PAC report on PKFZ scandal revealed ongoing high-level conspiracy to suppress pertinent information about Ministerial and top governmental abuses of power and malpractices


The Public Accounts Committee Report on the Port Klang Free Zone scandal does not reveal enough although it had revealed inadvertently what it had not intended to reveal – the ongoing high-level conspiracy to suppress pertinent information about Ministerial and top government abuses of power and malpractices landing the country with a RM12.5 “mother of all scandals”.

This is why the statement by the Prime Minister, Datuk Seri Najib Razak that the special task force set up by the Cabinet in September on the PKFZ scandal would look into the PAC findings and would take action is greeted with widespread skepticism and disbelief.

The Deputy Prime Minister, Tan Sri Muhyiddin Yassin is competing with the Prime Minister as to who can make a more incredulous statement on this subject.

Muhyiddin said PAC had the power to recommend that former transport minister Tan Sri Chan Kong Choy and former Port Klang Authority general Datin Paduka Phang Oi Choo be investigated for criminal breach of trust in the PKFZ, and that the government’s stand on the PKFZ scandal had been clear from the start,viz:

“We want to reach the bottom of the issue, that is, to look into how the scandal took place. We want to be transparent.”

The Prime Minister, the Deputy Prime Minister and the Cabinet are all putting up a great pretence as if they are learning about the abuses of power, criminal breach of trust, illegalities and improprieties in various aspects of the PKFZ scandal for the first time, when most of this information had been in their possession for quite some time.

In fact, I had raised many of these issues in the previous Parliament whether by way of abortive emergency motion under Section 18 of the Standing Orders or speeches during budget and other debates.

The PAC has issued a damning report against Chan and Phang and wants the Malaysian Anti-Corruption Commission and the Police to initiate investigations against them and several others for criminal breaches of trust.

The PAC should have issued a damning report against the MACC and the Police for failing in their duties to uphold the law, for if the government is really serious as claimed by Najib and Muhyiddin in wanting get to the bottom of the PKFZ scandal, the various errant personalities would already have been hauled to court and standing trial for a multitude of criminal offences.

But even up to now, the government is still continuing with the conspiracy of pretences, presenting a front as if they knew nothing about the various revelations in the PAC report and that the Special Task into the PKFZ scandal recently set up by the Cabinet and headed by the Chief Secretary would work on the revelations of the PAC report.

Such pretences are most shocking and even outrageous. This is why my immediate response to Najib’s announcement on the super task force into the PKFZ scandal in September was to ask whether it would be a “super cover-up” task force into the PKFZ scandal.
I will just give one example – the unlawful issue of the Letters of Support by the former Transport Ministers for the RM4.6 billion bonds which have landed in the country with the RM12.5 billion PKFZ scandal.

The PAC Report said in p 22:

“4.3.4. Pada 27 June 2007, Kerajaan telah memberi kelulusan secara retrospetik berhubung dengan peningkatan kos projek PKFZ kepada RM4.63 billion dan jaminan kerajaan bagi penerbitan bon bernilai RM4.63 billion termasuk kupon oleh KDSB. Kelulusan ini telah diberi kerana pengeluaran beberapa siri letter of support oleh Menteri Pengangkutan yang secara implicit merupakan jaminan daripada kerajaan dari segi undang-undang. LPK diberi pinjaman mudah sehingga RM4.63 billion untuk membiayai projek PKFZ. Kerajaan juga memutuskan supaya pegawai terlibat dalam perbuatan melanggar prosedur yang serious sehingga meletakkan kerajaan dalam keadaan serba salah wajar dikenakan tindakan.”

This 27 June 2007 decision to retrospectively validate that RM4.6 billion bond because of unlawful issue of Letters of Support by the Transport Ministers concerned was made by the Cabinet, but up to now, for more than two years, the Malaysian public and Parliament have not been told the truth – with Cabinet Ministers and Deputy Ministers continuing to mislead Parliament by denying the legal status of these Letters of Support.

The Chief Secretary Tan Sri Mohd Sidek Hassan now heading the Special Task Force into the PKFZ scandal, was directed by the Cabinet in June 2007 to conduct an inquiry as to how the Letters of Support could have issued unlawfully and to take the necessary disciplinary actions against the culprits who have now landed the country with a RM12.5 billion PKFZ scandal.

