KUALA LUMPUR, Aug 24 — The local chapter of Transparency International questioned today the set-up of a brand new investigation into 1Malaysia Development Berhad’s (1MDB) alleged financial irregularities under the leadership of recently-appointed Attorney-General (AG) Tan Sri Mohamed Apandi Ali right after dismantling a four-agency special task force on the state investment firm.

In a blunt statement, Transparency International Malaysia (TI-M) called the disbandment of the previous agency a “great setback” in the country’s battle against corruption and cast doubt on the credibility of the new investigation’s findings on the questions surrounding 1MDB with the exclusion of the Malaysian Anti-Corruption Commission (MACC), which it said was the right authority and crucial to possible action later.

“So one also now begins to question why the new AG is taking a leadership role in the Team.  Does he determine what should be investigated and what should not and how the investigation is to done?” TI-M president Datuk Akhbar Satar said in the statement.

The anti-graft watchdog noted that the role of the AG in the previous task force was only to provide legal advice but not to “control the investigations of the other enforcement agencies”.

The previous task force had comprised officers from the Attorney-General’s Chambers, Bank Negara Malaysia, MACC and the police.

Akhbar said that because four of the country’s agencies dealing with finances and corruption were jointly aboard the now defunct task force, Malaysians saw a measure of hope that there would be a resolution to the questions and allegations dogging 1MDB.

“TI-M feels that for this new task force to have any credibility, the task force should be properly constituted with the right enforcement agencies and led by someone with no political affiliation, no nonsense and has an outstanding record for good governance.  

“Without these key ingredients, when will the said burning issues of the nation ever be resolved based on a credible finding?” he asked.

He urged the government to maintain the independence of its enforcement authorities and to allow the MACC to continue its current investigation into SRC International Sdn Bhd, a former unit of 1MDB that is now under the direct overview of the Finance Ministry.

“We have indeed suffered great setbacks in our battle against corruption; our institutions have been compromised – political will is lacking in the powers that be due to self-interest; self-survival or whatever reason.  

“The people must take a stand now or the legacy we leave to our next generation will be that of a nation wrecked by the evil of grand corruption,” Akhtar said.

Mohamed Apandi, 65, was a Federal Court judge when he was announced late last month as the replacement for Tan Sri Abdul Gani Patail who had been a key member of the first 1MDB special task force, alongside the other heads of the central bank, the police and MACC.

Abdul Gani was suddenly terminated from the office he had served for nearly 13 years just two months shy of his mandatory retirement age of 60. He was said to be suffering from ill health, which necessitated a replacement.