Malaysia
1MDB probe: Treasury sec-gen, EPU chief first to face PAC
A man walks past a 1 Malaysia Development Berhad (1MDB) billboard at the funds flagship Tun Razak Exchange development in Kuala Lumpur, March 1, 2015. u00e2u20acu201d Reuters pic

KUALA LUMPUR, May 11 — Parliament’s Public Accounts Committee (PAC) said today that it will first question the Treasury secretary-general and head of the Economic Planning Unit (EPU) under the Prime Minister’s Department in its investigation on the debt-laden 1Malaysia Development Bhd (1MDB).

PAC chairman Datuk Nur Jazlan Mohamed said the committee cannot wait for the national audit on 1MDB to complete because of increasing public concern over the financial status of the state investment firm that is reportedly RM42 billion in debt.

“We’ve already sent summon letters to the EPU today to make sure that they are present on May 19, together with the MoF (Finance Ministry), to start proceedings,” Jazlan said in a statement.

He said after Treasury secretary-general Tan Sri Irwan Serigar Abdullah and EPU director-general Datuk Seri Dr Rahmat Bivi Abdullah are questioned on May 19, PAC will quiz current 1MDB CEO Arul Kanda Kandasamy and 1MDB’s first CEO Datuk Shahrul Ibrahim Halmi, who served from March 2009 to March 2013, on May 26.

PAC member Datuk Kamaruddin Jaafar told Malay Mail Online earlier today that both Barisan Nasional and Pakatan Rakyat lawmakers on the parliamentary committee have agreed that the issue was of utmost importance and that there should not be any delays of the probe.

Jazlan said today that PAC had sent letters to the Finance Ministry and the EPU earlier on May 6, but the EPU responded last Friday saying that the relevant unit was not responsible for 1MDB’s management.

He, however, insisted that EPU be present to provide explanations to the PAC as the EPU has been present twice to explain 1MDB’s investments, besides being responsible for the development of the Tun Razak Exchange and Bandar Malaysia, Sungai Besi.

Earlier this year, Prime Minister Datuk Seri Najib Razak ordered the Auditor-General to conduct an independent check on 1MDB’s accounts and prepare a report for the PAC to further examine.

Defence Minister Datuk Seri Hishammuddin Hussein has suggested that an independent international audit firm be appointed to conduct a forensic check on 1MDB’s financials, following the latest controversy over its land sale to Lembaga Tabung Haji.

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