The Chief Secretary should explain why this had not been done for more than two years. Why didn’t PAC summon the Chief Secretary to report on the status of such investigations since June 2007?

It is time to end the high-level conspiracy to cover up a full disclosure of all aspects and levels of the PKFZ scandal. Let the full can of worms and swamp of crocodiles in the RM12.5 billion PKFZ scandal be fully exposed.

  1. #1 by k1980 on Thursday, 5 November 2009 - 11:24 am

    Have the passports of CKC and OCPhang been impounded to prevent them from simply “disappearing” overseas? Remember the case of the lady judge who conveniently disappeared in India while being investigated for accepting bribes.

  2. #2 by OrangRojak on Thursday, 5 November 2009 - 11:32 am

    Like a flock of sheep jostling to get to the back of the sacrifice queue!
    http://www3.themalaysianinsider.com/lite/articles.php?id=42392

  3. #3 by Bigjoe on Thursday, 5 November 2009 - 11:40 am

    Its time to label the Najib admistration The Excuse Administration – that is what all these guys do, give excuses. Najib as PM is the biggest excuse for leadership there is.

    It freaking insult these excuses have become like this PAC thing. Give me a break. In China and Singapore, those involved would long ago be locked up for life or shot dead. These guys are no different than Bernie Madoff and that is insulting to Bernie Madoff because he was good at making excuses and cover off.

    Please be at least competitive in giving excuses. It is just insulting to have to hear the crap coming out of their mouth…

  4. #4 by undertaker888 on Thursday, 5 November 2009 - 11:53 am

    //“We want to reach the bottom of the issue, that is, to look into how the scandal took place. We want to be transparent.”..mu-sh!t-din

    You know, all they need to do is to look at the mirror themselves and they would have found the guilty one.

    Hypocrites…we want to reach the bottom konon…they are already there together with the maggots and cr@p.

    we want to be transparent konon…ya to be transparent from prosecutions, you mean…chisss!!!

  5. #5 by helpless on Thursday, 5 November 2009 - 12:30 pm

    The big question is can the government restore the ” spoiled milk”

    In promoting the transparency, the portion RM 12.5 bil can be recovered must be made known to the Malaysian.

    Judging from the historical corruption index position of the country, skepticism will continue as there is hardly news on money being sucessful recovered except presecution.

  6. #6 by tenaciousB on Thursday, 5 November 2009 - 12:35 pm

    this PKFZ scandal can in essence desecrate the BN government therefore they will by hook or by crook make it look like TBH, kugan and altantuya case…closed!

  7. #7 by k1980 on Thursday, 5 November 2009 - 12:42 pm

    Robbing the poor to pay for the RM12.5billion loss— the 5% RPGT has been reimposed and extended to cover all housing transactions involving the 6th year and beyond.

  8. #8 by Jeffrey on Thursday, 5 November 2009 - 1:06 pm

    Ultimately the buck will have to stop at the front desk of the cabinet/govt. For now the difficulty is to separate who is more important from those less important so that the latter can be ‘sacrificed’ to take the fall in order to feed the public frenzy and shield the fallout from reaching the heart of the administration.

    The problem is it is not easy to sift and differentiate those important from those comparatively not so because all who are involved are important in the sense of each having something to hold on the rest who will in turn have something that may lead ultimately to the portals of Putrajaya.

    Hence a lot of convulated arguments being put forth like for eg CKC might be guilty of issuing unauthorised support letters and next breath, telling the market he did it with knowledge of MOF.

    This suggests that there is no overall plan for damage control that can withstand rigorous questioning and probing at different angles of the fiasco. What is on the table is piecemeal and makeshift improvisation, as the situation develops, which of course gives Kit much fodder to atack. LOL.

