C4 calls for probe into allegations involving 1MDB linking former Bank Negara governor Zeti

PETALING JAYA: The Centre to Combat Corruption & Cronyism (C4) has called for an investigation into allegations that more than US$16mil (about RM65mil) linked to 1MDB was found in company accounts belonging to the husband of Bank Negara's former governor Tan Sri Zeti Akthtar Aziz (pic).

The C4 said that Bank Negara's integrity could be compromised if there was any truth to the allegations which could further weaken the people's trust in local institutions and authority.

"The C4 calls for immediate answers and further investigation into the matter and for the parties involved to come clean.

"Accountability must be the cornerstone of every administration and such discoveries make it difficult for the people to overcome the trust deficit toward the administration and institution," it said in a statement on Tuesday (March 2).

C4 said it is seeking answers to whether Zeti and Bank Negara were aware of the matter when she was in office between 2000 and 2016.

This comes following reports that Singapore's Commercial Affairs Department (CAD) reported to Bank Negara that a company allegedly owned by Zeti's husband and son had received the funds from fugitive businessman Low Taek Jho, also known as Jho Low, in 2008 and 2009.

C4 also asked if former prime minister Tun Dr Mahathir Mohamad was aware of the matter as Zeti was also a member of the Council Of Eminent Persons tasked with advising the then Pakatan Harapan government on socio-economic and financial matters.

It said that if so, Zeti's appointment could have clouded the committee's efforts in pursuing the truth behind the 1MDB case.

"This is also affected by her appointment as Perbadanan Nasional Bhd chairman. If this matter was within his (Dr Mahathir's) knowledge, then this is nothing but a gross abuse of office," it said.

On Monday (March 1), Kepong MP Lim Lip Eng also called on Bank Negara, the Malaysia Anti-Corruption Commission (MACC) and Zeti to come clean on the allegations.

He also called on current Bank Negara governor Datuk Nor Shamsiah Mohd Yunus to deny the allegations and list down actions that the central bank took after the allegations were reported.

On Saturday (Feb 27), The Edge reported that Singapore police had informed Bank Negara of suspicious transactions involving a company owned allegedly by Zeti's husband and one of her sons with funds coming in from accounts linked to Low.

Documents sighted revealed that the CAD had shared the information with Bank Negara in 2015 and 2016.