NAJIB HAS DELIBERATELY 'RACIALIZED' 1MDB SCANDAL - REPORT

Datuk Seri Najib Razak has sought to frame the 1Malaysia Development Berhad (1MDB) scandal in ethnic terms, and the move threatens to "widen ethnic divisions", said geopolitical intelligence firm Stratfor in its latest analysis on the embattled prime minister.

Noting the lack of explanations by Najib on the state investor’s debts and the RM2.6 billion "donation" in his bank accounts, Stratfor said Najib took his cue from Tun Dr Mahathir Mohamad whose own rise was fuelled by exploiting Malay and indigenous fears.

Najib and Umno had tacitly supported the Malay nationalist “red shirt” movement, whose rally in September was prevented by police from storming Petaling Street, a popular business district in Kuala Lumpur dominated by Chinese Malaysians, Startfor noted in its analysis.

Najib, who is also the Umno president, defended the rally and said it was a reaction by Malaysia who felt the Bersih 4 gathering had challenged the dignity of the Malays and the country’s leadership.
Stratfor said there appears a recognition that Malaysia's fundamental demographic make-up was changing, most notably among the Chinese.

“Since 1983, their share of Malaysia's total population has dropped more than 8%, and birth rates among ethnic Chinese are by far the lowest of Malaysia's main ethnic groups.
“For political purposes then, rather than wooing back minority voters, Umno will increasingly work to secure its base and keep the opposition divided along ethnic lines,” it said.

This would create a "widening of ethnic divisions" that would challenge the core integrity of the country, Stratfor said in its analysis titled "Malaysia's eventual fall from grace".

Full article on malaysia chronicle

However, Obama refused to comment on the investigations against Najib‎, saying that he did not touch on ongoing probes even on the US soil.
"I don't comment on investigations happening back in the US, I'm certainly not going to comment on any investigations or legal proceedings that are taking place in a foreign country when I'm a visitor.
- See more at: http://www.themalaysianinsider.com/malaysia/article/obama-says-discussed-fighting-corruption-with-najib#sthash.DkDVzq8j.dpuf

US President Barack Obama said he raised the importance of transparency, accountability and fighting corruption with Datuk Seri Najib Razak, even as the Malaysian prime minister is embroiled in the 1Malaysian Development Bhd (1MDB) and the controversy surrounding RM2.6 billion in his private accounts. - See more at: http://www.themalaysianinsider.com/malaysia/article/obama-says-discussed-fighting-corruption-with-najib#sthash.DkDVzq8j.dpuf

US President Barack Obama said he raised the importance of transparency, accountability and fighting corruption with Datuk Seri Najib Razak, even as the Malaysian prime minister is embroiled in the 1Malaysian Development Bhd (1MDB) and the controversy surrounding RM2.6 billion in his private accounts. - See more at: http://www.themalaysianinsider.com/malaysia/article/obama-says-discussed-fighting-corruption-with-najib#sthash.DkDVzq8j.dpuf

Najib Razak 1MDB Corruption Scandal - US Investigating Goldman Sachs

The Federal Bureau of Investigation and the U.S. Department of Justice are looking into Goldman Sachs for its actions as an adviser to the 1Malaysia Development Fund Berhad (1MDB), the country's state fund that has been embroiled in scandal since July, when hundreds of millions of dollars were traced from the fund to the personal bank accounts of Prime Minister Najib Razak. Goldman Sachs has served as an consultant to the group, and now U.S. authorities are gathering information "to determine if the matter will become a focus on any investigations into the 1MDB scandal," a spokeswoman for the FBI told the Wall Street Journal.

 At this point, the bank does not face any allegations of wrongdoing, and authorities were reviewing Goldman Sachs as part of a broader examination. The FBI began investigating 1MDB for money laundering in mid-September.

Goldman Sachs served as a consultant to 1MDB when the fund was launched by Najib in 2009 with the purpose of transforming Kuala Lumpur into a global financial nexus. It advised the fund on three acquisitions, including one in 2012 that ended up costing the fund about $740 million. In that purchase, Goldman Sachs helped with financing through its Principal Funding and Investment desk, which effectively used Goldman's own funds to pay for the deal. Goldman also earned $600 million simply in fees to help 1MDB sell $6.5 billion in bonds, the Wall Street Journal reported.

Read more on International Business Times

Najib Razak at risk of isolation amid Malaysian corruption scandal

Malaysian prime minister needs to prepare himself as rivals within his party jostle to outmanoeuvre him.