  9. #9 by Taxidriver on Thursday, 5 November 2009 - 1:45 pm

    “We want to reach the bottom of the issue”

    Umno Baru led government never ever succeeded in getting to the bottom of all national issues like rapes, murders, big time corruptions …….. involving their own kind-UMNOputras-since the time of Mahathir. For a change, forget about “reaching the bottom”. Much easier it is to “go for the Tops”

    “……….to look into how the scandal took place”

    Bukan masalah sangat. Pay a friendly visit to that Malay man of Indian origin. He can give you the names of the swamp of crocodiles ( in the words of Malaysian patriot Mr. LKS )….IF he has got nothing to do with this Super Scandal, the possibility of which, I think, is NIL

    “We want to be transpapent”-mu…shit…din

    But are not all UMNO Baru leaders already TRANSPARENT? Stripe NAKED! …..and exposed of their MISSDEEDS. Cakap ta guna Din. Semua Rakyat sudah tahu. Biar pun tak boleh buat apa-apa buat untuk sekarang. Rakyat cuma tunggu tarikh PR bakal datang.

  10. #10 by Winston on Thursday, 5 November 2009 - 1:49 pm

    “We want to reach the bottom of the issue, that is, to look into how the scandal took place. We want to be transparent.”

    What a bunch of goddam hypocrites!
    Uncle Lim, I think that you can use these criminal acts to change the voters mind, especially the Malays by showing them how much they and the citizens of this country can benefit if such scams (past and present) are prevented.
    Impress on them that a change of Federal government will be far, far better for the country then the present UMNO/BN government.

  11. #11 by Taxidriver on Thursday, 5 November 2009 - 1:50 pm

    Sorry. Forget about the extra ‘S’ in MISSDEEDS above.

  12. #12 by Godfather on Thursday, 5 November 2009 - 2:38 pm

    Chan Kong Choy and OC Phang being singled out for “further investigation”. What about Ling, who signed the first Letter of Support on his last day at work ? What about the representatives of the various ministries that sat on the monitoring committee on this deal – people like Rahim Mokhti of MoF ? What about people like Nor Mohamed Yakcop who knew about the cost overruns from day one ?

    They can run, but they can’t hide.

  13. #13 by Voter on Thursday, 5 November 2009 - 2:53 pm

    Ong Ta kut sued datuk tiong for
    RM500 Millions. he really a lion open his big mouth. this firgure can determine how greedy he is..

  14. #14 by k1980 on Thursday, 5 November 2009 - 2:58 pm

    Had a DAP politician been involved in the PKFZ scam, 3 things would had happened by now:-

    (1) he would had been found dead after a “friendly” interview by the macc

    (2) the macc would claim that he had only RM3,000 in his bank account, hence most likely committed suicide due to money problems

    (3) the DAP would had been banned for life

    So how come CKC and the mca are still alive and kicking?

  15. #15 by k1980 on Thursday, 5 November 2009 - 3:05 pm

    The photo below is analogous to a “tuan” being fussed over by the bn govt, while the pendatang is left to fend for himself/herself. I bet the pendatang girl in red is mumbling to herself, “Favourtism sucks! Down with the NEP!”

    http://www.nst.com.my/articles/20091105100132/pix_middle

  16. #16 by gofortruth on Thursday, 5 November 2009 - 3:53 pm

    The big question is will Najib leaves behind a legacy to us & our children & our children’s children as Malaysia Prime Minister of COVER UPs ???????????

  17. #17 by k1980 on Thursday, 5 November 2009 - 3:57 pm

    This is the result of 52 years of BN abuse:–

    http://www.sun2surf.com/article.cfm?id=39782

  18. #18 by yhsiew on Thursday, 5 November 2009 - 4:37 pm

    The PAC report on PKFZ scandal revealed that the regime in power is more than willing to sacrifice public funds and national resources to protect those who are in high places.

    What is the point of wasting manpower and tax-payers money to probe into the PKFZ scandal since the government already has the answer? Such pretenses to show that the government is serious about the PKFZ scandal are unacceptable and even outrageous.

  19. #19 by LG on Thursday, 5 November 2009 - 4:42 pm

    BN Government is always giving excuse after excuse and always cover-up after cover-up. No transparency, no accountability! What kind of moral our PM has? He still got the gut to talk about morals concerning Cuepacs asking for bonus. He looks like a snake, talks like a snake and move like a snake. Yes, he is a poisonous, slyly two-headed “snake”.

    If not the high level of corruptions by the BN Government mounting to multi-billions of ringgits e.g. PKFZ scandal, highways concessionaires, IPP concessionaires, huge purchases of overpriced submarines, helicopters, etc, the Government would have suffficient money to pay 2 even 3 months bonus.

