PRIME Minister Najib Razak today admitted there were clear lapses in corporate governance in state investor 1Malaysia Development Bhd (1MDB), but said he would not pour more money, unlike a predecessor.

In a clear reference to mentor-turned-nemesis Dr Mahathir Mohamad, he said he had ordered “unprecedented” investigations into the 1MDB scandal.

“However, rather than bury our heads in the sand, we ordered investigations into the company at a scale unprecedented in our nation’s history, rather than funnel money after to cover up any issues 1MDB might have faced, the model embraced by a former leader.

“I instructed the rationalisation of the company,” Najib said in his speech at the Invest Malaysia Conference in Kuala Lumpur today.

He said the rationalisation was progressing well as many of the assets formerly owned by 1MDB were thriving. 

Citing the Tun Razak Exchange as an example, Najib said one only needs to drive by to see the progress of the new construction site. 

While there are numerous investigations under way around the world, including three civil suits filed by the US Department of Justice (DoJ), Singapore is the only country to have prosecuted those involved in 1MDB, chaired by Najib.

The DoJ moved to seize another US$540 million (RM2.3 billion) in assets allegedly bought with money stolen from 1MDB, bringing the misappropriated figure from 1MDB to US$4.5 billion.

However, Najib has consistently denied any wrongdoing and the Malaysian authorities have cleared him. 

Najib said while there were issues at 1MDB, it was certain politicians who blew them out of proportion while trying to sabotage the company in a bid to topple the government.

“If 1MDB hadn’t been around they would have chosen another line of attack to illegitimately try to change the government.” – July 25, 2017.