Allegations surrounding the movement of $700m into Najib Razak’s personal bank account has gripped Malaysia. Photograph: Olivia Harris/Reuters

Malaysia is a country in turmoil. The country’s prime minister, Najib Razak, is alleged to have performed daylight robbery with the depositing of $700m (£456m) into his personal bank account.

The FBI and police in Hong Kong have launched investigations as the worst crisis of Najib’s career unfolds. Swiss authorities have frozen millions of dollars in bank accounts linked to 1Malaysia Development Berhad, the state development fund at the centre of the corruption allegations.

And now the nation’s powerful sultans have broken both their silence and their non-political stance to call for a swift investigation into 1MBD.

Najib has denied taking any money and has launched a campaign to disarm his critics. Cabinet ministers who have openly doubted him have been sacked, the media have been suppressed and outspoken politicians have been repeatedly chastised.

Read more on theguardian

Related News

1MDB: The case that's riveting Malaysia

Top Malaysian Graft Buster Says the Government Is ‘Meddling’ in Massive Corruption Probe

Malaysia’s 1MDB Delays Loan Payment Again

1MDB: The case that's riveting Malaysia

Malaysians are no strangers to money politics but the high-profile players and the amount of funds allegedly involved in the so-called "1MDB scandal" have gripped the nation.


It stems from Prime Minister Najib Razak's strategic state fund called 1Malaysia Development Bhd (1MDB) set up in 2009 when he came into office. The fund is meant to turn Kuala Lumpur into a financial hub.

It started to attract national attention when it missed payments for the $11bn (£7.1bn; €9.9bn) it owes to banks and bondholders.

Former Prime Minister Mahathir Mohamad has said the fund has taken on too much debt and lacks transparency. He has also criticised Mr Najib's family's "lavish" lifestyle, which has been regularly discussed in the local press.

Then the Wall Street Journal (WSJ) reported it had seen a paper trail that allegedly traces close to $700m from the troubled fund to Mr Najib's personal bank accounts.
Mr Najib is now facing calls to prove his assets are legal.

Read more on BBC.Com

Top Malaysian Graft Buster Says the Government Is ‘Meddling’ in Massive Corruption Probe

The ongoing scandal has galvanized popular hostility toward the government

For weeks, Malaysian Prime Minister Najib Razak has sat at the center of the largest corruption scandal in the country’s history, besieged by allegations that he personally pocketed around $700 million from a state development fund called 1Malaysia Development Berhad (1MDB). Now, Najib’s government is being accused of obstructing an independent investigation into the scandal.

“There is — apparently — some meddling going on,” Tunku Abdul Aziz Ibrahim, who chairs the advisory board to the anticorruption commission investigating the 1MDB case, said in an interview with the BBC. “I think that … there has been interference, and I think it is unfortunate. It was ill-advised on the part of the government to have made all these changes while the investigation was ongoing.”

Read more on Time.Com

Investigators Believe Money Flowed to Malaysian Leader Najib’s Accounts Amid 1MDB Probe

Malaysian investigators scrutinizing a controversial government investment fund have traced nearly $700 million of deposits into what they believe are the personal bank accounts of Malaysia’s prime minister, Najib Razak, according to documents from a government probe.

The investigation documents mark the first time Mr. Najib has been directly connected to the probes into state investment fund 1Malaysia Development Bhd., or 1MDB.

Mr. Najib, who founded 1MDB and heads its board of advisors, has been under growing political pressure over the fund, which amassed $11 billion in debt it is struggling to repay.

The government probe documents what investigators believe to be the movement of cash among government agencies, banks and companies linked to 1MDB before it ended up in Mr. Najib’s personal accounts. Documents reviewed by The Wall Street Journal include bank transfer forms and flow charts put together by government investigators that reflect their understanding of the path of the cash.

The original source of the money is unclear and the government investigation doesn’t detail what happened to the money that went into Mr. Najib’s personal accounts.

“The prime minister has not taken any funds for personal use,” said a Malaysian government spokesman. “The prime minister’s political opponents, unwilling to accept his record or the facts, continue to try to undermine him with baseless smears and rumours for pure political gain.”

More on The Wall Street Journal 

Malaysia’s 1MDB Delays Loan Payment Again

Malaysia’s 1MDB Delays Loan Payment Again

KUALA LUMPUR—Malaysian state-owned investment firm 1Malaysia Development Bhd. missed another deadline to repay a $550 million loan over the weekend, although people familiar with the matter say it is edging closer to sealing a financing arrangement with local tycoon Ananda Krishnan to help pay off the debt.

Source : WSJ