  20. #20 by taiking on Thursday, 5 November 2009 - 5:44 pm

    American banks are still floppy and failing. More money are being fed into RBS and Lloyds. US unemployment rate is still v high and not improving.

    And malaysia? Have 1malaysia will travel.

  21. #21 by taiking on Thursday, 5 November 2009 - 5:56 pm

    Dont get worked-up LG dear.

    Ask yourself this. Say you took ages to bath and that infuriated your mother. She was really mad and she finally asked from the top edge of the dinning room wall where she clang: “What were you doing inside there?”

    “Masturbating mom.” Would you say that? “I was only masturbating.” Would you? Yeah, be truthful.

    Umno is masturbating big time. Shiok all the way. So dont expect them to be transparent about it. The point is they wont!

  22. #22 by yhsiew on Thursday, 5 November 2009 - 6:52 pm

    Chan Will Return From Overseas Soon To Assist PKFZ Investigations
    =============================================

    KUALA LUMPUR, Nov 5 (Bernama) — Former Transport Minister Tan Sri Chan Kong Choy said he is overseas and will return soon to cooperate with the authorities following yesterday’s Public Accounts Committee (PAC) report which cited him for criminal breach of trust (CBT) over the Port Klang Free Zone (PKFZ) development project.

    “I am prepared to cooperate with the relevant investigative authorities to provide further clarification and assistance with regard to this matter,” he said in a statement Thursday.

    “I am currently overseas and will return to the country soon. I hope this brief statement will clarify any unnecessary speculation,” he added.

    The PAC recommended that the Malaysian Anti-Corruption Agency (MACC) or the police investigate Chan and former Port Klang Authority (PKA) general manager Datin Paduka O. C. Phang for CBT in connection with the scandal-ridden project that ballooned in cost from RM2 billion to RM4.6 billion.

    The report said three letters of support issued by Chan and three letters of undertaking by Phang, all unauthorised by the Finance Ministry, were an implicit guarantee from the government that there would be allocations for PKA to enable it to meet its financial obligations under the development agreement for PKFZ.

    In his one-page statement, Chan said when he became Transport Minister on July 1, 2003, the purchase of the land for PKFZ had been completed and that he had, during his tenure, explained in detail the three letters he had issued on several occasions including in parliamentary proceedings.

    “It is utmost unfortunate that this matter has been raised again. I had stated in the PAC hearing on 29th July 2009 that the three letters of support signed by me were in fact ‘letters of support’ and not ‘guarantee letters’,” said Chan, who held the transport portfolio until last year after which he retired from active politics.

    “This is also the opinion given by a senior Malaysian lawyer and a renowned Queen’s Counsel. I signed the letters based on my sincere belief that they were in fact letters of support,” he added.

    The PAC report said the PKFZ land was acquired at 67 per cent higher than government valuation and if procedures were followed, the government would have had to spend only RM442.13 million and saved RM645.87 million.

    With the 7.5 per cent interest rate agreed by Phang, which was also unauthorised by the government, the cost of the land rose to RM1.818 billion, the report said.

    — BERNAMA

  23. #23 by monsterball on Thursday, 5 November 2009 - 10:10 pm

    It is project to steal billions …for UMNO and executed by MCA.
    It was a project when Mahathir and Ling Liong Sik are like long lost brothers..always smiling…never disagreed anything for 22 years.
    TAR university handed over to LLS…making him hero for Chinese community.
    Big reap off needs big sensational good news..to move forward…all Malaysians happy..with win win situations by UMNO and MCA.
    It was a period..the best master crooks planned and operate…all multi billion projects…where 10% so call “commission”…not noticable…not unnatural.
    Up came smaller projects…copying same tac8cs to steal millions…in each much smaller projects…so call tenders..all won by UMNO cronies..and we know know..RM28 billion overpaid per year in tenders.
    Any UMNO present minister who does not know what their master did in the past…is not worth being selected to be a minister.
    It is the art to pretend not to know.how well you van act innocent…caught surprised…like Najib..is important..to signal all…..not knowing anything….until now.
    Yes…MCA is the smooth operator….UMNO is the conductor…Najib know very very well.
    After all…it was Najib’s godfather….Mahathir was in action..to teach him something.
    That something.he did…with RM500 million commission …..messed it up with love and murder.

