Why no RCI on Bank Negara's loss of RM160 billion reserves, says Dr Mahathir

Updated 6 years ago · Published on 10 Dec 2017 11:05PM · 9 Comments

DR Mahathir Mohamad has accused Putrajaya of “discrimination” over its pursuit of Bank Negara Malaysia’s (BNM) forex losses which occurred under his administration when the central bank had lost more between 2013 and 2015 due to the ringgit’s fall.

The former prime minister, now heading the opposition Pakatan Harapan, asked why Prime Minister Najib Razak’s administration was more concerned about the forex losses of RM31.5 billion some 30 years ago, when the amount of international reserves lost in the three-year period recently was larger at US$39.6 billion or RM160 billion.

“Why did he (Najib) initiate a royal commission of inquiry (RCI) to find if there was any wrongdoing in the losses of the funds which has happened 30 years ago? There is there is no proof the money was stolen. 

“These funds were lost because of the forex transactions by BNM to manage the country reserves.

“I’m just astonished why there is discrimination with this issue. Maybe Najib can explain,” he said in a video posted on YouTube tonight.

Dr Mahathir also noted the money lost through forex trading was not “stolen”.

In its annual report, BNM recorded its international reserve at RM441.9 billion (US$134.91 billion) for 2013. By 2015, the reserves had dropped to RM409.1 billion (US$95.3 billion). 

Last year, the central bank reported the figure at RM423.9 billion (US$94.5 billion).

In 2013, the exchange rate was RM3.27 per US dollar. It fell to RM4.44 last November, its lowest level since the Asian financial crisis. The ringgit has since rallied to close at RM4.09 on Friday.

BNM’s forex trading losses were the subject of a RCI which has recommended Dr Mahathir, former finance minister Anwar Ibrahim and former BNM adviser Nor Mohamed Yakcop be investigated for criminal breach of trust.

“For this (BNM’s reserves) loss there was no investigation or RCI and the answer given in parliament was unsatisfactory when they said it was because of the increase in American currency interests and because a lot of foreigners had pulled out their investments in Malaysia.

“This is not true. It is not because the funds were taken out by the foreign investors. The truth is RM160 billion was lost because of the management of Malaysia reserves.

“But this was not considered to be serious and didn’t warrant a RCI,” the Bersatu chairman said.

Dr Mahathir has said previously RCI was meant to tarnish him ahead of the general election next year and has questioned why the government was not pursuing more recent scandals like 1Malaysia Development Berhad with equal vigour.

In the video tonight, he again asked why there was no investigation into the RM2.6 billion that was channelled to Najib’s bank accounts.

“The Attorney General has said that there was no wrong. 

“The AG has become the judge. He has also been hiding the facts.

“This is Najib’s way – that what was lost 30 years ago is given serious attention and while the RM160 billion loss more recently is not important.” – December 10, 2017.

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Comments

  • This ul*ra r@cist is trying to whitewash his mismanagement. The loss during his time was speculation (which Central Banks shouldn't do) and failed ...... while that of 2013-15 was due to trying to support the ringgit (which Central Banks usually do) due to collapse of the oil price but failed. Am I right? This wily old fox is trying to misled the uniformed or ignorant. Of course it doesn't mean the stolen billions can be ignored but that is another story. Dr. Zeti should rebuke him for questioning her integrity!!!

    Posted 6 years ago by Malaysian First · Reply

    • Does he think we are like our trusting fathers and grandfathers and @#$% BN supporters who believed he (and other BN leaders, past and present) are always truthful? We are more educated and "tidak lupa"-lah!!!

      Posted 6 years ago by Malaysian First · Reply

  • Very simple to answer your dumb question: we were never able to catch the forex crooks while you were in charge of every ministry and branch of government.
    Now, we should be happy that FINALLY the law has caught up with you and your band of thieves from 30 years ago (where is Daim, by the way?)

    Some days 30 years later, the government of the day (mebbe your son/grandson as the PM then) will catch Najib and his 40 members.

    That sounds like a good answer, yes?













    Posted 6 years ago by Ju bur · Reply

    • ........... many leaders of UMNO/BN, past and present, are crooks ....... get rid of BN and one get rid of crooks ........ and many FUTURE crooks ....

      Posted 6 years ago by Malaysian First · Reply

    • It cannot be done. The PM is also the home minister, the finance minister de facto prosecutor and judge.
      The crook cannot catch and jail himself. Guess who created this monster?



      Posted 6 years ago by Ju bur · Reply

  • The AG today and the AG during your 22 years are the same. They speak the same language. Najib only copied every rules in your book. You are the author of every dirty rule that stills stand today. Irreversible



    Posted 6 years ago by Ju bur · Reply

  • This Mamak is again spewing scorn and lies. Don't forget that Japan never wrote you off on the billions of yen in loans.

    Posted 6 years ago by Cp4Ab0115m3n7 De Syurga · Reply

  • This shows both Malay leaders on both sides think the Malays are simplistic and dumb. The proper rebut is 1MDB is criminal, Forex losses foolish and only possibly criminal. But Malay leaders think too many Malays cannot tell the difference. So they both sensationalise the truth.

    If Mahathir is guilty of spin here, Hadi's PAS is the worst about betraying Pakatan, about their political Islam inspired by Khomeini.

    Posted 6 years ago by Bigjoe Lam · Reply