KUALA LUMPUR, Dec 15 — Datuk Seri Ahmad Zahid Hamidi sought today to distance Umno from the police report lodged against 1Malaysia Development Berhad (1MDB) by a Penang leader, saying the man had acted in his personal capacity and not on behalf of the party.
Zahid, who is also Umno vice-president and home minister, said, however, that the police will investigate the report lodged by Umno’s Batu Kawan division deputy chief Khairuddin Abu Hassan.
“The report was made in his personal capacity and Umno is not involved,” he told a press conference today after officiating the Royal Malaysia Police’s (RMP) police commanders and commandants conference at the RMP Training College in Cheras.
Zahid also spoke briefly in defence of 1MDB, which has been in the spotlight recently for allegations of impropriety, insisting the sovereign wealth fund is an off-budget agency run in according to proper regulations.
On Friday, The Star Online reported that Khairuddin lodged a complaint with the police against 1MDB and its subsidiaries, alleging “questionable” business, investment and fund raising transactions and decisions.
The news portal also reported that Khairuddin is backed by “powerful forces” in the party and that he decided to file the complaint following various reports in both the local and foreign as well as online media agencies, which had allegedly proved the flaws in 1MDB’s management of taxpayers money.
Khairuddin was also reported to have demanded a “detailed and comprehensive” investigation, including the “interrogation of 1MDB’s directors and representatives of any companies implicated”.
He was quoted venting his dissatisfaction with 1MDB’s alleged failure to counter allegations of imprudence, often made by Pakatan Rakyat lawmakers.
“As of March 2014, 1MDB is burdened with debts to the tune of RM41.9 billion, bearing the risk of bankruptcy and the loss of public funds.
“This will burden the Malaysian government as 1MDB’s guarantor,” Khairuddin was quoted saying.
