The Malay Shame and Tragedy that is 1MDB


July 31, 2016

The Malay Shame and Tragedy that is 1MDB

by  Dr M. Bakri Musa

Morgan-Hill, California, July 25, 2016

Imagine had Prime Minister Najib Razak responded differently to the US Department of Justice Asset Forfeiture lawsuit and said instead, “I have instructed my Foreign Minister to seek clarification to determine who this “Malaysian Official 1” so we could investigate him. I have also directed the Attorney General to review the evidence in the DOJ complaint.”

As for 1MDB, imagine if its spokesman had responded, “We view with deep concern allegations that assets meant for our company, a public trust, had been corruptly diverted. We seek clarification on who 1MDB Officials 1 and 2 are to make sure that they are no longer in our employ. We will review our policies to ensure that such pilferages as alleged by DOJ if they did occur will not recur. Additionally, we are engaging legal counsel to protect our interests in the American trial.”

The US Attorney-General Loretta Lynch and her Team

Malaysia’s Attorney-General, Apandi Mamak Ali

Instead, what Malaysians and the world heard last Wednesday were irrelevant and meaningless statements to the effect that neither Najib nor 1MDB are the defendants in the suit. True and obvious, needing no response or clarification. The defendants are the owners of those seized assets which are alleged to have been acquired with funds corruptly siphoned from 1MDB, a GLC of which Najib is the Chairman.

The responses from Najib, his ministers, and 1MDB only brought shame to themselves, to Malays, and to Malaysia.

As for the defendants, their options are either not to contest the suit and thus forfeit those assets, or fight it. Negotiated settlement is unlikely. This is the biggest asset forfeiture in US history; Attorney-General Lynch is out to make a point to corrupt kleptocrats everywhere in these days of complex cross-border money laundering.

Before this, the biggest forfeiture involved the giant telecom company, Amsterdam-based Vimpel.com, and individuals close to the president of Uzbekistan. The Uzbeks ignored the suit while the company pleaded guilty to the criminal charges. Rest assured that those defendant Uzbeks won’t be visiting Disneyland or Las Vegas any time soon!

The  Fawning Malay Public Officials who have yet to learn from Gani Patail, Zeti Aziz and Abu Kassim. Loyalty to Najib Razak does not pay

This 1MDB corruption may be a legal case but politics is never far off the radar in Putrajaya and Washington, DC, as well as in the potentially more volatile international arena.

No-Contest Option

Not contesting would save substantial legal fees and other costs, as well as the not insignificant personal hassle factor. Those aside, the biggest advantage would be not further exposing the defendants and others, legally as well as in many other ways, during the pretrial discovery and trial. Spared a trial the identity of “Malaysian Official 1” will never be known, at least not officially, a crucial consideration in Putrajaya.

The loss of those assets, even though in the hundreds of millions (in US dollars, not worthless ringgit), is at least quantifiable. However, even the Sultan of Brunei could not shrug off a loss of that magnitude.

Choose this option and Riza Aziz, one of the defendants who according to court documents is also related to Malaysian Official 1, would be well advised to pack up and find a country that does not have extradition or tax treaty with the US. He also had better get used to a much less luxurious lifestyle.

Were Riza to pursue this course, at least in his old age he could regale his grandchildren with stories that he once owned a glittering condo in Manhattan and shared drinks with Hollywood stars in Las Vegas.

That would also be a very Malay story. At Kampung Baru today there are many elders who look with nostalgic gaze at the skyscrapers in the Golden Triangle and lament, “Ah, itu cerita dulu!” (Those are old stories!)

The US Government would recoup its considerable costs from those assets. Rest assured there would be itemized bills for every paper clip and DOJ lawyers would be charging senior partners’ rates. Even after factoring that there will still be substantial loot left. By statute, that belongs to the people of Malaysia.

Malaysians knew about this since last year except for the few clowns who thought otherwise

This is not the time for me to be politically correct to someone as corrupt as Najib Razak —Malaysian Official 1?-Malaysia’s Kleptocrat–Din Merican

If Najib is still Prime Minister, do you think those Americans would be dumb enough to return those millions to the same scoundrels? America could not disburse them to Malaysian NGOs either as most are not sympathetic to UMNO. That would present a delicate diplomatic problem. On the hand it could prove to be the most sophisticated and effective exercise of “soft power,” more powerful than “boots on the ground” in effecting regime change.

At any rate don’t expect those Monet paintings to hang on the walls of kampung huts any time soon.

