Malaysia is now a ‘pariah’ state: Mahathir attacks Najib

Dr. Mahathir Mohamad strengthened his attacks against incumbent Prime Minister Najib Razak over the 1Malaysia Development Berhad case, which the latter is embroiled in.

Mohamad said that Malaysia has become a state where people have lost their trust in the government. According to the longest reigning prime minister, covering the 1MDB case is an “abuse of the law.” In his blog, Mohamad wrote "...the members of the Government are saying that no one, not even the Rulers may comment on obvious Government abuses of the laws of the country."

Last week, the Office of Malaysia’s Attorney-General refused to act on a recommendation by the central bank to start criminal proceedings against 1MDB for allegedly breaking foreign exchange rules. Najib, which founded 1MDB, retains oversight of 1MDB through chairmanship of an advisory board.

Najib refused to explain how AU$950 million appeared in his personal bank account prior to the 2013 national elections, nor did he explained what happened to the money.

Najib has denied any wrongdoing. He also denied taking money for personal gain.

According to Malaysia’s anti-corruption agency, the money was meant as a donation, although the purpose for the contribution was not specified. The alleged donor was also not named but was said to be based in the Middle East.

The sultans of Malaysia’s nine states took a plunge into the issue and have ordered a proper investigation into the scandal as it is adversely affecting Malaysia’s economy and the country’s image to the world. The U.S. Federal Bureau of Investigation has said to investigate money-laundering allegations related to the fund. However, Malaysian police denied any communication from the FBI.

The 1MDB investigation is on-going in at least four countries, including Singapore and Switzerland.

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