THE Royal Commission of Inquiry (RCI) has been urged to lodge a police report against government propaganda chief Mohd Puad Zarkashi for accusing former Bank Negara Malaysia adviser Nor Mohamed Yakcop of lying before the panel. 

Puad’s statements were “slanderous” and “insulting” to former finance minister Anwar Ibrahim and Dr Mahathir Mohamad, said Mohamed Haniff Kathri Abdulla, a lawyer representing the former prime minister. 

“It is a form of challenge to the dignity and honour of the institution of the (RCI),” Haniff said in a statement today, adding his comments violated the Commissions of Enquiry Act 1950 (Act 119).

Yesterday, Puad accused Nor Mohamed, who testified before the RCI on Wednesday, of trying to shield Dr Mahathir from prosecution over the central bank’s forex losses 25 years ago.

“He (Nor Mohamed) took responsibility for the huge losses, but denied that all decisions regarding forex trading by the central bank in the 1990s were decided solely by him,” Puad had said in a statement.

“Certainly, Nor Mohamed avoided implicating the then prime minister (Dr Mahathir) and finance minister (Anwar Ibrahim),” Puad had said, adding that the actions of Nor Mohamed, a former assistant governor at BNM, was a sign of gratitude towards Dr Mahathir, who appointed him as finance adviser during the 1997/98 Asian financial crisis.

Haniff said Puad’s comments contradicted the testimonies given by former Bank Negara Malaysia (BNM) deputy governor Lin See Yan, former BNM governors Zeti Akhtar Aziz and Ahmad Mohd Don. 

“The ‘higher-ups’ that Tan Sri Nor Mohamed Yakcop was speaking of were the deputy governor and governor of Bank Negara and not as (Puad) confusingly mistaken to be the finance minister (Anwar) and prime minister (Dr Mahathir).”

“The fact is (Puad’s comments) are not only false and twisted facts, but it contradicts all the statements presented by the witnesses so far,” Haniff said.

The BNM governor at the time of the forex losses between 1988 to 1994 was Jaffar Hussein. Jaffar took responsibility for the losses and resigned in 1994. He died four years later.

The RCI, headed by Petronas chairman Mohd Sidek Hassan, will sit again on September 18. 

Anwar and Mahathir are currently leaders of the opposition coalition Pakatan Harapan.

Opposition lawmakers have called the inquiry politically motivated.  – September 9, 2017.