Malaysian PM’s critics unbowed despite anti-graft agency support

KUALA LUMPUR, (Reuters) – Malaysian opposition parties and activists kept up pressure on Prime Minister Najib Razak yesterday, undeterred by an anti-corruption agency statement apparently clearing him of receiving nearly $700 million from the debt-laden state fund 1MDB.

Najib Razak
Najib Razak

A senior member of Najib’s party also broke ranks over the scandal, suggesting that the prime minister’s moves to oust dissenters from positions of power and effectively delay an investigation into the fund had failed to put his government out of danger.

On Monday, the Anti-Corruption Commission acknowledged that 2.6 billion ringgit ($675.15 million) was transferred into Najib’s private accounts but said the money was a donation, not from 1Malaysia Development Berhad.

“Malaysians and the world are watching the country being seized by a madness where the government is warring against itself,” said Lim Kit Siang, parliamentary leader from the opposition Democratic Action Party (DAP).

“Such madness must stop and Malaysians must face up to one and only one issue – for the Prime Minister Najib Razak to convince Malaysians and the world of his innocence and moral authority to continue to lead Malaysia!”

The Wall Street Journal reported in July that investigators looking into allegations of graft and financial mismanagement in 1MDB found that nearly $700 million was deposited into Najib’s accounts. Reuters has not verified the report.

The prime minister has denied taking any money for personal gain, saying the allegations are part of a malicious campaign to force him from office. 1MDB has denied transferring funds to Najib and an interim government report found nothing suspicious.

Najib sacked his deputy, Muhyiddin Yassin, and replaced the attorney general last week, in what was seen as a bid to stifle questions over the mounting scandal.

He also suspended two newspapers and blocked access to a news portal, Sarawak Report, that has been reporting on the graft scandal. Police said on Tuesday they had an arrest warrant for the founder and editor of Sarawak Report, Clare Rewcastle-Brown, who is based in London.

Protesters have been detained under a Sedition Act, and some opposition leaders have been banned from overseas travel.