LEGAL experts and activists have blasted PAS president Abdul Hadi Awang for being ignorant after he said financial scandals, such as 1MDB, should be resolved without foreign assistance.

They said the alleged wrongdoing in 1Malaysia Development Bhd (1MDB) were committed on American soil and the United States has every right to act against the perpetrators.

Hadi on Thursday published an open letter, saying financial scandals, such as BMF, Perwaja Steel, Tabung Haji and 1MDB, should be resolved internally than invite foreign assistance.

Lawyer Ambiga Sreenevasan said there appears to be no discernible legal action in Malaysia, with local enforcement agencies stonewalling on 1MDB, while the US Department of Justice (DoJ) has filed three civil suits to seize assets bought with funds amounting to US$4.5 billion (RM19.4 billion) allegedly siphoned off the state investor.

“Of course, many are happy that something is being done overseas about this mother of all scandals because the law enforcers in Malaysia don’t see anything wrong despite the overwhelming evidence to the contrary,” said Ambiga, who is also president of the National Human Rights Society (Hakam).

On Hadi’s open letter, the former Bar Council chairman said, it reflected a “misunderstanding” about the borderless nature of the 1MDB-linked criminal activities.

“They are not confined to Malaysia. They are international. And every foreign government, upon whose soil a crime has been committed, has every right to take action. We cannot stop them,” Ambiga said.

“In fact, we should not be interfering in their legal system and telling them what they can or cannot do. Suggesting that it be dealt with domestically is pointless. We know nothing will happen despite the A-G apparently asking the police to investigate further.”

Myopic leader

Hadi said whether the authorities handled the financial scandals “cruelly or stupidly, let us suffer the consequences”.

“I rather herd camels for the tyrant among us than herd pigs for someone else,” he had said, adding that “the scars from colonialism have not healed” and yet Malaysia is opening “the door again to foreign powers”.

Ramon Navaratnam, an economist who chairs the Centre for Public Policy Studies think-tank, said Hadi is “quite defensive of the status quo”.

“We cannot afford to be myopic and an island to ourselves,” said the former chairman of Transparency International. 

“We have to be open-minded and forward looking. We should welcome constructive criticism,” Ramon said.

The DoJ pursued legal action on June 15 to seize US$540 million assets believed to be bought with money stolen from 1MDB as the crimes were committed in the US. 

A week earlier, it filed a suit to seize London properties allegedly bought with 1MDB funds.

The latest suits were the most significant since last July when US authorities first declared Malaysians have been defrauded on an enormous scale in connection with 1MDB. 

The DoJ is currently seeking to seize, among others, Malaysian financier Low Taek Jho, or Jho Low’s, luxury yacht called Equanimity, worth US$165 million, artworks, jewellery and real estate in New York and Los Angeles.

“Hadi needs to be aware that Jho Low and his associates have been accused of taking 1MDB-linked funds and laundered them across the globe,” said Cynthia Gabriel, director of Centre to Combat Corruption and Cronyism (C4).

“So, the countries where the money have flowed through are investigating, as is their prerogative,” said Cynthia, who was recently presented the 2017 Democracy Award by the US-based National Endowment for Democracy.

Ironically, Cynthia said, Hadi’s call could be seen as prodding the Attorney-General’s Chambers and Malaysian Anti-Corruption Commission to reopen the case, based on new facts from the recent US filing.

Umno ‘friend’

“Hadi sounds like an Umno minister,” said Azmi Sharom, an associate professor of law at Universiti Malaya.

“It’s the typical emotional language used to cover the fact that 1MDB funds were used in the US, which contradicted their laws. Hence the DoJ action,” he said.

Hadi’s open letter could also be an attempt to rally PAS’ rural base.

“Are Malays so stunted that you mention Islam and colonialism that they can’t see the obvious? Hadi thinks so!”

On June 15, acting US Attorney-General Kenneth Blanco said: “We simply would not allow the United States to be a place where corrupt individuals can expect to hide assets and lavishly spend money that should be used for the benefits of citizens of other nations.”

Neither 1MDB nor Malaysian Official 1 (MO1), believed by the DoJ to be a beneficiary of about US$1billion in funds, has been named as defendants in a US criminal suit. 

MO1 was previously identified as Prime Minister Najib Razak by minister Abdul Rahman Dahlan.

Malaysian Attorney-General Mohamed Apandi Ali had cleared Najib of any wrongdoing. – June 27, 2017.