The Now Infamous Tabung Haji-1MDB Land Deal–Heads Must Roll

MY COMMENT: What is happening to Malaysia? We are not short of news that soil the image of our country abroad and undermine public trust in  the Najib administration. Our country is rotting and I can smell the stench from Phnom Penh, Cambodia.

It is  a sorry state of affairs when professional accountants and senior public servants  fail to protect the interest of stakeholders of Tabung Haji, the much respected and trusted pilgrim fund which was set up to enable Malaysian muslims who are members of the Fund to save for their pilgrimage.

By using their savings to purchase the land from 1MDB at an inflated price, these individuals have failed in their fiduciary duty, which is to ensure that the funds are prudently invested. And it is not known whether a proper independent  evaluation was undertaken. We will never now since all documents relating to this transaction are now classified under the Official Secrets Act. I am told that Tabung Haji has filed a police report in connection with the leaked documents.

The whole  Tabung Haji -1MDB deal is an example of blatant conflict of interest. It cannot be said that this transaction is conducted on “arms length basis”  since senior Tabung Haji executives – CEO Tan Sri Ismee Ismail, Deputy CEO Johan Abdullah, investment panel member Tan Sri Abdul Samad Alias and Director Tan Sri Irwan Siregar – also hold top positions in 1MDB, where Ismee is a director in the state investment fund, Johan is Chairman and both Abdul Samad and Irwan sit on the 1MDB advisory board. Irwan is also the Ministry of Finance Secretary-General.”

In the meantime, the Auditor-General continues to drag his feet on the audit of the financial affairs of IMDB. This is totally unacceptable since the Malaysian public demands a full and thorough report from Tan Sri Ambrin. This feet dragging nonsense is one clear indication that our entire system of governance is dysfunctional and our country is in a mess. I fail to understand why we Malaysians in general are content to accept the status. We  continue to allow our leaders and government officials and those in charge of government-linked corporations to act with impunity. Najib and his cohorts must be held to account for all the scandals that have occurred since he took office in 2009.

It is  encouraging to note that the UMNO Youth under Khairy Jamaluddin is making a stand on this Tabung Haji-1MDB land deal. Let us hope that Mr. Jamaluddin is not just playing to the gallery. Only UMNO collectively can act to remove this incompetent and dishonest Prime Minister.  Najib is UMNO’s problem. It is also time for the Deputy Prime Minister, Tan Sri Muhiyuddin Yassin to make his stand. He cannot just stand back and watch while our country rots.–Din Merican

The Now Infamous Tabung Haji-1MDB Land Deal–Heads Must Roll

by The Malaysian Insider

Heads must roll over the controversial 1Malaysia Development Bhd-Lembaga Tabung Haji land deal, but the buck stops with Prime Minister Datuk Seri Najib Razak who must bear the ultimate responsibility by resigning, a DAP lawmaker said today.

Bukit Bendera MP Zairil Khir Johari said this was the first time a political issue had gained so much traction and agreement from both sides of the political divide with strong statements coming from not only DAP, PKR and PAS, but also UMNO leaders past and present.

“To begin with, the entire debacle would not even have occurred had it not been for 1MDB’s misadventures, resulting in the sovereign fund racking up a massive debt of RM42 billion, which it now appears unable to repay.

“Therefore, responsibility lies on the shoulders of the man who is not only chairman of 1MDB’s Board of Advisers, but also the person responsible for appointing all the key personnel in both Lembaga Tabung Haji and 1MDB. There does not appear to be any other option. Najib must bear the ultimate responsibility by resigning with immediate effect,” Zairil said in a statement issued in Kuala Lumpur today.

Tabung Haji, a savings fund for Muslims to go to Mecca on pilgrimage, confirmed two days ago it bought a parcel of land from state strategic investor 1MDB’s Tun Razak Exchange (TRX) project for RM188.5 million, which it claimed was a “discounted” price.

It plans to build a residential tower at the site. News of the purchase was first published in The Benchmark blog three days ago when it revealed documents related to the land purchase. Tabung Haji has lodged a Police report over the leaked documents.

Zairil said it was clear the “ship is sinking”, where in addition to UMNO Youth Chief Khairy Jamaluddin’s stinging reproach on the land deal, Deputy Prime Minister Tan Sri Muhyiddin Yassin, and Rural and Regional Development Minister Datuk Seri Shafie Apdal had also warned of a loss in confidence and raised serious concerns over the management of 1MDB.

He said given the rate the issue was unfolding, Putrajaya look set to capitulate unless visible steps were taken immediately to ensure accountability. “In plain and in no uncertain terms, those responsible must be made to pay the price,” said Zairil, who is also DAP Assistant Secretary-General.

It has been revealed that senior Tabung Haji executives – CEO Tan Sri Ismee Ismail, deputy CEO Johan Abdullah, investment panel member Tan Sri Abdul Samad Alias and director Tan Sri Irwan Siregar – also hold top positions in 1MDB, where Ismee is a director in the state investment fund, Johan is chairman and both Abdul Samad and Irwan sit on the 1MDB advisory board. Irwan is also the Ministry of Finance Secretary-General.

He also asked whose interests did Ismee, Johan, Abdul Samad and Irwan have in mind when they decided to put the land deal together, questioning if the four were acting on behalf of the millions of Muslim depositors of Tabung Haji or if they were more concerned about the flagging financial fortunes of 1MDB.

He added that the entire senior management and board of directors of Tabung Haji had also failed to carry out their fiduciary duty as managers of public funds and also as trustees of a religious duty.

He added this was not limited to those with a foot each in Tabung Haji and 1MDB, but to the entire team including Tabung Haji chairman Datuk Sri Abdul Azeez Abdul Rahim. “The whole Tabung Haji leadership must be replaced,” Zairil said. -Din Merican