Pua baffled by PAC’s plan to close 1MDB hearing

PAC member Tony Pua says there are more witnesses yet to be questioned by the bipartisan committee on the 1MDB scandal. – The Malaysian Insider file pic, February 7, 2016.DAP lawmaker Tony Pua has expressed surprise that the Public Accounts Committee (PAC) was planning to wrap up investigation into 1Malaysia Development Berhad (1MDB) after calling up two more witnesses this month.

Pua, who is also a PAC member, said the matter was never discussed in the past meetings.

"I am surprised by PAC chairman Datuk Hasan Arifin's announcement to the media," he said, referring to a Bernama report that PAC would call up former 1MDB president and chief executive officer Datuk Shahrol Azral Ibrahim Halmi and its former chairman Tan Sri Mohd Bakke Salleh on February 11 and 12.

Hasan had announced that PAC would close its investigations on 1MDB after hearing from the duo.

But Pua said while the committee agreed to summon them, it was never decided that there would be no more witnesses.

He said there were several other parties considered as "extremely relevant to the investigations" due to their "intimate knowledge" of the activities carried out by 1MDB.

"Those who should be called by PAC include but are not limited to Bank Negara governor, Tan Sri Zeti Akhtar Aziz and another former chief executive officer, Mohd Hazem Abd Rahman," he said.

He said it was crucial for PAC to hear directly from Zeti and Bank Negara officials because the central bank had revoked three permissions granted to 1MDB under the Exchange Control Act 1953 (ECA) for investments abroad totalling US$1.83 billion.

Pua said Hazem’s testimony was also crucial because he was 1MDB’s CEO from March 2013 to January 2015. 

"During his reign, a US$3 billion bond was raised via Goldman Sachs for the purposes of a joint venture with Abu Dhabi’s Aabar Investment PJS in March 2013.

"However, the joint venture never materialised, half the proceeds from the bonds issued have been utilised and the remainder invested in undisclosed investment funds overseas," he said.

In addition, he said Hazem was allegedly responsible for the purchase of the RM1.2 billion of encumbered land in Penang and the failure of the initial public offering of 1MDB’s energy arm.

Pua added that under the previous chairmanship of Datuk Nur Jazlan Mohammad, PAC had also formally requested for the Finance Ministry to secure the attendance of businessman Low Taek Jho as well as Datuk Seri Najib Razak, the chairman of 1MDB's Board of Advisors.

"The matter is of prime importance because the credibility and integrity of the Parliament’s PAC is at stake. 

"We are one of the sole remaining institutions still actively investigating the 1MDB scandal, and hence the Malaysian public are relying on PAC members to carry out their duties diligently without fear or favour." – February 7, 2016.