Come clean over 1MDB link, Anwar tells BNM

PETALING JAYA: Opposition leader Anwar Ibrahim has demanded that Bank Negara Malaysia (BNM) come clean over its alleged involvement in the 1MDB scandal in light of recent allegations.

He highlighted the testimony by former Goldman Sachs Southeast Asia chairman Tim Leissner in a US court last week, which alleged BNM’s link to the flow of 1MDB-linked money.

Apart from linking the husband of former BNM governor Zeti Akhtar Aziz to an “overnight” US$1 billion transfer from 1MDB to PetroSaudi International (PSI), Leissner had also claimed that 1MDB funds were used in the 2013 general election.

Anwar said the central bank’s failure to properly address the banker’s allegations would hurt its reputation.

“For me, BNM is responsible for the flow of money, and they cannot just wash this (claim) off,” he said at the Dewan Rakyat’s Special Chamber.

“When a parent institution washes itself of its enforcement responsibilities, everyone will take advantage. There must be a comprehensive investigation.”

Leissner is the star witness in the trial of former Goldman Sachs Malaysia banker Roger Ng, which is taking place at the Brooklyn federal court in New York.

Last week, Leissner told the jury that Zeti’s husband, Tawfiq Ayman, had allegedly received a bribe to ensure the “overnight” US$1 billion transfer took place with BNM’s approval.

In reply, BNM said all submissions made by 1MDB were subject to the same approval criteria and internal governance process that apply to any submission by other entities to the central bank.

Anwar, however, was not impressed.

“That statement is not convincing as it completely shuts off Zeti and Tawfiq from their involvement, or alleged involvement, in this,” he said.

Leissner described the speed at which BNM gave the approval for the transfer as “unprecedented” due to the capital controls in place at that time (2009).

He could not confirm whether a bribe was paid when asked by prosecutors, while Tawfiq has denied the allegations levelled at him.

“Although Tawfiq has denied this, it does not negate the information received by Singapore police,” Anwar pointed out.

The Port Dickson MP was referring to reports that Singapore police informed BNM of suspicious transactions involving a company owned by Tawfiq and his son, with funds coming from accounts linked to Low Taek Jho, also known as Jho Low.

The Edge had previously reported that according to documents it had sighted, Singapore’s Commercial Affairs Department had shared this information with the central bank in 2015 and 2016. Zeti was governor at the time the information was relayed to BNM.

While BNM last week said it has furnished information to the relevant law enforcement agencies with respect to accounts belonging to “the husband of a former BNM governor”, Anwar questioned why the matter had been kept under wraps for so long.

“It is as if there were parties within BNM colluding (not to expose it),” he said. — Free Malaysia Today