asked on the status of police investigation into 1MDB as well as if businessman Low Taek Jho has been questioned due to his alleged links with the state investment vehicle.

While Zahid remained mum on the status of Low, better known as Jho Low, he said the National Audit Department has been directed by the government to give priority on its probe into 1MDB, which has accumulated RM42 billion in debts.

He said the department should be able to do its job freely, which include obtaining relevant documents without any obstacles in uncovering if there are any abuse or wrongdoings in the company's operations.

In December last year, Khairuddin had lodged a police report against the firm, calling for a “detailed and comprehensive” investigation, urging authorities to interrogate 1MDB’s directors and representatives of any company that might be implicated in its scandals.

He had said that he lodged the police report after studying various reports in national and international print and online media that “clearly proved” there were weaknesses in 1MDB’s management of taxpayers’ funds.

A month later, he lodged a similar report with the Malaysian Anti Corruption Commission (MACC), urging the anti-graft body to look into reports of alleged mismanagement in the sovereign wealth fund.

Criticism has been mounting over the Finance Ministry wholly owned investment vehicle, established in 2009, which has chalked up debts of up to RM42 billion, backed by Putrajaya.

Scrutiny has grown more intense following whistleblower site Sarawak Report's recent exposes, which piled pressure on Najib and prompted opposition politicians, former and current Umno leaders including long serving former prime minister Tun Dr Mahathir Mohamad and anti-graft bodies to demand a thorough investigation into the fund.

The Auditor-General is currently looking through 1MDB's books, with a preliminary report expected to be submitted to the Parliament in June, while Parliament's Public Accounts Committee started its investigation into the company last month.

- TMI