Contesting the Forfeiture

Contesting would be no walk in the park. It would be expensive, protracted, and risk uncovering details that could trigger criminal charges. American lawyers are not cheap and potential defense attorneys would want their substantial fees paid upfront and from “clean” sources. With those assets tied, Riza better have other fat bank accounts. Even if he were to receive help from his “Malaysian Official 1” relative, Reza’s defense attorneys would insist, and need unchallenged documentation, that the money is legitimate and not siphoned public funds.

The earliest a trial could begin would be a year or two hence, in time for the UMNO Leadership Convention or worse, the next Malaysian election. A trial would also risk exposing the identity of “Malaysian Official 1, a consideration for Putrajaya.

Being a civil case the burden of proof for the prosecution is lower, merely the preponderance of evidence, not the much higher “beyond a reasonable doubt” of a criminal trial. The burden also shifts to the defendants to prove that those assets were acquired with untainted funds.

In court documents Riza Aziz claimed that the millions he received from some unknown Arab was a gift. An incredulous assertion that even his accountant did not believe him; hence the attestation from his “donor.” If this be a trial by jury, it would be tricky to convince an American juror, as with Riza’s accountant, that receiving millions from a stranger is a “gift.” Besides, the image of an Arab in America these days is far from pristine.

With a trial the testimonies of those professionals who had advised the defendants would be scrutinized. The Watergate Hearings of the 1970s exposed the unsavory activities of the various advisors. Many prominent lawyers ended being disbarred, including the President’s Counsel as well as a former Attorney-General.

A trial would highlight an ugly truth that could prove explosive in race-sensitive Malaysia. That is, Riza Aziz excepted, those corrupt Malays got only the crumbs while the gravy flowed to that Wharton-trained Chinaman. That won’t sit well with UMNO Youth’s “Red Shirts” or PERKASA boys.

A trial would also showcase the professionalism and meticulousness of American prosecutors and investigators. That would not make the former failed UMNO operative and now Malaysia’s Attorney-General look good. The Malay image is already battered by the amateurs at 1MDB.

It took a Penang-born baby faced Chinaman to do the Malays in. We are not smart, only arrogant

From the perspective of international politics, it may be shrewd not to identify “Malaysian Official 1.” This forfeiture however, is not the only game. After all, Obama did not tee off with Najib that Christmas in Hawaii because he (Najib) was a Tiger Woods. It was part of Obama’s “Pivot to Asia” show, with Najib the prop.

There are other actors in this new shadow play. China is asserting itself, most visibly through military exercises in the South China Sea but more effectively elsewhere. Note the abrupt change of face at the recent ASEAN conference that had initially condemned China, and ASEAN’s collective silence on the International Court’s decision on the South China Sea dispute.

China too could play the Obama game, not on the green of Hawaii’s golf course but FELDA’s oil palm oil plantation. China could buy palm oil from Africa, and not offer inflated prices for those rusty 1MDB assets.

Malay FELDA Global Ventures Directors –Foxes in charge of the Hen House headed by Chairman Isa Samad

Najib now has to balance the interests of his stepson and former Beverly Hills real estate tycoon Rza Aziz versus that of FELDA settlers and their wooden huts. Not an easy choice! The kampung boy in me longs to see a good fight by our modern-day Hang Tuah. Thus I challenge Riza to be jantan (man) enough to fight this US forfeiture.

Back to reality, the winners in this 1MDB shadow play are many and obvious. Riza is one, though not as big as he was before the forfeiture; so too Malaysian Official 1 as well as IMDB Officials 1 and 2. As for that Wharton MBA character, he could still savor his shark’s fin soup in Taiwan. The US DOJ too is a winner, and a very big one.

As for the losers, 1MDB is the obvious. Its current management should sue the previous board and management for incompetence as well as breach of fiduciary duties to recover some of the losses. Current management owes the company and Malaysians that much.

The other victims are less obvious. They include FELDA settlers now deprived of better schools, smart young Malays who excelled on their IB tests but now cannot go abroad, and those dedicated GLC Malay executives whose reputations are now tainted because of the shenanigans of those monkeys at 1MDB.

Those Malaysian officials who responded last Wednesday to the DOJ’s lawsuit and those Malays who still strenuously defend Malaysian Official 1 have yet to recognize these victims. That’s the terrible shame and great Malay tragedy.

 

 

18 thoughts on “The Malay Shame and Tragedy that is 1MDB

  1. But that is it. The Malay Muslim is ignoring their shame. They excuse themselves from shame with confusion because Hadi’s PAS tells them so.

    The inability to feel shame is sociopathic – that is Najib, UMNO and Hadi’s PAS. For the Malays, they feel shame but excuse themselves because of their leaders particularly Hadi’s PAS.

