PUTRAJAYA: Enforcement agencies have been ordered to ensure its existing investigations into the “corporate mafia” controversy are thorough and aren’t only focused on several individuals, says government spokesman Datuk Fahmi Fadzil.
He added that the issue of illegal corporate takeovers as reported by the media was discussed during the Cabinet meeting yesterday.
“The Cabinet was informed that investigations on several individuals actually began a few years ago.
“Therefore, the instructions given by the Cabinet to enforcement bodies, including the police, the Securities Commission, the MACC, and the Inland Revenue Board (LHDN), are to continue detailed probes on the corporate manipulation issue and not limit them to certain individuals,” he said yesterday.
Fahmi was speaking to the media at the Prime Minister’s Office (PMO) after a press conference by Datuk Seri Anwar Ibrahim earlier.
Fahmi said enforcement agencies were told to take appropriate legal action against suspects as needed.
“This includes 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,” he said.
Meanwhile, Fahmi said the Chief Secretary to the Government Tan Sri Shamsul Azri Abu Bakar, will decide on the next course of action to be taken against MACC chief commissioner Tan Sri Azam Baki’s shareholding issue.
Fahmi said this matter was decided after the Cabinet meeting, where the report by the special committee on Azam’s shareholding issue was presented.
“The Cabinet received and discussed the findings of the report on the Attorney General’s investigation.
“The Cabinet decided that further action will be taken by the Chief Secretary to the Government,” he said.
Fahmi also said he will not reveal findings of the report, as the matter has now fallen under the purview of Shamsul Azri’s office.
“I will not state the findings of the report since the next step will be taken by the Chief Secretary. We wait for his statement,” he added.
The special committee to probe allegations against Azam is chaired by Attorney General Tan Sri Mohd Dusuki Mokhtar.
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.
Azam has strongly denied the allegations and 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 formation 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.