  24. #24 by mendela on Thursday, 5 November 2009 - 10:20 pm

    The PKFZ scandal is just the tip of an iceberg.

    Do you know Mahathier and the gangs made how much money on the land acquisition for KLIA ?

    There are at least another 30 scandals of similar scale that are not exposed just yet!

  25. #25 by tenaciousB on Thursday, 5 November 2009 - 10:50 pm

    let’s not forget the perwaja steel scandal..mamakthir’s specialty..simply mmm scrumptious!

  26. #26 by k1980 on Friday, 6 November 2009 - 8:43 am

    Why can’t the High Court also order the mca to pay back the billions it sapu-ed in the PKFZ scam?

    http://www.nst.com.my/Current_News/NST/articles/20091030204900/Article/index_html

  27. #27 by helpless on Friday, 6 November 2009 - 8:54 am

    Malaysian’s dream – the day where the multi millioan and multi billion ringgit scandal be uncovered. And to look forward the corrupted high profile politician to be accountable for abuse the tax payer money. Confiscate and report how much money and to reward all Malaysian with ” TAX FREE YEAR”.

    We want ” TAX FREE YEAR” by recovering the abuse money in the all multi million and multi billion RM corruption case.

    Wait a minute, ” mimpi sampai mati pun tak tahu boleh berlaku tak ? “

  28. #28 by taiking on Friday, 6 November 2009 - 9:03 am

    Watched Titanic last night again. I still feel that there is really a women’s thing about that movie. That aside, what a huge beast of the ocean it was the titanic, and beautiful too. (So was Kate Winslet. Between you me and the computer screen, she was my reason for watching the movie.) And actually what a very very strong and solidly built giant. Who would have foreseen the tragic sinking? Too big to fail, would you have said? then? But that’s academic now for we are endowed with the benefit of hindsight. So never say never – that should be the order of the day. We now know that size is no guarantee against failure. And how wrong mahathir was when he compelled local banks to merge for strength. Perhaps he has an agenda. Well of course he has. Look towards America for some recent examples and lessons on “never say never” and “too big to fail”. The reasons for the failure of giants, well I can give two. Mismanagement and blind arrogance, both of which are not only present in umno, but are actually kicking about wildly inside umno. Reform? No. Arrogance is never and has never been a friend of Reform. In fact Arrogance will deny Reform.

    So the MV UMNO will sink – an observation I make on the basis of lessons which history, past and present, has taught us. The Titanic went down somewhat glamourously (there is a movie to celebrate the event) but The Umno will go down disgracefully. For those onboard The Umno who are still possess of conscience and scrupples, it is time to abandon ship.

  29. #29 by k1980 on Friday, 6 November 2009 - 9:11 am

    “I do not know what is KDSB. Only today that I have heard that they are involved”

    http://www3.themalaysianinsider.com/lite/articles.php?id=42504

    How can imbeciles like the above be trusted to catch the PKFZ thieves? Better for him to stay at home and watch his son’s porn videos

  30. #30 by Godfather on Friday, 6 November 2009 - 9:33 am

    Najis and Moo-hee-din should suspend themselves since the bureaucrats have now confirmed that the cabinet had been kept informed of the PKFZ debacle all this while…..

  31. #31 by Ramesh Laxman on Friday, 6 November 2009 - 9:53 am

    The Bigger Picture: We have driven out the investor-Dubai Port World. Other investors will now think twice before they invest in Malaysia.

  32. #32 by helpless on Friday, 6 November 2009 - 11:36 am

    29 by k1980 on Friday, 6 November 2009 – 9:11 am

    “I do not know what is KDSB. Only today that I have heard that they are involved”

    In Malaysia, it will be a history if anyone who hold the top position in the government office can emulate CSL, the superstar of MCA to resign with dignity even not commendable.

    Elsewhere, the same will might be forced to resign immediately.

    Probably the words like shameful and guilty were forgotten.

  33. #33 by Taxidriver on Saturday, 7 November 2009 - 1:26 am

    I do not know what CSL is involved in. Only today that I have heard that he is MCA superstar.

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