    There is no vocabulary or culture in Malay to fight against their own sociopathic leaders.

  2. This morning as I was driving to attend Sunday Service I was stuck behind a van. To my surprise it carried a bumper sticker stuck not on the bumper but on the rear window which read, “Bersama-sama Kita Menghapuskan Rasuah. well we have our work cut out as a nation.

  3. Dr. Bakri’s writings are always entertaining and biting. He has no holds barred views of the Malays. Read his Magnum Opus, The Malay Dilemma Revisited, if you have not done so. After reading it, I became a fan and a friend of this wonderful and passionate doctor and his gracious wife Karen Musa, who Kamsiah and I met some years when we were in LA where we stayed at Semper Fi’s place. Our trip to Santa Barbara together was a memorable one. –Din Merican

  4. And it baffles us as to how it is possible that there are still Malays who shamelessly feels proud to have such leadership ,Malays who still claim that UMNO is defending their dignity when such scandalous thievery had totally shredded their dignity .
    Malays who unabashedly proclaimed “Ketuanan Melayu” while making a mockery out of such proclamation.

  5. ‘ those corrupt Malays got only the crumbs while the gravy flowed to that Wharton-trained Chinaman ‘.

    This is grossly untrue……the Malays are as dishonest and manipulative as other people, if not more, as they are in position of power, trust and influence…….’ IF ‘ many Malays got crumbs, it adds up to a lot as compare to one chinaman.

  6. Well, Malays are always told that they belong to the chosen religion. That they shoulf be proud of being muslims. Thus, anything they do, right or wrong, will be looked upon favourably by tha almighty. So no need to castigate themselves for their wantonness, much less that of their leaders. The path is clear, the virgins await.

    Let the others shout about honesty, cleanliness, integrity and all the other sins. These are worldy matters of no concern to them. Worse come to worse the umrah will take of any waywardness, maybe even lubricate the journey to the place where rivers of wine flow and the nubile ones cavort.

    As for the malay leaders, whatever wealth gotten through means fair and foul – and it’s increasingly the latter, is their rezeki. The rest of the smelly proles can go take a hike.

  7. /// That is, Riza Aziz excepted, those corrupt Malays got only the crumbs while the gravy flowed to that Wharton-trained Chinaman. ///

    What crumbs? A huge slice of the pie went to MO1. Even those that flowed to the Chinaman had to be shared with Grossmah – he had to pay for all those diamonds and other bling-blings.

  8. Contesting the Forfeiture or no contest, either way American ways can make money, similar to stupid Philippines’ scs arbitration case where Americans used it as political and legal tools, pocketing huge money from other misdeeds.

    One American ceo told that Americans have no culture when I was on biz in California.

  9. Quote:- “…‘ those corrupt Malays got only the crumbs while the gravy flowed to that Wharton-trained Chinaman”

    Yes, it’s always the Chinaman’s fault, wherever he might be trained.

    That is precisely why there is no sense of shame….. because the Malays got only the crumbs while 90% of the loaf goes to the Chinaman, and in this case a Chinawoman as well.

  10. To single out a Chinaman in the whole scheme of things is not to see the issues.Involved are Arabs, English,Swiss, Americans.Do you think if the loot is not fairly divided, the Chinaman can getaway with it. Its precisely how this blew up when the one in jail was shortchanged and the world would be none the wiser.

  11. Right ways, you seem to hate America and the West yet you do business with Americans. Guess money talks louder than principles.

  12. John – another one who was short-changed got murdered and blown up by C4 – which was how that case blew up (unfortunate pun) and the whole world heard about it.

  13. “One American ceo told that Americans have no culture when I was on biz in California, ” Rightways.

    If I were the American ceo seeing a Chinapek like Rightways, I might also deprecate Americans by saying Americans having no culture in front of the Chinapek in western suit or T-shirt or even cowboy jean. That will just syok the Chinapek to the end of his life. That makes business easier.

  14. Does anyone knows the meaning of MERDEKA ? Do not allow others to clean our back yard. What happen to the Malays? Clean up your UMNO party for your own sake!

  15. Quote:- “Clean up your UMNO party for your own sake!”

    You got to be joking.

    Once UMNO is “cleaned up”, 90% of its members will leave.

  16. “One American ceo told that Americans have no culture when I was on biz in California.” wrongways
    “Guess money talks louder than principles.” semper

    So much for Disneyland in Shanghai..
    I seriously think that bloke is conflicted a zillion times over, semper. Lucky you weren’t in LA when it flew in, cuz the putrid stench would have caused serious repercussions.

    Reminds me of that North Korean Kim scion who disguised himself to sneak into Tokyo Disneyland..

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