PUTRAJAYA: The Cabinet has ordered that enforcement agencies, such as the police, Securities Commission, the Malaysia Anti-Corruption Commission (MACC) and the Inland Revenue Board (LHDN) to continue detailed probes on the corporate manipulation issue, Datuk Fahmi Fadzil.
“Appropriate legal action will be taken, including confiscating proceeds that are believed to have criminal elements.
“They will also look into whether there are existing loopholes in the law that will allow corporate manipulation to take place,” said the Communications Minister.
According to Fahmi, the issue of corporate manipulation was discussed at the Cabinet meeting on Wednesday (March 11).
“The meeting was informed that investigations against several individuals actually started years ago,” he added.
On Feb 11, Bloomberg published an article titled “Who’s Watching Malaysia’s Anti-Corruption Watchdog?” which detailed allegations that a group of businessmen, allegedly working with certain MACC officers, had pressured corporate figures in takeover cases, which was later described as a “corporate mafia” network.
MACC's chief commissioner Tan Sri Azam Baki has strongly denied the allegations and has filed a lawsuit against Bloomberg, seeking RM100mil in damages.
On Feb 24, the MACC also strongly denied allegations of the existence of a “corporate mafia”, saying that the allegations were believed to have originated from an online blog with no identifiable owner, author, or clear accountability.
Both sides of the political divide, including MCA Youth, have called for the establishment of a Royal Commission of Inquiry (RCI) to probe the “corporate mafia” allegation and Azam’s shareholding issue.
There were also calls for Azam to temporarily step aside as MACC chief commissioner pending an investigation into the shareholding controversy.
